Our mortgage is with Ameriquest Mortgage Company. We have an Escrow Account to cover our Hazard Insurance and Property Tax.
Our Hazard Insurance was due last July. Upon receiving a cancellation notice for "nonpayment" in August wasn't too alarming, as it happened the year before at this same time. I had taken care of it then, with a couple phone calls to Ameriquest's Insurance Department.
I called them immediately and was told payment would be made right away. Two months later, in October, we received another cancellation notice for "nonpayment". I made another phone call and again, was assured payment would be made. This time, though, I took the extra step and faxed them a copy of cancellation notice and copy of bill sent to me. I was certain they would figure out their error and correct it.
We went through the holidays without a word more from either company... Then, we got the last cancellation notice from our insurance company in January, saying we had been cancelled effective December 21 at Midnight.
Ameriquest blamed the insurance company saying they had made a mistake. The insurance company was positive payment had not been received, but gave them the opportunity to produce documentation they had paid.
Ameriquest still does not have a reason why the money was gone from our Escrow and the insurance had not been paid on time. (When they finally did send payment and it was received by insurance company on January 21, the insurance company returned it to them and wouldn't rewrite the policy!)
Adding insult to injury... Ameriquest told us WE had to find another insurance company. I told them THEY would be responsible for fixing this mess and that any extra Premium amount would also be on them. (The head of their Insurance Department actually made the comment, "What? Is it hard to get insurance in California or something?!?"... Alrighty then...)
This was in February and we just got a notice of coverage from SafeCo Insurance Co 2 weeks ago. (Of course, the premium is almost $1000 more a year.) We were without insurance on our home for almost 5 months! In addition, our Escrow balance was negative during this. The date of beginning coverage with new company stated on policy is November 22... Hmmm, odd! How could that be???
Our property taxes were also paid late and penalties assessed, at our expense. When I called Tax Department regarding these unpaid taxes, their representative's response was, and I quote, "What do you want ME to do about it?!?".
Ameriquest finally responded to our attorney by mail, (yes, we are suing them!) but, much of their response was inaccurate! They are paying the extra $1000 in premium for the new policy, but stating in this letter that we owe for the $1440 balance of premium because "we received that amount by check from former insurance company when cancelled... Amazing, since their check was returned uncashed to them back in January.
We have recently refinanced with another lender and should close within few days. The only future contact with Ameriquest will be in court.
Thank you for your time. I would love to hear about anyone else with similar Ameriquest escrow nightmares. They are a prime example of what gives Corporate America such a bad rep!
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