Paul
Lake Forest,#2Consumer Suggestion
Sun, November 06, 2005
An escrow account works like a savings account to help you pay your property tax and/or property insurance bills when they come due. If your loan is set up with an escrow account, the lender will ESTIMATE how much it thinks you need to save up for the next year's worth of payments. It's important that you know it's an estimate. The problem with escrow accounts are: we can only guess at what our future bills will be based upon what we paid last year. Here's the deal. Since it's the mortgage servicer who is now doing the estimating, when they come up short, they pay the bill anyway, out of their own pocket. However, they request that you repay that amount over a period of time -- usually, 12 months. For some, that's a good thing. Because if they were saving the money on their own, and come up short when the bill came due, they'd be up a creek without a paddle. You ask who is culpable. In my experience in a mortgage servicing institution, we find that the branch that originated the loan sometimes miscalculates what was required for an initial escrow deposit. However, that should have been noticed within the first 45 days of your loan, during your initial escrow analysis. Since you've indicated that you've had your loan for a year, I'd check with the tax authority to find out how much the tax bills really did go up in the past two years, then review your last two escrow analysis statements to see if the math adds up with your company. If, indeed, it turns out to be a genuine underestimate, please accept the fact that very few of us can predict the future, and be thankful your lender isn't asking for the $2,000 in one lump sum.
Brent
Peabody,#3Consumer Comment
Fri, November 04, 2005
Hi, First, I am an ASC customer, and been so since Aug 05 after OptionOne sold my loan. So far I haven't had any real complaints against this company except for one small issue regarding ESCROW minimum balance. However, I take exception to the ASC employee who states that they prepay or lend the customer money to cover insurance/taxes from the escrow. That is not true!!! The ESCROW is there so they "don't" have to front the money!! perhaps that is why my minimum balance is so high :) Just my 2 cents RB in MA
Mo
Charles Town,#4UPDATE Employee
Sat, April 09, 2005
I work for americas servicing company and answer calls all day long with problems or concerns of homeowners, I was made aware of this site and thought I would check it out. Some of the things read here are valid, but some are not! For one thing when a loan transfers , asc does not change terms of the note. Everything that was on original documents that YOU signed stay the same , and here are most of homeowners concerns. 1) I transferred to asc and suddenly my payments are higher due to an escrow shortage. Explanation Sometimes the prior servicers do not pull enough into escrow to cover taxes and insurance for the next year, since escrow accounts are only analyzed (balanced) 1 time a year. As soon as the loan is transferred your escrow is balanced. Sometimes it is fine, sometimes there needs to be more money pulled in the escrow "bank" Obviously if your taxes used to be lets say 2000$ yearly then increase to 3000$ your usual montly payment will not cover the tax bills for the year. Taxes and insurance money is not asc responsibility to pay for you. Asc is already fronting the money for the bills and letting you pay it back in a 12 mth period. 2) asc force placed an insurance policy on my loan explanation : ok yes , per your original note at closing it states, in the event of your loan being transferred , it is the homeowners responsibilty to notify your new servicer with insurance information. Believe it or not, some people who do not have escrow accounts, meaning that they are responsible to pay their own bills.Fine. However some people are irresponsible and let their insurance coverage lapse for non payment , so then what happens, a fire, a flood , whatever, and then your mortgage company is out of an investment and your out of a home. So, asc sends letter after letter requesting insurance proof. Homeowners ignore this all the way until , oh my, my payment has increased with a lender placed policy. But as soon as you provide proof of coverage , it is dropped and any money paid is refunded. 3) Im not recieving statements and that made my payment late explanation: Yes when a loan first transfers it is a confusing time, most homeowners do not even know their loan transferred. However, any loan , anywhere for the first 60 days are protected by respa guidelines. A law that prevents late fees or credit reportings. On the other hand loans that have been with a servicing company a while and maybe missed a statement and use it as an excuse not to make their payment , full well knowing the payment is always due the same date is no excuse. Statements are not a requirement , they are a courtesy, and that is not just asc that is any credit card or mortgage company. If a homeowner cant except an escrow acc , request to pay your own taxes and insurance , and pay 3000-? out of your pocket every year, thats fine. asc does not want your house , we are a servicing company who makes money of interest like everyone else in the world. We are not the lender , we do not make that much money off loans, we service for the original lenders who lent you money for your home. Fannie mac, fannie mae , so on and so forth. we try really hard to solve all of your problems with what we have to work with. We are very interested in helping you and I have been yelled at and cursed at by h/os for their own ignorance for things that were their own fault. please read your original note.
Natasha & Joshua
Kenton,#5Consumer Comment
Mon, March 28, 2005
Our loan has recently been sold to America's Servicing Company. We had sent in our payment to our Direct Lender who initially serviced the loan. In between this our loan was sold. We then recieved calls from America's Servicing Company showing they were collecting a debt. We had for one no idea that our loan was sold and two we had made our payment. At that time we cancelled payment to the Direct Lender and Express Mailed the payment to America's Servicing Company. They continued to call saying they had not recieved our payment. I looked online and saw they infact had our payment and signed for it 4 days ago. Apparently, they just don't post them for days and days. Seems they are a big joke!!!! I can't believe our lender would sell to a company who preys on Foreclosures!!!!!
M
Harrisburg,#6Consumer Comment
Mon, February 14, 2005
Please read the other complaints on this company and Wells Fargo, you will see you are not alone in this!