Payments being credited "late"

[teenie1975]

What is the name of your state? New York

I have been having all kinds of problems with EMC Mortgage Corporation. One being that they post my payments as "late" every month, of course adding late charges. It doesn't matter HOW early I send the payment, they only recommend 10 days, but even being sent 15 days early (before due date) they still credit my account late. I have been sending my payments "return receipt requested" and they're arriving there before they're due. The worst incident was last year's May payment, they didn't credit it until December! And that was only because I got a lawyer to call them & fax proof the payment was made.

Besides sending the payments return receipt requested, the lawyer's only other advise was that I report EMC to an attorney general. Don't I have any other options? I have been able to get the majority of the late charges dropped, but it's always after numerous phone calls and faxing copies of the signed receipts...it's just a hassle.

By the way-this bank has also started an Escrow account and put their own insurance on my property although they have been given proof numerous times that I have had continuous coverage myself, AND my taxes were paid, by me, on time. I should not even have an escow account. Complaining to them about this gets me no where...I've started a complaint process on this thanks to someone's advise earlier, but thus far EMC has not responded.

I'm so fed up with this bank. They're located in Texas, by the way, in case you need that information.

 

[ceara19]

Were you EVER late on ANY pages? On the first day you receive your bill, call and ask how much it would be to bring your account current. If the amount is the SAME as the payment you would normally send, the bank is at fault and you will need to talk to your loan officer to get it straightened out (which needs to include crediting you for the late fees you have paid).

If the amount is MORE then your normal payment, technically, you are at fault. If this is the case, what more then likely happened was that there was some type of fee or charge in addition to the normal payment at some point that was not included with the payment you sent for that month.

It's kind of confusing, but here's an example of what MAY be happening:

Payment is $100/mo. One month, a $10 fee was added. You sent in the $100 as usual. Now, you are $10 BEHIND. Next month rolls around, there is a $20 fee for the $10 that was not paid. You send a check for $120, $100 for the payment, $20 for the fee. The problem is, you are still $10 behind, so $10 of THIS payment is applied to the $10. ONly $90 is apllied for your payment, again making you $10 behind. The same thing will happen EVERY month until you make a payment of $130, bringing the account current. Does that make sense?

 

[pojo2]

Payment is $100/mo. One month, a $10 fee was added. You sent in the $100 as usual. Now, you are $10 BEHIND. Next month rolls around, there is a $20 fee for the $10 that was not paid. You send a check for $120, $100 for the payment, $20 for the fee. The problem is, you are still $10 behind, so $10 of THIS payment is applied to the $10. ONly $90 is apllied for your payment, again making you $10 behind. The same thing will happen EVERY month until you make a payment of $130, bringing the account current. Does that make sense?

And with this company it is even more likely the OP is going through Mortgage hell.

Not to mention how this has probably impacted their credit so badly that a refi to get out of it is near impossible without a very high interest rate, if it is not already high.

 

[ceara19]

And with this company it is even more likely the OP is going through Mortgage hell.

Not to mention how this has probably impacted their credit so badly that a refi to get out of it is near impossible without a very high interest rate, if it is not already high.

Alot of these companies knowingly leave off a past due amount on the next invoice in order to rake in the late fees until the person figures it out MONTHS later.

 

[cato/ny]

Same company, same problems, and more, they don't like NY.

 

[pty]

Besides sending the payments return receipt requested, the lawyer's only other advise was that I report EMC to an attorney general. Don't I have any other options?

Automatic draft

I have been able to get the majority of the late charges dropped, but it's always after numerous phone calls and faxing copies of the signed receipts...it's just a hassle..

I hope you've also been making sure that they correct your credit record too!