Chase Home Financefabricating escrow shortages

K Review updated:

Chase recently took over my 17 year old mortgage and wasted no demonstrating corporate greed. This month my payment suddenly increased by $103.00. They are trying to justify it by using the escrow account, inflated projected costs, and a funky math formula with an inflated minimum balance (1/6 the payouts) minus the lowest balance. They refer to this as an "escrow shortage" and claim I owe them $860.00 now, even though if or when it would occur is projected to be October, 2010. I did not pay that amount because my numbers and projections do not match theirs. They used this shortage to validate adding $70.84 to my payments as well as an additional $33.00 to increase the escrow deposits.

It's funky math because when I calculate the average monthly balance (using their inaccurate numbers), it is $397.65. This is plenty of cash out of my pocket for Chase to hold on to. Chase also used early debits for property taxes to exaggerate or inflate a lowest balance...shame, shame, shame! It's greedy and dishonest!

I called them on June 3, 2010 requesting to opt out of escrow and was told no. I called them on June 4, 2010 to discontinue the automatic debit payment and am a bit worried about this now that I read the dishonest practice of holding onto payments that other people have reported. I will probably send my payments "signature receipt" to protect me from any future legal liabilities.

The renewal for my home owners insurance policy is July 28, 2010. I shopped around and am thinking about switching to a much less expensive provider and wonder if I should pay it in full myself and sending Chase (probably certified) the proof and documents of such. My property taxes won't be due until September and November. For a short time only, time is on my side but it appears Chase is playing hard and dirty and I have to be careful.

I already filed a complaint with the Treasury Department and am still waiting for a call back from an attorney. I will do whatever I need to do to make Chase do right. If there is a class action lawsuit...count me in! I want to sign any petition against Chase.


  • Je
    Jeff Jun 18, 2008

    They keep delaying closing and will want more money from you. They also will blame the Title Company, which I work closely with. They had never worked with such a disorganize company before. I will never do business with them again.

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  • Ma
    Marian Jul 02, 2008

    WE are not customers of Chase.Thank goodness! We are trying to buy a house and the seller has Chase for their motgage.They are now in short sale and we have been waiting months and still nothing.I tried to contact them to see if they would hurry up and sign the contract, It is a full offer contract. When I called and spoke with someone in the Loss Dept.There was nothing they could do since I am not the seller.No surprise there...but they also told me that it could take up to 4-5 months to get the proccess finished.This is a large bank! I was told it would be easier through a smaller bank.WOW!! We may have to end up walking away from this house.It is sad to do so because we really love it!


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  • Ba
    Barbara Black Apr 02, 2009

    Chase will answer a phone call about a payment but when you want to talk modification they will hang-up on you I need help.


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  • Ba
    Barbara Black Apr 02, 2009

    In Business a company should stand on it''s promises.

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  • Th
    Theresa-vs-Chase Mar 03, 2010

    If Chase Bank has wronged you in any way, Please sign my petition and send me info on your encounters with the "High Rise Thugs" Chase Home Finance. My email is [email protected] We may have a class action lawsuit going in the near future.

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  • Sh
    Sheila Spahr Mar 03, 2010

    I have your e-mail address and will e-mail you my specific complaint issues with Chase Bank. I will be looking forward to a class action law suit.

    This company is like dealing with the Devil and the minions working for Chase and who lie for Chase should be held liable as well. However I also think that their are those employees of Chase that are just like us and at first believe what they are told and after realizing what Chase is all about, quit and then another blind mouse is hired for the same position unknowing that their is a snake at the helm that feeds(absorbs money from us and holds money until they determine when they want to use it after deciding to add late charges) whenever needed off of us little people.

    We should all also contact our Commissioner of Banks for the state we reside in. Also contact your Senators and Congressmen, also we all need to contact the President and let him know that the plan to help Chase Bank has only padded Chase Bank Execs. pockets with a proven 11 Billion profit last year. The Obama (Making Home Affordable Plan) is not working. Most of us make more money than allowed, despite the fact that we may have other Mortgages that do not count in the equasion.

    I suggest that the people out their trying to get answers from Chase should record all conversations with the employees you talk with. The inconsistencies should be recorded for later use by the Class action attorney.

    Sheila from Asheville NC

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  • Co
    Constant May 27, 2010

    Yep, that's exactly what they did! I told them I did it, I told them it was tweeted on twitter to the whole world, and they went on my triple credit report and IMPLIED that I had a PROBLEM RESOLVED with my payment on JANUARY 2010. That immediately put a red flag on all my credit card accounts, which were all cut in half. Retaliation of the most horrific kind. This is a corrupt and evil company. Stay away from them.

