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Roundpoint Mortgage Companyescrow account fraud!!

Review updated:

ESCROW FRAUD! I highly recommend that you do not do business with this mortgage company. My mortgage was purchased from this company shortly after my closing. In the ten months that they have held my mortgage, I have had numerous issues. Even though I pre-paid a year's worth of homeowner's insurance for closing and I was not required to carry flood insurance, they forced placed policies for both. I sent them proof of insurance and a certificate of elevation, as well as a LOMA from FEMA. I had to call several times as they stated they had not received the documents. Finally, I faxed the documents and called the next day to confirm receipt of the same. After following up three or four times, they canceled the force-placed policies.

Months later I received an escrow analysis. The insurance amounts for the cancelled policies were included, causing a shortage in my escrow account which raised my monthly payment over $300. I called in March and the representative said they would run a new escrow analysis. She said this would be done before my April's payment (three weeks). The analysis was never run. I called again and spoke with a representative in the insurance dept. to verify that they actually did cancel these policies and explained the issue with them. This representative was very nice and confirmed cancellation and called the customer service with me on the phone. We spoke with Arron. He again stated they would run a new escrow analysis removing the insurance premium for the forced insurance I never needed, and no longer had. He said this would be done on May 3. I told him this was an issue for me as my payment was due to come out of my account on April 30th (for May) by auto pay and that this was the second request. I couldn't understand why it was taking over six weeks to get this new analysis. His response to this was to move my auto-payment to May 5th in order for them to have time to run the new analysis preventing them from taking the additional $300 out of my account.

On May 4th, I received an e-mail reminder of my auto-pay, however, it was for still for the incorrect amount.See Top 10 Worst Companies in Charlotte, NCI called immediately and spoke with a representative from the insurance dept and asked them to call the escrow dept with me on the line to verify once again that they did indeed cancel the policy, and that flood insurance should not be included in my analysis. It turns out that after multiple promises by Roundpoint Mortgage to run my new analysis, it still had not been done. She put in yet another request and got back on the line and told me they definitely would have this completed by May 8th. They once again moved my payment, now to May 10th so that they would not auto-debit the incorrect amount. This is now the third request, and it taking almost two months, and hours on the phone to get a new analysis. It is now May 10th and I just received e-mail confirmation that Roundpointe Mortgage, after all this, has debited my account with the $300 increase included. They have never run my corrected escrow analysis and are still charging me for the flood insurance I do not need, want or have.
I have read several complaints regarding this very same issue on several boards, social media, the BBB, etc. It is a reoccurring theme with this company. They never error on the side of the client. In each case, they are over withholding our money. I can not believe a mortgage company is truly this incompetent in maintaining the escrow accounts of their clients. I have read that class action lawsuits have been filed against other lenders over the same thing. Based on the number of complaints by Roundpointe customers all over the net, I am considering contacting a class action attorney to determine what steps would be required to do the same. They are able to run audits of the escrow accounts. Whether it is fraud or convenient incompetence, it is absolute mismanagement; and I believe they have a fiduciary responsibility for the maintenance of these accounts. I am sure they will be able to reach out to those of us who have come forward and complained, as well as secure a list of their customers. I am certain there are many more of us out there.
I am also reporting them to the BBB and the Consumer Financial Protection Bureau. I won't be contacting Roundpointe for a fourth time for this problem. I just don't have the endless hours needed to spend on the phone with them, to deal with yet another incompetent customer service representative to explain the situation over and over again. Interestingly, they sound confused, as if this is an unusual case. After everything I have read, it's what they do best. Just letting a legal representative deal with them.

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Comments

  • Bl
      Aug 26, 2017

    very interesting information thanks for posting

    0 Votes
  • Mp
      May 02, 2018

    Hi, I work for a law firm that handles class action litigation and we are looking into this issue in anticipation of filing a class action lawsuit. We would love to speak with you about your experience with Roundpoint. If you are interested, please call Gary Graifman at [protected].

    PS. I am experiencing the EXACT same issue as you which is what prompted this search. I am appalled to find out that this appears to be common practice with this company.

    I hope to hear from you.

    +1 Votes
  • Dj
      Apr 05, 2019

    @MProvost I am working with a borrower who came to me to refinance because Round Point will not reduce their monthly property tax amount even though they have sent in proof of their current taxes. The home they purchased was new construction so the property taxes collected at the time were estimated and double what they actually ended up being. They refunded the overage but will not reduce the monthly making them pay the double payment each month meaning by Jan next year they will have another overage over 2400.00. The borrower has requested on the phone, via email and mail that their property taxes monthly be reduced reflecting their tax statement. This has been going on now for 6 months. I finally went to our attorney generals office for our State in hopes that they will be able to help. Absolutely ridiculous!!!

