No. of Recommendations: 0
You may remember my recent post on escrow and taxes -- well, today I got another call from the bank. Without thinking I paid my homeowner's insurance because they sent the bill to me. The bank should have paid it from my escrow account.

But the woman from the bank (this time they called me) said that they won't give my money back. They "can't". I said that it is my money, and I want it back. They said they'll put it toward my taxes in due in the fall, as the taxes have recently increased due to a school referendum passing. I pointed out that the taxes haven't gone up *that* much, and what would they do with the extra? Refund me. Of course not.

I told her to figure out how to get a check cut for me.

If she can't get it done, can I go directly to my insurance agent and ask them to refund my money?

Then I asked the bank woman how I get out of this irritating escrow deal. It's far easier to pay these things yourself if you can't trust the bank to do it, and they're not required to tell you what they're doing, even though they have the free use of your money.

She said I have to write a "letter of intent" and the mortgage broker will review it. I know my broker, and he's a very good guy (worked hard at finding a solution for me and my unusual situation). Can I call him directly, or is that some sort of faux pas? And what goes into a letter of intent? Is there anything I can say to sway them so they'll drop the escrow requirement?


Print the post  


Useful Resources
Our Home Center has all you need to make buying and owning a home a great experience. Get or refinance a mortgage and much more!
Buying/Selling a Home FAQ

Mortgage Professor
Offsite resource for mortgage questions.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.