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Complaint Details
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Initial Complaint
12/11/2021
- Complaint Type:
- Customer Service Issues
- Status:
- Answered
I have 2 issues a complaint and a concern. First the complaint, I was told verbally and in a letter by Guild Mortgage, my mortgage company that once I got my mortgage down to 80,555 which is when my LTV reaches 78% the Mortgage Insurance Premium I currently pay would drop off so long as I didn't have any late payments over the prior 12 months. So we have not have a late payment in 5 years except my payment for October 2021 did not go through because I had problems with my bank account due to major theft (over $5000) of money in my account. So I thought I paid October 2021 but it never went through because my ***** ***** was frozen. Of Course thinking that the October payment went through, I did not realize it hadn't until I went to pay November payment which was 30 days past due on October which of course at that time I paid both months. OnNovember 29th I called Guild Mortgage to ask them how much more I needed to pay to get down to the number I needed so that my Mortgage Insurance would drop off and they told me I needed to pay $1209.94. I explained to them what happened with my October payment and asked if it would be affected and they told me no and even though I knew I wouldn't have hardly any money left in my bank account and would have to give up certain things including buying Christmas presents for family I went ahead and made a payment by phone for $1209.94 right then because I knew if would be beneficial to me in the long run. Two days later I get a call from Guild saying nope sorry because October was late you need to pay another year your Mortgage Insurance. So now I am broke and still paying the same amount for mortgage for another year. They totally lied to me and in my opinion robbed me of all my money and at Christmas time. Is this even legal???? My other concern is this I just found out my credit report doesn't show me having a mortgage with Guild or any mortgage whatsoever but I definitely do
Business response
01/25/2022
Dear Ms. ********,
Guild Mortgage Company (“Guild”) is in receipt of your response via the Better Business Bureau dated December 13, 2021. Guild appreciates the opportunity to review and respond to your concerns.
After review of your loan history, we have confirmed that the mortgage loan is suppressed from credit reporting due to your previous Bankruptcy. Mortgage loans that are not reaffirmed through the bankruptcy will no longer be reported to the Credit Bureaus. There is no credit correction required since there is no derogatory tradeline to correct.
The Mortgage Insurance on your loan is subject to FHA cancellation requirements. FHA does not review Credit Reporting, but the actual payment history dates from the loan. Your October 2021 monthly payment due October 1, 2021 was not remitted until November 3, 2021. Our records show that you were over 30 days delinquent within the last 12 months of your request date, which made you ineligible for cancellation at this time.
You indicated that you experienced fraudulent bank activity, which caused you to make the October payment late. We were not notified of any issues prior to the late payment, and the late payment was not due to Guild error, so no adjustment is warranted. If you have additional supporting documentation to show the fraud and how it impacted your payment, please provide it to us so we may appeal FHA to review.
When the Customer Service agents provided you the principal balance requirements for Mortgage Insurance removal, they were unaware of the late payment. We can process a refund of the additional principal payments you remitted to pay down the Principal Balance to remove your Mortgage Insurance. If you wish us to do so, we must obtain the bank statements showing the payments you would like us to refund the additional principal paid.
You may be eligible for cancellation in November 2022 if the monthly payments are remitted on time for the next consecutive 12 months and the Principal Balance is paid to $ 80,555.47.
If you have any additional questions or concerns regarding your loan account, please contact us.
Sincerely,
***** ** ******
**** ********** **** *********
Guild Mortgage Company
Customer Service ###-###-####
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