Rushmore Loan Management Services LLC Overestimated escrow shortage for a higher mortgage payment Los Angeles California
In July 2019 we chose another insurance company for our homeowner's insurance policy. We saved over 1200 dollars annually by doing so and our property taxes did not increase. Not only did Rushmore not reduce our mortgage payment; they have increased the payment.
They estimated a $500 escrow shortage initially, then once they realized we had switched insurance carriers they arbitrarily estimated an escrow shortage of more than $3000. Again, by changing we saved over 1200 dollars annually on insurance, taxes did not increase, and we had never missed a mortgage payment.
They keep adding random fees also. We have filed a complaint with Consumer Finance.
2 Updates & Rebuttals
Michele
Cordova,Tennessee,
United States
Yes, they have added random fees.
#3Author of original report
Thu, January 16, 2020
We simply saved by changing to the insurance company with whom we have car insurance for a better rate. I have advanced degrees and am very well read. Rushmore has not given an intelligent response for not changing the payment and they do have fraudulent practices. That is the fact.
I have a contract attorney I have used before with whom we are going to speak. We gave Rushmore time.
Robert
Irvine,United States
Questions
#3Consumer Comment
Thu, December 05, 2019
If you add up your property taxes and homeowners insurance for the year, then subtract your total escrow payments do you have an overage or underpayment? What did your last couple of years look like(your statements should show this). Have you constantly been over or under?
Now, you said you saved $1200/year. How did you get to those savings? Did you get identical coverage? Did you lower or remove any coverages? If you lowered or removed coverages it is likely that you may no longer be at the minimum the mortgage company requires and they put in "Forced Placed" insurance for the difference. It is also possible that they did not get proof of your new insurance.
Have you talked to them about why the increase? What was their response?
They keep adding random fees also
- Companies just don't add "random" fees, as I can guarantee you that your statement doesn't say something like "$500.00 fee just because". What specificlally were the fees for and are they allowed for in your loan?