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  • So
    Souchet Jun 07, 2010

    My complaints with Chase Mirror every complaint on here. If you are having trouble dealing with Chase contact Money Management international. These people are great! There Is no cost and they can help.

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  • Ka
    Karpetas Jun 19, 2010

    Filed for modification on March 4, 2009. Now almost 15 months later they tell me I am not assigned to a negotiator anymore. I have paid every trial mod payment on time for going on 8 months and have had all my documents perfected for months. Yet no-one can tell me anything. Why did I loose my second negotiator? So, who is working on it.

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  • The same thing just happened to me. All of a sudden my impound account charges went up almost $300.00 a month. Fuzzy math. They said there was a shortfall. Isn't it their responsibility to keep an accurate record of all this? I think they are raising the monthly rates in an effort to force people out of their mortgages and their homes so they can sell the homes for a profit. (I actually have some equity in my house -this is why they have attacked me. ) I am going to try to pay the insurance and property taxes in another way so they don't handle this part of my mortgage. I know that this company will screw you in any wsay they can whenever they can. WATCH OUT!!! DONT TRUST THEIR ACCOUNTING OFFICE.

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  • St
    Steve yager Aug 11, 2010

    We have been dealing with Chase for the last year, they lose all of our paperwork, countless phone calls to them on the status of our modification, they lie each time we call, and theres too much to list about them but why is the government letting this go on for so long?
    Can someone please give us a lead as to what to do next?

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  • Fi
    Fighting Madd Sep 19, 2010

    I'm in a similiar situation. Last Sept 2009 I was on a trial period, made the payments outlined. I was sent the Modification dated Dec 21, 2009 all the while in communication with (Matthew-he was extremely nice and helpful), @ Chase. Once the paperwork was Fed Ex to Chase I never heard anything more. Matthew disappeared, phone numbers changed and I was asking for my now new monthly statements. I had also made several phone calls because I used to see my information on line and then all of a sudden I didn't have access to see anything related to my account. I would make inquiries and they would tell me I had to be patient and the interest rate I was told I was going to receive 5.75 revised to 5% they could see it and everything was fine and your paymnets are being made on time, just be patient. This month I receive a letter from Collections stating I'm 10 months behind and when and I'm going to make a payment. I gave them the scenerio. They said they would get it escaluated. I then received a call from Loss Mitigation (Scott T). The original modification (#2) was never opened up and or processed. I asked what happened they said it wasn't anything I did but the case was never opened up and it's past 60 days, so sorry. I asked him what happened to the interst I lost? They have also been holding onto my escrow surplus ($5, 000 plus) since 2008 because I don't have a (plan, mtg re-work) in place. I just received from the Default Department my Mortgage payment back. Apparently because the 2009 Modification was never processed unknown to me because of a lack of communication on Chase's part I was under paying the mortgage. They were accepting those payments they had outlined but now they are unacceptable and I'm supposed to be a mind reader as to the what and why. The Trial payment was $1862.93 and Modification payment was $1750.50. I paid $1750.50 since March 2010. I'm now in the middle of a new modification so they can straighten things out but the communication and trust with Chase is horrific. I thought if I was persistant and flexible going through this process I would come out on top. I can't believe what a sucker I have been in beleiving these people finding out they have continually lied to me every time I have called. It's like they are following a script after reading others stories, it's repititive.

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  • Ls
    LStew Sep 28, 2010

    This is the fourth or fifth time I have visited this complaints page, and it seems Chase is still up to their old tricks. My loan was approved for modification in June, and then transferred to IBM on August 1st of this year. The loan was actually being underwritten at Fannie Mae during the time of transfer. My new servicer (IBM) now tells me that the modification has been denied. I had several conference calls with a councelor from Money Management International AND Chase Loss Mitigation officer. We were both assured that my modification had been approved by Chase, but the necessary documentation was never sent to me for verification during the transfer of my loan. As of last call, IBM now telling me I am 6 months late, not 3, and I need to dig through all my banking statements to determine payment history. My concern is this: If the modificaton had been approved, persuant to Federal guidelines with Chase Bank, why did IBM deny the modification, even with the same information that was supplied to Chase to begin with? During my "forebearance" payments, sent via Western Union, I paid over 9, 000 in payments, and yet, was advised only 1700 dollars went to taxes and insurance in excrow. Where did the 7, 000 plus money go? If not applied to mortgage amount, shouldn't I be able to request a refund of those monies? This experience has been a nightmare since the start. If anyone has any insight or information that would help, I would appreciate a reply. Thanks

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  • Ko
    kod Oct 16, 2010

    They have done the same thing to us. But we entered into what they called a forbearance which was supposed to help us get our loan caught up. We had fallen behind a little a had loss of income, so they were gonna work with us to help us get back on our feet. After 2 years in this crap not a word from them, except letters telling us what amount to pay and when it was due by. We paid according to everything they ask. Still they decided to kick us out of the forbearance and over 7000.00 that we paid to them during that time just DISAPPEARED!! They have not and will not give us credit for the payments we made. Then they tried to foreclose saying we were a ridiculous number of payments behind. THEY DON'T KNOW WHAT THEY ARE DOING!!! AND IT IS SO SCARY THAT THESE ARE THE PEOPLE THAT HOLD MY MORTGAGE. They are totally unorganized, they don't communicate at all. There is my 2 cents worth.

