Can my mortgage company raise my payment due to their error?

Real Estate 3 views 2 answers
Last year we had a bad storm in Del Rio Tx and blow some of my roof shingles. When I called my insurance company to put a claim they said I had no insurance due to non payment for nearly a year. I called my mortgage company to advise them of what I was told and she said she would verify. Well she called me back and told me she did not know how it had passed her not to pay for insurance. My monthly payment included the home insurance. Well they told me to look for another on due to the fact that the one I had did not want to insure my home anymore. I found one and did all paperwork, well know they are raising my payment due to insurance going up which I don't think that's right since it was not my error.

Attorney Answers

2
Kevin Koel ·
You are probably obligated under the deed of trust to escrow the insurance payments, but you probably could sue for your damages for the additional monthly payment amount you will have to pay for this year. Contact a real estate attorney in your area to look into your facts.
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Wanda SmithOil / Gas AttorneyRichardson, TX ·
Unfortunately, insurance rates continue to go up with all the storm damage and claims being filed in the state of Texas. The fact that the new company costs more than the previous company is to be expected, and of course, that expense will be passed on to you in your house payment since it appears from your question that you escrow taxes and insurance with your mortgage company. Your insurance company should be sending you and your mortgage company paperwork every year that shows proof of insurance. If the mortgage company failed to make the insurance payments on your behalf, and you have roof damage that would have been covered by the insurance, then you should retain an attorney to pursue reimbursement.
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