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Nationstar Mortgage / huge increase in escrow

Lewisville, United States Review updated:

My mortgage was sold from Bank of America to Nationstar mortgage. I no longer get paper statements (but I did not elect to have them stop). I never received any escrow summary/annual review, but today got an email and notice in the mail that my payment was in suspense (not being applied to my loan) because my escrow had been increased. I had no idea. The payment will not be applied to my account until they get the additional funds. They were kind enough to tell me that late fees will be assessed today - how convenient since I only found out today. Additionally, if I want to pay online to avoid the late fees, there is a $9.95 charge.

I called to complain and they kept telling me that the increase is required. They tried to fool me into believing it was required by law...little did they know I am an attorney. They also told me that all mortgage companies do this...well, Bank of America and Countrywide never increased my escrow payments so they could have a 1/6th cushion. There is no good reason $1, 000 of mine should sit in their accounts earning interest for them instead of in MY savings account earning interest for me. What a shady company.

Dm
Mar 17, 2014
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Comments

  • Ra
      18th of Mar, 2014

    We are stationed on Guam, and BOA sold our mortgage to Nationstar right after we moved in April 2012. We moved from off base to on base house Sept. 2012, and I had only received 1 notice from Nationstar letting us know where to send payments etc. So, Dec. 2012 I call and update all info. We still as of March 2014 never receive any account info other than last years end of year statement!!! So, my husband calls today to get our tax docs faxed... we are told that we are about to foreclose!!! Our escrow was increased about $75 and we have been constantly behind for almost a year... but a few months ago I paid 2 payments in one month by mistake... that's what happens when I use web bill pay to remember to pay my mortgage and don't EVER receive a bill and I have paid the same amount I have paid since they first sent a bill. They tell my husband that there is an "early payment penalty" and that it was posted all to principle... not towards any balance due??? What in the world??? The have not updated info, even though I personally updated it!! They have never contacted us!! They tell my husband that they have too few employees to contact us!!! I'm furious. We live in Guam, they can look at the account and see we are military, and see what happened... Now they are saying we need to pay $3500 but there were no fees??? It doesn't add up.

    +1 Votes
  • Te
      25th of Mar, 2014

    Again, Nationstar switched communicating to e-mail account. One we never read, because the e-mail account was on our 10-year old loan.


    We did not receive a 1098 as required by law. We have not received a statement of our accounts or our escrow payments since they bought the loan over 1 year ago.


    Same scenario as another complaint, they increased the escrow by 150/mo and held my payment in suspense until I called. How would I know it had increased without any communication from them. 4 more days and they would have reported me to the Credit Bureau. Where the Hell is an oversight agency for these unethical idiots????? I'm old, but I'm not stupid...talk to me lawyer...what is a 1/6 cushion and is it legal???


    I'm from Texas and they CLAIM their office is in Texas, God I'm sorry about that. No ethics, no communications, suck in money and if you want something from them, like a monthly statement, a 1098 for your tax return, etc. they can refer you to a customer service representative in another country. This is BS.

    +1 Votes
  • Da
      16th of Apr, 2014

    Hello all!

    dmmurphy, your complaint was one of my favorites because it truly sheds light on the fact that Nationstar representatives blatantly violate homeowner's rights on a daily basis without even knowing that they are doing it, which does not excuse the behavior. Also, there are so many violations compounded into one it is as if they just were trying to see if you were paying attention by throwing at you every violating thing that they could possibly do at once given your situation. How ignorant and abusive!!! Unfortunately, I have the privilege of dealing with Nationstar on a daily basis and I truly feel that they drain good brain cells from my head as they violate my client's rights under my nose.

    Rachel Purkey Brown, I would first call the news to see if they will do a story because Nationstar is ridiculous and then I would look seek the assistance of your military legal assistance to get Nationstar to behave and utilize the Servicemember's Civil Relief Act (SCRA) if needed. That is just so violating let alone unfair and abusive! You have rights and you need to assert your rights either by yourself or by utilizing the resources you have at your fingertips immediately to hold them accountable.

    Texas Chickie, your complaint is valid but Nationstar may also have the right to assess up to 1/6 or 2 escrow payments depending upon your state laws so I would check there first with your Department of Financial Institutions or ask a friend in the mortgage industry as they should know the parameters of the law. Inaccurate and unfair reporting is a violation of the FCRA so if they report you in error and refuse to change it then report them immediately to everyone.

    I routinely look for posts to answer in hopes that it will not only bring optimism to those homeowners and borrowers in distress but also some basic information to assist in fighting the banks that are "too big to fail" but yet don't appreciate the bailout that we provided in their time of need. The debt collectors like Ocwen and Nationstar are simply just ### but they can be beat at their own game too just like the big banks can be defeated.

    END Consulting is a full service strategic debt and credit consulting firm started in 2006 with expertise is debt negotiations coupled with an exceptional track record of strategic consulting to include the real estate industry with a formidable business foundation. We have successfully assisted over 100 clients in the past year alone in achieving desired results with regards to their mortgage loan(s) by stripping down the validity of the debt and forcing the lender or servicer to work with our clients to provide ethical, legal and affordable mortgage workout solutions. The results that we negotiated for our clients were not on the table for most when we took on the client as it took regulatory muscle and aggressive communication to achieve the desired debt restructuring resolutions.

    I would be happy to elaborate for anyone as we always offer free consultation until we can determine if we can assist you to include contacting the bank and/or servicer for you for free to uncover the options that exist for you in this situation. You can reach me via email at Dana at ConsultingEND dot com or via the web at ConsultingEND dot com. I have had the pleasure of restructuring millions of dollars in debt and helping hundreds of homeowners...my firm is exceptional at what we do!

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    +1 Votes

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