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  • Wh
    Where's the recourse? Nov 03, 2010

    The same thing just happened to me. My Annual Escrow Disclosure statement from July indicated I would have an escrow shortage of $428. This is based on 'projected taxes'. I contacted them to ask for a new Disclosure statement based on the fact that I had just qualified for a property tax exemption in my state that would exempt 48% of the value of my home from county taxes. I confirmed with my county that my taxes would be cut in half for the coming year (not to mention the appraised value of my home had dropped by 30%). After three requests they finally gave me a new Escrow Disclosure with an even larger shortage and discrepancy spread. They clearly did not get their projected tax amounts from my county. There is also fine print on my statement that says "Under federal law, your lowest monthly balance should not go below $277.66, but even with their inflated property tax projection, it would not go under that amount. What happens if I continue to pay my PREVIOUS mortgage amount? What did the previous posters do in their situation? I also feel they are trying to 'jack' me for a lump sum or extra monthly amounts when they will clearly owe me money back by my next annual statement. (Unless they flat out do the math wrong.)

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  • Ge
    georgiamomof3 Nov 19, 2010

    I would like to know as well. I am going into a year of trying to obtain a modification only to get the run around and be told after making 12 consecutive payments to them that we are 8 months behind. How is that? Well it appears that they put the money in suspense funds while you are in a trial modification only to charge you late fees and intrest on the balance and they do not consider the payments as they come in. They have caused much distress and now say that I need to come up with 13000 to insure I do not lose my home. Of course no onw can locate my relationship specialist so I cannot find out for sure what is going on with my account. Funny, they have a name but cannot locate the person or extension for him. Anyone with info please contact me at [email protected]

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  • Fn
    FNPissed Mar 22, 2011

    Chase is trying to steal my home also. Even though my pay history shows I've made payments every month and these payments have cleared my bank, they insist I am over 2 months behind. They call me (even early on Sunday morinings) trying to collect money and I"ve told them my account is under investigation. They are unable to show me how or where I was late but threaten to put me in foreclosure.
    This company needs to be taught a serious lesson! I want to sue the hell out of them!

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  • Gl
    GlenninTN Apr 30, 2011

    Since I have had my mortgage with chase my payment has increased by $80.00 a month. They say I need flood insurance and they purchased it for me. My previous lender said Iam not in a flood zone. I cant purchase flood insurance on my own until i have an elevation survey witch cost 300.00 and Iam on a waiting list to have it done. Meanwhile my escrow shortage is growing by the month. This is the second time they have purchased me flood insurance and I still dont have my shortage paid from the last time. I have tried 2 times to refinance with no luck. I cant sell because I live beside my elderly mother and my dad passed away 4 years ago. I guess I will drown in my escrow shortage.

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  • Fl
    FL Chase Mortgage Holder Oct 20, 2011

    Hi to all, I see I am not the only one going through this.. What can we do?? I have been on the phone with every single customer service person that Chase has I have records of 6 months for each call I have made just to try to get a n Escrow analysis WHEN I FINALLY GET IT each one comes out with different numbers... MY problem WAS Insurance went up they said I had an Escrow shortage of $825.27, I paid the amount and still they raised my mortgage payment referring to cushion they need etc. I have sent all my payments ON TIME disregarding all this every month and for some reason they are holding the payments. I spoke to a Supervisor Mrs. Lennerd and she keeps telling me that everything is ok. That she fixed the problem and for the past 3 months my statement comes with funds applied(for the total of my mortgate) and then Unapplied cash (for the same amount) and then a penalty for not paying on time... I HAVE SENT A LETTER WITH CERTIFIED SIGNATURE AND STILL NOTHING... WHO CAN HELP US ON THIS... I HAVE A LOT OF EQUITY TO IN MY HOME AND I HAVE TOLD THEM IF THIS IS A TRICK TO GET MY HOUSE THAT I WILL FIGHT THEM TO THE END... I WANT TO PAY MY OWN TAXES AND MY OWN INSURANCE AND DON'T HAVE THEM INVOLVED IN THIS BUT THERE IS NO WAY I CAN TALK TO THE ESCROW DEPT. THE SUPERVISOR SAID THAT THE ESCROW DEPT DON'T ACCEPT CALLS ???????? HOW CAN THIS BE POSSIBLE.. THEY HAVE MY MONEY BUT I CAN'T TALK TO THEM??? IF ANYONE CAN HELP PLEASE WRITE AND LET ME KNOW WHAT TO DO...

