Complaint Review: WAMU Washington Mutual

Our problems with WAMU began in March of 2005 with a series of misposted and/or non posted payments, inaccurate escrow and principle accounting, unpaid but collected property taxes, address issues all leading to an Attempt to wrongfully foreclose. Through a series of phone calls, faxes and actually going to the local branch for help this further lead me into an unknown consumer twilight zone of sorts. I got absolutely no action, no response from the entity that controls the roof over our heads.
WAMU due to fees, inaccurate accounting, and unfair credit reporting has attempted several times to forclose on mt home even though we have never missed a payment, or at least we never did until they forced us into Chapter 13 Bankruptcy. In 2003 we purchased our home with the knowledge that it was in need of repairs, which was fine with us because we could not afford a higher payment. During the Mortgage process WAMU's represenative informed us that they would need to appraise the property before the loan proceedings could begin. At this point in time we had been purchasing the home through Contract for Deed through a private owner. Knowing we needed finiancing we used the internet to get in contact with lenders, Needless to say WAMu responded and made the deal seem great. So we decided to go ahead with finiancing.
We had origionally purchased the home and land for 43.000, and in our area homes usually sell for 100 - 119 thousand. When WAMu told us they needed to do an appraisal we became a little concerned because our home was still in need of some major repairs. WAMU informed us not to worry that they would instruct the appraiser to look through rose colored glasses, we had no idea what this would mean for us in the future. Needless to say WAMU appraised the home at 64,500, and secured the loan for us. We did not think much of this because as they explained to us the appraisal compared our home to others in the neighborhood to deterine fair market value for our home.
After obtaining the mortgage we proceeded to do an additional $26,000 in repairs everything from new windows and doors, new roof, new siding which we had the outside of the home stripped to bare studs and replaced all insulation with new which had an R-30 value, all wood underlayment was replaced and the exterior of the home was made maintenance free with the entire structure on the outside redone.
We then moved indoorse and had a new heating and cooling system installed. and completely remolded the kitchen and utility room. After all of these repairs we had the home reappraised through an independant inspector for insurance purposes, and was shocked to find out that the home was only worth 58,000.
Shortly after this we discovered that the entire plumbing system in the home needed to be repaired, at this time we where out of cash and had no way to pay for the work that was mandatory to make the home livable, as we had raw sewage leaking into our yard. We notified WAMU of this and they where not concerned. We tried in vain to borrow extra cash to complete the project but WAMU refused citing that the home was not worth what we had paid.
Because the City insisted the work be completed or we vacate the home we had no other choice then do so. This caused us to fall behind three payments and to seek the help of Chapter 13 bankruptcy with a 100% payback agreement. WAMU has fully ignored the Courts and has repetedly attempted to forclose on our home citing that we had missed three payments. Although those payments had been included in the bankruptcy.
To date WAMU has been paid in full through the trustee assigned to our case. Moreover, since we filed we have never missed or been late on a payment. However WAMU still claims that we have not made the payments necessary to secure the creech in our mortgage. We have sent them the receipts and the payments history from the trustee showing that we in fact have made every payment due. However WAMU has been applying the majority of our payents to fees and unapplied subsudues and funds which moone will tell us what unapplied subsidies and funds mean. They claim that they pay the taxes on the home twice a year However in KY property taxes are only due once a year in Janurary but each year they collect 1300.00 for property taxes which are auctually $630.00 per year
We paid an independant mortage inspector to review the mortgage and calculate the correct interest and payments he determined that not only are we currant but we have overpaid WAMU 3239.00. Howveer WAMU refuses to recognize this and will not accept the receipts they have been provided from both the trustee and our bank. They repetedly send someone to our home to photograph the outside and each time bill to our account a $75.00 inspection fee.
A year after our bankruptcy WAMU filed a motion to start forclosure on our home through the courts, We presented to the judge allpayment history and trustee statments of payments and that time the judge fined WAMU $1500.00 citing that we in fact had never breached our contract.
A year after that WAMU drug us back to court stating the same thing, which we could prove false and the judge fined WAMU $5000.00 Over the next two years more of the same thing letters threatening to forclose citing missed payments and failure to keep insurance. We carry our own homeowners insurance as WAMU only wanted to insure the note and we carry replacement coverage. During the independant mortgage inspection we had done we discovered that WAMU had been collecting $65.00 monthly to pay insurance that they did not carry but we where still paying for.
It has been revealed to date that WAMU has charged to our account almost $5000.00 in late, and inspection fees. although we can prove that not only had we not missed any payments but to date have overpaid WAMU $3200.00 that no one can account for. As of yesterday I received a letter from WAMU threatening to forcloes due to missed payments. There reason for this is that when we send in a payment they apply that money to the fees that have been applied to our account and that if we wanted to make a paymen ton the house we would first have to oay off the $5000.00 in fees, then the monies we send every month would be applied to our mortgage.
We have since hired another attorney who clearly states that we in fact are ahead on payments and that it is illeagle for WAMU to collect $1300 per year for taxes which are auctually only 700.00 if paid late. In Addition he stated that it is also illeagle for WAMU to collect for insurance they do not carry. We and he has contacted WAMU on several occaisions to setermine what is goin gon and are placed in transfer hell our calls are repetedly transfered and no one who answers the phones will provide us with any information. We then requested a entire payment history and it also shows that we have never missed a payment and that no monies have been received through the trustee although we have submitted a copy of the cashed check WAMU received.
Last month fed up with dealing with WAMU I made a confrence call which included myself a represenative from Consumer Credit Counseling and WAMU, they explaind that if I could send they 3200.00 ,y mortgage would be currant and out of foreclosure. I then went to my work and withdrew from my retirement the 3200.00 and sent that money to WAMU using electronic deposit through my bank. The following month I called WAMU to insure that the payment was caught up and that we where back to just making our normal monthly mortgage payment. It was then I was informed that all the money I sent according to the agreement with Lupe from WAMU, and Mohogany Coleman of the Consumr Credit Counseling agency, was applied to fees and unapplied subsidies and funds and none of that money was even applied to my mortgage payments.
This has been a nighmare for us and we have done everything humanly possiable to work things out with WAMU, even overpaying them. However none of our efforts seem to pay off No matter how much we send or what proof we have WAMU still claims we are behind and they are going to foreclose.
Don't know what else to do

Jeff
Louisville, Kentucky
U.S.A.

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