    0 Votes
  • Nj
      Jun 01, 2018

    I am experiencing the same difficulties with this company and would also like to be involved.

    +1 Votes
  • To
      Jun 23, 2018

    I have been fighting the same thing since Feburary. I get no where, calling them just means you get to stay on the phone for hours, they'll tell you it's fixed, but in a day or two you'll get another escrow analysis, with no changes.

    In January FEMA contacted me asking me to have my property officially surveyed to get a true assessment of my flood risk. I did so, and the result was that I was only a fraction of an inch into the designated floodplane. The surveyed showed me how to add fill to remove my home from the floodplain, thus eliminating my need for flood insurance. I did this, the surveyor returned and did all the necessory forms, which he submitted to FEMA. On January 24, 2018 I received a "Letter of Map Amendment" amendment stating that my home was no longer in the floodplain, solood insurance was no longer necessary. I then sent copies of this correspondence to my insurance company and Roundpoint. The insurance company, after reviewing these materials, cancelled my insurance and sent a refund.
    You'd think all was taken of, wrong! I was contacted in early February by Roundpoint, and they had not removed the flood insurance. I called them and was told they had not received a copy of the letter from FEMA. So, I faxed it to them again and thought everything was taken care of. I receive one on two more letters from Roundpoint workout any changes to the escrow. When I called about these, I was told I had not given sufficient time for the changes to be reflected into the analysis, and I accepted that.

    Then came May 23, 2018. I received a letter telling me I must renew my flood insurance, or Roundpoint was going to purchase it for me and add same to my escrow. I immediately contacted Roundpoint and was told they could not find any correspondence from FEMA in my file, and was told to fax it to them again. I did so, but since I'd already sent one fax, I called back to assure myself they had received it. Well, I was told they did not and asked that I send it again, and I did; same result. This time they gave me an alternate FAX number; I sent it to that number--can you believe it, they said they didn't get it. At this point I asked to speak to a supervisor. The supervisor fed me the same c--p; so I asked to speak to her supervisor. She connected me to Tyson. Tyson had me fax this information to him directly. It took a long while, but finally Tyson said he had it. Further, all of a sudden they found the Feburary fax (or so they said). I was assured that everything would be straightened out. Move forward to May 29, received another letter with another escrow analysis; no changes. I called again and this person said she could see the mistake and would request another escrow analysis, and ask that I be patient.

    I received a phone call from Roundpoint around June 18, 2018, but I missed the call. Later I returned the call, and the customer service person could not tell me reason for the call. I informed her that I was expecting a corrected escrow analysis, and she said that was it and I'd receiving something soon. On June 22, 2018, I received a phone call from someone at Roundpoint, stating that I had to have flood insurance. I told her of the letter from FEMA, which said I was no longer in the floodplain, thus I had no need for flood insurance. She then ask that I fax a copy of that letter. I refused as I have already faxed it to them four times and emailed it once. Then she stated that when she looked in my file she found a copy. She then said I would have to speak to someone in the insurance department. I was told she would be on the line with me to explain my dilemma. The transfer was made, but the original lady was not on the line. After a brief conversation with the person at the insurance division, I became angry and hung up.

    After a short period a called back to the insurance division and specifically ask for, no I insisted to speak with Tyron. I was put on hold, but 20 minutes later I was told Tyron was familerizating himself with my file and he would be with after a short hold, nearly another 20 minutes later I was told Tyron would be right with me, another 5 minutes passed before Tyron finally answered. To begin with Tyron played dumb and made me go through the whole thing again. I finally ask if he remembered our earlier talk back in May. Surprisingly he did. Now he tells me this isn't a insurance division problem and I would have to go back to customer service. Well he transferred me to Amy, and he did stay on the phone to introduce us (said "here's Amy" click). Now I have to go through the whole damn thing with her. Now she tells me there is a form I'd have to complete to take the flood insurance off the esgrow account. I ask why I was not told about or been provided this document back in Feburary, or in the later dealings with the company. She said this form was seldom used or something like that. She then offers to email it to me. I said that I would get right on it and return it right away, then I'm told it would be one to two business days before I'd receive the email, and I would have to speak with the "Escrow Department." She then gave me the number for this department. I asked why it would take so long for hee to send the form without answer. I asked why I had never been told about an Escrow Department, after all this turmoil., again no answer. I'll admit I was not at my most pleasant disposition by this time and stated what I thought of Roundpoint. I remember telling her that I thought all their employees must have attended [censored] Tech. Almost forgot, by this time the Esgrow Department had closed and I would have to wait until Monday to call.

