Mortgage -- Trouble during payment process -- Complaint #12527468
Complaint Overview
Complaint ID: 12527468
Company: Ocwen Financial Corporation
Product: Mortgage
Sub-Product: Conventional home mortgage
Issue: Trouble during payment process
Sub-Issue: Escrow, taxes, or insurance
State: California
ZIP Code: 95124
Date Received: 2025-03-17T12:00:00-05:00
Date Sent to Company: 2025-03-17T12:00:00-05:00
Company Response: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Submitted Via: Web
Consumer Narrative
On XX/XX/XXXX I received a letter from my mortgage company, PHH Mortgage Services that stating my current insurance company no longer met their guidelines. I had no choice but to cancel my homeowners and auto policies with XXXX XXXX XXXX whom I had a long time relationship with since XXXX. My canceled insurance was effective XX/XX/XXXX. I obtained a new homeowner insurance policy with XXXX XXXX XXXXXXXX. My mortgage company is requiring me to pay for a " gap in insurance coverage '' for the period in time from XX/XX/XXXXXXXX XXXX XXXX XXXX XXXX The time period I was covered undeXXXX XXXX XXXXXXXX. PHH Services states since my prior insurance does not meet their standards I need to pay for the gap in insurance coverage. I have no choice but to have them provide insurance for this gap. A total of {$66.00} to cover XX/XX/XXXX to XX/XX/XXXX. I have provided proof of insurance coverage for this time with XXXX XXXX since my policy term originally was XX/XX/XXXX - XX/XX/XXXX. My proof was unacceptable since PHH continues to assert my insurance did not meet their standards per their policy. I am contesting this forced gap insurance since I was not given prior notice in a timely manner. I only received a letter dated after the fact, XX/XX/XXXX. I actually received the letter a few days later. I acted upon the letter as soon as feasible for my schedule, which ended being XX/XX/XXXX. How should I be held responsible for obtaining additional acceptance insurance for a period of time that was elapsed already? I had appropriate insurance coverage with XXXX XXXX and was forced to cancel by PHH, through no fault of my own. And now I am forced to pay for the gap of coverage? This decision by PHH is unnecessary and unreasonable. I asked for their written policy and was refused. I feel this decision by PHH Mortgage is deceptive confusing, and feels like just a cash grab. As a consumer, I feel there is no recourse here.
Frequently Asked Questions
What is Complaint #12527468 about?
Complaint #12527468 was filed against Ocwen Financial Corporation regarding Mortgage specifically about Trouble during payment process. It was received by the CFPB on 2025-03-17T12:00:00-05:00.
How did Ocwen Financial Corporation respond to this complaint?
The company responded with: "Closed with explanation". The response was timely.
What is the risk level of this complaint?
See the risk assessment section for details on this complaint's risk profile.
How do I file a similar complaint?
You can file a complaint with the CFPB at consumerfinance.gov/complaint. Select the appropriate product category (Mortgage) and describe your issue in detail.
Can I see other complaints against Ocwen Financial Corporation?
Yes, visit the Ocwen Financial Corporation company profile at readthecomplaint.com/company/ocwen-financial-corporation to see all complaints, risk scores, and analysis.
Disclaimer
This analysis is AI-generated based on publicly available CFPB complaint data. It does not constitute financial or legal advice.