Nationstar Mortgage Allowed my HO insurance to lapse by not paying from escrow Lewisville, Texas

13th of Dec, 2011 by User620471

My mortgage was taken over from First Horizon Home Loans by Nationstar in july of 2011. They have constantly called for me to pay my mortgage. I have told them to stop badgering to no avail since we are on social security and our income hardly ever comes in time to pay the mortgage timely- however we never fail to pay the mortgage payment. In November 2011 my home owners insurance became due and payable from the proceeds of my escrow account. Nationstar did not pay the premium claiming they did not have the name of the insurance company and agent. They allowed my insurance to lapse and the first I heard of it was a letter from my insurance carrier about it. I called my agent. The agent called Nationstar and got it paid.
Subsequently, I received a letter from Nationstar informing me of the lapse and telling me if I did not get insurance- they would do it for me and bill me at a higher rate with less coverage.
This has all the trappings of a scam to sell homeowners insurance using their selected carrier since by federal law Nationstar would have to know of the escrow workings on the mortgage when they took it over.

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