    If I do not get any where on Monday, I plan to speak with an attourney.

    0 Votes
  • Td
      Jul 19, 2019

    @Tom Glick We are experiencing the same and will file suit. Contact my attorney Courtney Weiner at [protected]

    0 Votes
  • Br
      Aug 03, 2018

    I have been fighting with this company for a year about an escrow problem. They tried to say I had a shortage of $2400. However, I know how much my taxes go up every year because our school district is building a new High School. It turns out that they did not pay my PMI correctly, and wanted me to pay for their mistakes. This seems like a very common thing that happens with this company.

    I reached out to Gary Graifman today 8/3/18. I'm waiting to hear back from him, but everyone should reach out to him to see if we can get something started if indeed something can be done.

    0 Votes
  • Mo
      Aug 08, 2018

    Horrible, deceiving, unprofessional ... the list goes on and on. My issue began when I had a roof leak form the storms we have been experiencing on the East Coast. I received an estimate and check from my insurance adjuster on behalf of State Farm. Unfortunately, the check was made payable to me AND Roundpoint Mortgage. After 3 messages and no return phone call, I finally got through to a Rep who explained they have a CLAIM KIT (8 pages)which I need to print out for each Contractor involved with my roof replacement and minor drywall repair and interior painting. Roundpoint would like each individual Contractor to include a very detailed, itemized Estimate and it must be signed and Notarized by a principal Company Agent. I've already had 3 legitimate Contracting companies pass on my repair because they do not have the time to accommodate Roundpoint's requirements. In addition, the Rep told me to sign off on the $8, 500 Insurance reimbursement check and mail it to them so they could deposit in into "their" escrow account, to be dispersed out to my contractors "at their discretion". The worst part was this would take 15-20 Business Days from the day they receive my completed Claim Package with Notorizations and Estimtes. I explained I was not comfortable signing off on this rather large check and just popping it into the mail, along with the fact that I needed a new Roof put on as soon as possible because our storms were continuing. I went onto say it is MY Insurance Policy and My house. The Rep responded with, "Not yet", implying since my house was not paid in full, by house actually belongs to Roundpoint! True, but still, how obnoxious. Once my head stopped spinning in anger, I requested to speak to a manager in the Claims Depart and was transferred to another button pusher. Not only did the next Rep confirm everything I was previously told, but he went onto say if there were any funds remaining after repairs they would not necessarily return them to me or my Insurance Co., but would possibly hold them in escrow or tack them onto the principal balance of my mortgage!! By now, I was seeing red. Completely speechless.
    I've read countless complaints with regard to Roundpoint misappropriating Insurance payments. How can they continue to get away with this??? Meanwhile my roof is tarped and rain continues to pour off my roof in drenching streams all over the back of my deck and property.
    If you have a choice, Run away as fast as you can before getting involved with this company. They are the absolute worse.

    0 Votes
  • Jo
      Dec 09, 2018

    I have had almost the exact same problems with RoundPoint. When they refunded the forced place insurance they refunded $1486 less than they took. After several calls to them they refunded the shorted amount leaving a surplus in my escrow. They then immediately took out $300 as recovery...but the online analysis doesn't show that they had paid anything for that amount.

    0 Votes
  • Pe
      Jan 07, 2019

    I have a feeling they scammed me with my escrow... Is there a time limit on pressing charges? thanks

    0 Votes
  • Ci
      Jan 25, 2019

    as they issue me a refund for the overage in my escrow account, they attach a letter stating they are increasing the amount due each month for my escrow!! how do I cancel my escrow with this crooked company?? which government agency do I report them to? HELP!!!

    0 Votes
  • Sh
      Feb 04, 2019

    My loan was sold to them from Envoy Mortgage, and I also see "Recoverable Corporate Advance" charges on my year end summary statement. There is no reason I'm aware of for these two charges to hit my account. Both 1, 500+ making for 3K in unknown charges. I contacted them, and they researched the two charges, and claim that they have been reversed or adjusted off. They are to mail a new summary statement showing the full history. WE shall see.

    0 Votes

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