Specialized Loan Servicing LLC Mortgage Complaint

Specialized Loan Servicing LLC Mortgage department,

Conventional fixed mortgage Loan servicing, payments, escrow account Texas

Have had a mortgage loan with - for the past couple years since refinancing with them in -/-/-. The loan servicing was switched from - to SLS Loan Servicing on -/-/- without my knowledge or input. I received a letter the -/-/- from SLS informing me of his change. The letter stated that nothing about my note or mortgage would change. I then got another letter at the end of -/-/- stating that a $2700.00 lender placed hazard insurance policy would be placed and the payment would increase by $110.00 per month starting -/-/- unless I found my own policy within 45 days ( note : there was only about 30 or so days til -/-/- at the time ). This forced policy amount was double what I had been paying to escrow for hazard insurance. I then got an agent and found a policy for $1500.00 which went into effect on -/-/-, however the payment did not decrease at all and I was told that I still owed the difference from my my $660.00 payment to the increased payment of $780.00 even though I had purchased a much cheaper policy which would 've brought the escrow back down well


I was never informed that I did not have coverage at any time until today. I was not given any notice ahead of time about the transfer of servicing or the lapse in coverage in order to get a policy before hand and prevent a lapse. On the contrary, I was told that nothing would change in the letter I received at the end of -/-/- ; even though the rep in the Hazard Insurance Processing Center for SLS stated that the lapse in coverage is standard on all loans from - to SLS. Than no Hazard Insurance policy is ever continued from - to SLS. I think it is horrible business practice to plan and execute a transfer of loan servicing, allow a lapse in Hazard Insurance coverage, then charge the only party in the transaction who had no knowledge or control over anything ; after the fact. This could have been prevented by simply informing me 30 to 14 days BEFORE the transfer of the loan. Now I have an unpaid balance of $110.00 on my -/-/- mortgage payment as well as a deficit of $480.00 in my escrow account that I just found out about today. Please assist.