Complaints

The complaint text that is displayed might not represent all complaints filed with BBB. Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business.

• Initial Complaint

  Date:02/07/2023

  Type:Billing Issues
  Status:

  ResolvedMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  HomeRate Mortgage did not provide our Homeowner's Insurance mailing address to **** ***** ********* when they sold off our home loan. Because of this lack of information, **** ***** ********* did not withdraw money from our mortgage escrow to pay our homeowner's insurance. Our insurance policy was canceled and we were not told this until we got a bill for $256.24, to purchase one month of **** ***** *********'s homeowner's insurance at a cost of 2.5 times what our chosen insurance cost us. Had the information been given, we would not have been charged unnecessarily for a mistake that was in no way our own!

  

  Business Response

  Date: 04/14/2023

  Due to the property type, Ms. ******'s loan was underwritten directly by **** ***** *********.  They underwrite, our company funds the loan and then it is transferred to **** ***** for servicing.  Homeowner's insurance information is required to be provided during the underwriting process and their homeowner's insurance declarations page was uploaded and cleared by **** *****'s underwriter prior to closing.  I have included the final approval for their loan from **** ***** to document it was underwritten by them.  I have also attached the Notice of Servicing Transfer that was provided in the closing package outlining that their loan would be transferred to **** ***** for servicing and instructions to contact their insurance company to update the information to **** ***** *********.  The tax and insurance information sheet listing all of the homeowner's information from the closing package is attached as well.  All of these documents were a required part of the closing package provided to **** ***** ********* to transfer the servicing of Ms. ******'s loan.  We followed proper practices and procedures in providing the necessary information to **** *****.  Any failure on their part to process payment to the insurance company was not due to lack of information on our part.

  

  Business Response

  Date: 04/28/2023

  I understand why you are upset but the anger is being directed at the wrong company.  The truth is we could never have closed this loan without providing the insurance information to **** ***** because they underwrote the loan.  Even if they had not underwritten the loan, the documents in the closing package clearly state the information for the homeowner's insurance company.  The closing package provided to you by the title company at the time of closing is the exact documents provided to **** ***** upon the transfer of your loan.  If you review these documents I am certain it contains the homeowners information and the closing documents provided in my last response..  I am truly sorry that this has happened but we fulfilled our obligation to provide the required information to the underwriting/servicing company.  As far as the structural engineer cert and appraisal are concerned, the underwriter was following Fannie Mae/FHA Federal Guidelines by requiring these items.  The cost of these items are not set by or paid to Homerate Mortgage.  There is no affiliation between the companies providing these services and Homerate Mortgage.  

  Customer Answer

  Date: 04/28/2023

  
  
  Better Business Bureau:
  
  
  
  I have reviewed the response made by the business in reference to complaint ID ********, and find that this business has too many excuses as to why they are not responsible. I do not want to waste any more time on a dishonest company and am accepting the response only to close this case. 
  
  
  
  Sincerely,
  
  
  
  ****** ******