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  • Fi
    firedup99 Dec 20, 2011

    Me too, this is shocking that you all are having the same problem. Has anybody found any satisfaction with talking to Chase? They hung up on me the last time i tried!

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  • La
    Ladyquinn Apr 02, 2012

    I have just taken on the services of an Lawyer, as the same thing is happening to me with regards to Escrow, late fees, , they have even report me to the credit agencies for making late payment!!!, payments have NEVER been made late, my bank statements prove that! anybody interested in enjoying me, please e-mail me.
    This is how a class action could start!
    [email protected]

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  • Je
    JeffLime May 22, 2013

    We are dealing with chase and their pitbull collection agency Baybview loan servicing. We have never missed a payment and all our payments that are made the next day are put into what they call an unapplied cash accound. We have spent over 2 years making calls and finally have retained an attorney and found out this happens all the time with chase. They call it unapplied cash account suspense account. They don't tell you or the customer service person you talk to doesn't tell you that once they put you into or force you into that category. They limit the amount of information that their own customer service agen can even see, they can't look up history or most information. They are pretty much pretending to do some work if you happen to get lucky and get a agent who sounds like they are interested in helping you. The attorney we are using said it will take years and pretty much chase doesn't care and you are just a drop in the bucket and they are going to wait you out and wait for you to go broke trying to fight them with legal fee's. They are one of the most dishonest banks and even more so than bank of america.

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  • Le
    Les Petty Feb 11, 2015

    This has happened to me also my payment went from 756 a month then, Bam!! went up to 1026.89 so if something can be done please E-mail me to [email protected]

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  • Ch
    Cheated by Chase Jul 23, 2015

    I recommend that you all listen to What Lies In Your Debt. Monday call is at 9P phone: 724-444-7444 pin: 54318# . If Chase is calling your cellphone, they they have violated the TCPA and owe you $500 dollars per call. Keep a log of the time they called, the number called from, date and tell them to communicate with you in writing, not by cell if you answer the calls. If they have reported negative activity on your credit report, this is an FCRA violation and a FDCPA violation and that is a $2, 000 dollar fine per credit agency per month. This call will help you understand how to collect on Chase. I am about to collect on Chase for reporting negative information on my credit which was from forced placed insurance. I paid all fees and disputed. they then began to foreclose even with payments current. They will not return the funds that they overcharged. They now claim it went to escrow, but my escrow account claims 0 balance. They are thieves and all of you need to go after them for the way they try to collect an alleged debt. They believe they are too big to fail. Collect the consumer protection fines from them. These are the only laws that congress has given us. There is a private right of action and a civil remedy written into the federal acts. Each state also must have a statute to mirror the federal act and you can collect off from the state act also. Some states allow $10, 0000 dollars per call, if you are in those states, you can pay off your mortgage if they have called your cell.

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  • Ro
    RockNMouth May 28, 2016

    After spending hours crunching the numbers with Chase, I found out that they were creating the "shortage" themselves by paying my taxes early, therefore leaving me short. They are paying in January when the bill isn't due until February. The problem with this is that when they send the payment, January's portion of the payment towards the escrow has not hit the account yet, making it look like I am short, when in fact I am not. This is like when Chase mixes up the deposits and withdrawals so that they can charge you an "insufficient funds" charge, even though you deposit the money that is being deducted the same day! They jumble the payments, and now they get you with the timing of escrow payments - not waiting for the amount to hit the account to say that I am short. Also they told me over the phone they don't hold the minimum allowed by law they hold the MAXIMUM allowed by law. They are escalating the issue, and will get back to me in 10 days. I'll keep you guys posted!

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  • Pe
    PetPete Jul 27, 2018

    We got a letter from Chase today. Keep in mind Chase BOUGHT my loan from Quicken Loans and is now servicing it. The letter says my monthly payment is going from $795 to $1178, nearly a $400 difference per month based on "estimated escrow projections for 2019. They're basically stating they believe my property taxes will increase by $200pm and my HOI by $200. This is robbery. Plain and simple.

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  • Do
    DonatoT Oct 19, 2018

    More amazing, I dont have a shortage but they want 2 months banked just in case? This is insane, so my money will just sit there? Not earning interest.. not paying anything... just in case? How can this be? My loan was with someone else, chase bought it... now they are changing the terms?

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