Complaint Review: Ocwen Federal Bank - Orlando Florida

I refinanced my mortgage last year, and it was sold off to Ocwen. Since February 2002 I have had nothing but harassment and bogus charges from that company, and am fearful that someday these tactics may jeopardize my home.

Shortly after the mortgage had been transferred to Ocwen, I received a letter from them that their records indicated I did not have the proper hazard insurance coverage, and that they would purchase this for me (and then charge me) if I did not respond to them within 10 days. I contacted them immediately, and also had my insurance company fax the proof of insurance to them. \

I then received another letter dated 4 days after the first letter stating that they had gone ahead and purchased the hazard insurance. I contacted them again (note, all the 1-800 numbers and menu options all seems to go in circles, and wind up in the same department, where no one knew what was going on, had authority to do anything, or communicated with any other departments) where I was told the department that had issued the 1st letter was not responsible for the purchase of the insurance, which was handled in another department.

I then had to contact my insurance agent again to resend the proof of insurance to them (this time by fax and mail) in order to get the charge removed from my account.

During the first few months of the mortgage, I received daily collections calls from Ocwen even though my mortgage payment was only a few days late, and far from the 17th late charge deadline. I contacted them and asked them to stop leaving these harassing messages. I was told this was company policy. I told them they could continue to leave messages and I would continue to ignore them from that point forward.

In October, I received another notice that this time my flood insurance was expired (it still had 3 months on the policy) and that if I did not contact them immediately they would purchase the insurance for me and send me the bill. I had to contact my insurance company and have them fax the proof of insurance again (for the 3rd time in 9 months). Again I had to use my crystal ball to figure out which voicemail option might connect me with a real person.

Last month I received my escrow disclosure statement for 2002, and an estimate for 2003. I reviewed the 2003 information, and found that they only anticipated 2 quarterly real estate tax payment, instead of 4. In addition, the tax payment had gone up halfway through 2002, but they were using the old rate. As a result, they incorrectly lowered my escrow payment for this year significantly. Again braving the voicemail system from hell, I contacted Ocwen to point out their error, pointing out the statement for 2002 and the discrepancies between the 2 years.

I was told that my concerns would be forwarded to the escrow department, and adjustments would be made accordingly. Two weeks later I received a letter from them noting my concerns, and that upon review of their records, they were right, and no changes were made. Apparently I will have to send extra money each month and indicate it should be applied to the escrow account.

I am very concerned that my personal credit and possibly homeownership may be compromised by this latest development. I am actively pursuing refinancing at this time to get out from under this company. While I save myself, I hope my story can be used to save others from this fate as well.

Laura

Anytown, Other
U.S.A.