My mortgagor cashed a check from our insurance company in 8/07, but funds were never deposited into our escrow account. I have copy of canceled check. A couple months later, the bank tells us we are short and sign us up $200 extra monthly, until deficit is made up. Took us a few months to figure out we were not at fault. Before we did, extra money caused us to be late couple times, and the bank threatened to foreclose and put us into forebearance agreement.
The bank has just admitted to "error". When I call, I get different answer every time about if/when/how money has been applied, and despite three written requests, I can't
get a copy of an activity statement out of them since the error was realized. In addition to crazy costs tacked on and a forebearance agreement, we have now also repaid the escrow through the increased monthly payment. For every ten times I call, I get called back maybe once saying they are "working on it". I have gotten account activity statements by fax in past on the same day a request
was made. We are desperate to get the money back. What are we to do?
Escrow accounts can vary and its not certain where your insurance check was supposed to go, into the escrow, against the loan, or held for home repairs to which you agreed. At this juncture, it sounds as though the problem has extended for some time and you're getting inconsistent responses. Call once more and ask for an officer-supervisor. Explain to him your problem, and if you do not get immediate satisfaction, tell him you want to contact their regulator, preferably their federal regulator. Ask them who that is, and then you can contact them by phone or email via their web site. That regulatory agency (Office of the Comptroller of the Currency, Federal Reserve Bank, Federal Deposit Insurance Corp., Office of Thrift Supervision, National Credit Union Association, Department of Housing and Urban Development or a state agency) will ask your lender the same question, but will ask the president of that lending company/financial institution and expect a reply within usually 30 days.
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Escrow accounts can vary and its not certain where your insurance check was supposed to go, into the escrow, against the loan, or held for home repairs to which you agreed. At this juncture, it sounds as though the problem has extended for some time and you're getting inconsistent responses. Call once more and ask for an officer-supervisor. Explain to him your problem, and if you do not get immediate satisfaction, tell him you want to contact their regulator, preferably their federal regulator. Ask them who that is, and then you can contact them by phone or email via their web site. That regulatory agency (