Complaint Review: American Home Mortgage Servicing Inc
AHMSI requires us to have $250,000 flood insurance even though the house appraises for about $128,000.
The flood insurance is approximately $1700 per year. I have to drive a 100 mile round trip to work (about $500 per month in gasoline), we have a child in college which we have to pay the balance after financial aid. The house needs major repairs before we could even refinance with another company, but we just don't have the money primarily because of this mortgage. We were recently advised of the HAMP and went through the process of sending in documentation , etc with the same run around of they didnt receive this document or that document, just to be told we don't qualify because of the percentage. Had they told us our payment had to be at least 31% of our gross income, it would have saved us the time and effort to send in the documentation. They had said we might qualify for a non-HAMP modification, but now they are saying probably not since we are not behind on the payment. We could probably make the payment, pay for flood insurance, make repairs on the house if we had a decent interest rate. We were not able to pay for the flood insurance so AHMSI put lender insurance on our escrow in the amount of $3409.58. We do realize FEMA sets the flood planes, but really, we are in West Texas in the worst drought in 100 years and no relief in sight. The previous owner said that even when it did flood decades ago, that the water never even came up to the house. My wife is disabled and really not in a position to just move to another location. We were not able to pay the flood insurance so AHMSI put lender insurance on our escrow in the amount of $3409.58. When we had cleared the previous negative escrow, we called to see if our payment could be lowered and we were told that they would not do another analysis until March 2012. Today we received an escrow analysis showing they want an additional $400.00 making a new payment of $1737.45. We are not paying the December 2011 payment and using that money to pay for Flood Insurance through National Lloyd, so that AHMSI will remove their asinine flood insurance and requesting a forbearance on the Dec 2011 payment. We advised them of this today on the phone and we will be sending it in writing as well. We are aware you have filed suit against AHMSI for these practices and that there are many, many complaint. Your assistance is appreciated. We will send documentation though the mail
This report was posted on Ripoff Report on 12/03/2011 05:34 PM and is a permanent record located here: http://www.ripoffreport.com/reports/american-home-mortgage-servicing-inc/internet/american-home-mortgage-servicing-inc-ahmsi-option-one-mortgage-ahmsi-working-to-take-away-804652. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year. Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report. READ: Foreign websites steal our content
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