How about some free sunshine for DiTech Mortage Co.?

[TexasHusker]

Get a load of this:

I've had DiTech for several years on our home mortgage. My monthly payment has been $2034.01 for over a year. We pay it automatically through our bank's bill pay feature.

Well, unbeknown to us, the payment increased for May to $2091.87 due to an increase in escrow requirement. On May 1, our normal payment of $2034.01 went through.

Today, they called me and said my payment was "late", and that I owed an additional $56.86, plus a late fee of $135.

I said "Wait a minute, that payment isn't technically even due until 5/15. So you've been without $56.86 in my escrow account for 8 days, and I owe you a late fee of $135?"

"Sorry, that's our policy. We only refund late fees on mistakes we make."

How nice.

[Jluke]

escrow on your own, if allowed.

I already put the 2019 school taxes in a 12-month CD, earning 2%... it's something.

[bjl584]

I'd fight that tooth and nail.

Guaranteed they will take off that late charge if you make enough fuss.

[disneysteve]

unbeknown to us, the payment increased for May to $2091.87 due to an increase in escrow requirement.

Are you saying you never received your annual escrow analysis? I guess there's no way to prove that but I would use that as the basis of my effort to get the late fee waived.

We get ours every year. It shows if there is a shortfall in the account. If so, we're given the option of paying it as a lump sum or having it spread over the next 12 monthly payments. The statement also tells us what our new payment will be with each of those options.

Honestly, I wouldn't notice if it didn't come, so I can certainly understand if that's what happened. In my case, I pay the bill online each month so I would have seen it when I logged into my account, but if you are on auto-pay, you would have missed it.

[corn18]

Wells Fargo just changes my monthly automatic payment if there is an escrow analysis that results in a change in monthly payment.

[disneysteve]

We pay it automatically through our bank's bill pay feature.

Wells Fargo just changes my monthly automatic payment if there is an escrow analysis that results in a change in monthly payment.

It sounds like TH set up the payment on his own from his bank, not through the mortgage company itself, otherwise that's likely what would have happened.

[myrdale]

I would definitely fight this. My mortgage increased every year because of taxes, but I never had this issue. I think once I received a bill for the balance due to escrow, but that was it. Additionally I always put extra towards principle so that may have covered the difference though.

[disneysteve]

My mortgage increased every year because of taxes, but I never had this issue. I think once I received a bill for the balance due to escrow, but that was it.

You should get an escrow analysis every year. Lenders are legally required to send those whether your payment is changing or not.

[GoodSteward]

I made the mistake once of auto pay on a house payment set up by me. It was an old chase loan. The escrow changed, and I went in to modify the payment. However, it somehow created a new auto payment instead and left the old one too. (this was nearly 8 years ago I think). Well, the old payment hit first and I had it set to pay on the last grace period day (again...8 years ago way before my financial sense days), then the second payment hit for the new higher amount but I didn't have enough in the bank to cover both. So I got hit with an insufficient funds fee from the bank and mortgage company, and a late payment fee from the mortgage company. lol I think both removed the fee's for me, but I can't remember for sure. I know the mortgage company did. It was like a perfect storm of mistakes and fee's.

From that day on, I paid manually every month.

[disneysteve]

From that day on, I paid manually every month.

If you do want to do auto-payment, you should do it through the lender, not through your bank.

I have several bills on auto-pay but all are directly through the company. I have no automatic payments from my bank.

[msomnipotent]

My original mortgage company was taken over by Ocwen and they created a nightmare over the escrow. They raised our payments by $1,200 a month, not to $1,200. Then they gave me nothing but attitude, and then I started getting notices every day for almost 2 weeks that the mortgage amount was changed by anywhere from 5 cents to $250, over and above what they already raised it. I had to refinance to get away from them.

My mortgage broker says everyone adds .25% to the interest rate when you don't include escrow. I'm not sure how true that is. I just made my first payment on our new refinance yesterday. I mentioned that Chase had better rates and my broker magically matched them even with no escrow. I will NEVER do escrow through a bank again.

And I would fight that late fee. You would see me on the evening news if they wouldn't remove it.

[frugal saver]

Ocwen specializes in deadbeats and delinquents.

Every so often they'll take over a company that has regular clients and they treat them the same way as their deadbeats. I'm sure they have an amazing refinance-away-from-them rate.

I was with a bank that went out of business and my mortgage went to Ocwen. I called them repeatedly because I still hadn't received anything. They kept saying to be patient, they hadn't set up my account there yet.

Then I got a call at 5:00 a.m. Saturday morning from their collection department demanding that I wire the payment that day. I said--just give me a regular address to mail it to, and I promise I'll be refinanced elsewhere by next month.

I've had JPMorgan Chase for quite a few years now--no problems, and they just lowered my mortgage payment. Ok, by $2 but still....

[disneysteve]

they just lowered my mortgage payment. Ok, by $2 but still....

That's got nothing to do with the mortgage company. That would only happen due to an overage in your escrow payment. I've had our payment drop a couple of times over the years as well.

[greenskeeper]

I was always a fan that if your mortgage is sold, you should get a kickback

[TexasHusker]

DiTech...they are the best.

I called and talked to them about the "late fee". To review, I underpaid about 50 bucks - NOT to principle or interest - but to an escrow account that already has a surplus.

They said "you can submit an appeal in writing." So I did.

And then they sent me a letter basically stating "the fee is legitimate and it shall stand." So much for the appeal.

THEN, they email me a SURVEY about their service. So how do you think I ranked them? Poorly, and I included this comment:

DiTech is unethical. They charged me $140 for a "late fee" for a 50 underpayment to my escrow account, and would not relent, even after an appeal. I would not recommend DiTech because I believe they are unethical."


So three hours later, I get this message:

Dear XXX,

Our staff has read your review and values your contribution even though it did not meet all our website guidelines. Thanks for sharing, and we hope to publish next time!

Submit something new


Thanks again,
ditech Home Loans



So let me get this straight: You don't want an honest survey about your unethical business practice, so you delete my survey. Isn't that....unethical?


Let's hear a hip hip hooray for DiTech!