Homecomings failed to pay property tax's

[Edinfla]

I got in trouble with mortgage payments in October of 07. That lead to the threat of foreclosure. Just got a letter from the county that my mortgage holder did not pay my property tax for '06 at which time I was current.
My monthly payment was to include tax & homeowners insurance. Is this some kind of violation? What do I tell an attorney?
Any help would be greatly appreciated

[Edinfla]

My mortgage is with Homecomings. While they claim they want to work with me I am convinced that they may not be as agreeable as they claim. If I call the number listed here the wait time last Friday was one hour thirty four minutes.
Also, I now know they did NOT pay my '06 property taxes. I was current all of '06. Whats up with that? Can anyone tell me if not paying taxes collected in a payment is a violation of any kind?

1. Do you have he same lender then, as you do now?
2. On your monthly statement, does it show an amount being credited to an escrow or impound account for your taxes and/or insurance?
3. Go find the 1098 form you received for the 2006 tax year, or the last monthly statement for 2006. Either one of these should show if any taxes were paid on your behalf.
4. Did the lender pay any taxes due AFTER the one they missed?

Once you ahve reviewed all this stuff, call the lender to find out whats up. This should get you started, if you have more questions, please ask.

As to whether it is any kind of violation. that would depend on a few factors. You need to ask an attorney about that.

[Edinfla]

Yes, same lender since 2004.

My first question is, since they collected this $ in my tax escrow account are they in any violation for not paying the taxes when I was current?

If yes, where can I go to verify what law they violated?

[Moe Bedard]

Ed,

If this occured the way that you are proposing here......it is a violation, but you have to send the bill to the lender to correct the situation, it could be a number of reasons this didn't happen, so you have to see that they will correct, and if they refuse to comply and correct you can file a complaint with HUD.

FAQ Dealing with Your Lender or Insurance Company:
Taxes, Insurance, RESPA and Escrow

I got a notice from the county that my lender did not pay my taxes on time and the county is assessing a penalty. Do I have to pay this bill?
Send the bill to the lender. The lender should pay the penalty for failing to pay the taxes on time as long you were current in your mortgage payments. If the lender refuses, you may wish to follow the guidelines for filing a complaint.

Are lenders required to pay taxes on an annual basis if a discount is offered to the consumer?

NO. The Department published a new rule in the Federal Register in January 1998. The rule clarifies what a lender should do when a taxing jurisdiction offers a choice of payment on an installment basis or an annual basis. If there is a discount to the consumer when disbursing on an annual basis or there is an additional charge for disbursing on an installment basis, the lender may disburse on an annual basis. Otherwise, the lender should disburse tax payments on an installment basis. The borrower and the lender may mutually agree to another disbursement basis or date. The Department encourages lenders to follow the preference of the borrower.


More about RESPA:

HUD RESPA: More Information