- Report: #155713
Complaint Review: Washington Mutual Bank F. A. - Orange California
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Author Confirmed
Why?
Washington Mutual Bank F. A.
P. O. Box11031 Orange, 92856-8131 California, U.S.A.
Phone:
866-926-8937
Web:
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Washington Mutual Bank, F. A., Homeside Lending, ABN Amro Ripoff of Escrow Funds Orange California
I took out a mortgage loan with Washington Mutual Bank Aka Homeside Lending on July of 2002. The original contract was for 65,000.
I signed all the papers but before the grace period to cancel was up the title company had marked out the 65,000 dollar loan..in ink pen..to 62,000.
I questioned that and they told me that Washington Mutual had changed their mind about the amount and I could not get the loan unless I signed a new contract.
OK I feel as though I got burned on that part. Well, I have had the same homeowners insurance for 5 years and at the signing of the contract with Washington Mutual.
They did not question my insurance and forced us to put our insurance and land taxes in an escrow account in order to get the loan. Well, we did that... stupid me.
Washington Mutual paid our homeowners insurance for the first year. In 2004 they sent me a letter stating I had to buy their insurance which was a lot higher than mine. I did not do that.
This year (2005) they just flat out refused to pay the insurance at all... even though it is escrowed and added to my monthly payment... I lost my insurance coverage for 4 months.
While trying to get them to pay it I was uninsured and taking a risk of losing everything to fire... including my family. Well, I let my monthly house payment be late just so I could buy more homeowners insurance.
I finally got my insurance re-instated which cost me 270.00 (a year) out of my own pocket. I called Wamu and they said they would refund my money since they still have it in escrow.
Well that didn't happen and now they say I don't have that much in my escrow account.
My solution...it may be against the law... but
From this date, Sept 1, 2005 forward I am dividing the 270.00 by 12 months and deducting it from my monthly house payment.
Gary
Sweetwater, Tennessee
U.S.A.
I signed all the papers but before the grace period to cancel was up the title company had marked out the 65,000 dollar loan..in ink pen..to 62,000.
I questioned that and they told me that Washington Mutual had changed their mind about the amount and I could not get the loan unless I signed a new contract.
OK I feel as though I got burned on that part. Well, I have had the same homeowners insurance for 5 years and at the signing of the contract with Washington Mutual.
They did not question my insurance and forced us to put our insurance and land taxes in an escrow account in order to get the loan. Well, we did that... stupid me.
Washington Mutual paid our homeowners insurance for the first year. In 2004 they sent me a letter stating I had to buy their insurance which was a lot higher than mine. I did not do that.
This year (2005) they just flat out refused to pay the insurance at all... even though it is escrowed and added to my monthly payment... I lost my insurance coverage for 4 months.
While trying to get them to pay it I was uninsured and taking a risk of losing everything to fire... including my family. Well, I let my monthly house payment be late just so I could buy more homeowners insurance.
I finally got my insurance re-instated which cost me 270.00 (a year) out of my own pocket. I called Wamu and they said they would refund my money since they still have it in escrow.
Well that didn't happen and now they say I don't have that much in my escrow account.
My solution...it may be against the law... but
From this date, Sept 1, 2005 forward I am dividing the 270.00 by 12 months and deducting it from my monthly house payment.
Gary
Sweetwater, Tennessee
U.S.A.
2 Updates & Rebuttals
Greg
Omaha,Nebraska,
U.S.A.
Homeside not broker
#2Consumer Comment
Tue, October 04, 2005
Homeside Lending was the home loan division of Washington Mutual in 2002. In the prior year, WAMU purchased North American Mortgage from Dime Bank, and created the Homeside name. Now they just go by Washington Mutual Home Loan. Anyway, sounds like your insurance policy had been cancelled or some error was made. Washington Mutual should have sent several notices of a problem. Did you read all of their correspondance?
Catherine
Corona Del Mar,California,
U.S.A.
little confused
#3REBUTTAL Owner of company
Mon, October 03, 2005
Homeside was a broker who sold the loan to Washington Mutual. It sounds like you may have had a cancellation notice of your insurance forwarded to Washington Mutual/ or that your insurance company underinsured the value/ or may be a lower rated (ie: unacceptable). Because you did not provide " acceptable" insurance they put forced placed insurance which is typically three times the cost. It would be a big mistake to start underpaying your home loan as you suggest and you will end up in default for doing so. Perhaps you can find out what was the problem with your older insurance company and clarify- I might suggest you shop for insurance at the dollar amount that your lender requires and get a binder with the correct loan number and mailing address where your payment goes faxed into Washington Mutual- this would solve your problem. The thing you write about the final loan documents from Homeside being hand crossed out from $ 65 to $ 62 sounds really wierd and bad. I suggest you ask Washington Mutual to give you an additional copy of what they have on file.
