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Escrow Fiescrow!

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Jdosch

Junior Member
What is the name of your state? OHIO

I had/have a mortgage with no problems for 14 months. On the 15th month of my mortgage I received by mail an "Escrow Estimate" that incorrectly showed a shortage because my mortgage company updated this information showing my TOTAL ANNUAL PROPERTY Taxes being paid 2x a year instead of half being paid twice yearly. The letter informed me that my monthly payment would be adjusted to cover the shortage increasing my monthly payment by nearly $400.00. This I can't afford.

For the next 3 months I called, wrote letters and sent emails showing the error and received no response nor was the error corrected.

I'm now refinancing to get away from this lender and to keep payments that are affordable. My old lender is charging a prepayment penalty.

Question: Can I recover the pre-payment charge in court on the bases of neglect, Breach of Contract or stupidity? or am I stuck paying this amount in addition to the cost to refinance?
 



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