How to Fight Escrow Fees Using DoNotPay
Escrow fees are fees charged related to real estate transactions or charged and held by mortgage companies each month to pay for certain costs related to property ownership, such as property taxes and homeowner's insurance.
Occasionally, as with anything, mistakes can occur related to . If you feel that you have been charged in error, fighting an escrow fee can be a tough battle to take on. But now you have a resource on your side to help: DoNotPay.
Overview of Escrow Fees
come in many different types, depending on whether they are being charged to a seller, to a buyer, or to a homeowner as part of the mortgage payment process. Below is a list of some of the more common types of escrow fees.
Real Estate Attorney
This fee covers commissions for real estate attorneys involved in the buying and selling process.
Mortgage Origination Fee
These are fees charged by the mortgage lender to help cover the costs of loan processing.
Title insurance protects buyers from discovering after they've made a purchase that the property they bought had problems with its title, putting their legal ownership of said property in jeopardy.
Property taxes are charged to property owners by local governments in order to fund government operations. When a property owner has a mortgage, the mortgage company will include property tax charges on its bill each month and hold the funds in order to pay the property tax charges each year on the property owner's behalf.
Similarly to property taxes, a mortgage company will charge costs associated with homeowner's insurance each month in order to pay the insurance company for premiums on the homeowner's behalf.
Common Errors in Escrow Fees
It is important to keep an eye on your escrow charges and fees to make sure that you are not being charged in error. Two types of errors in particular are more likely to occur with escrow accounts. These are the following:
- Property tax error. If your property valuation has gone down, your property taxes will likely go down as well. If you have received a notice that your property taxes are going down, keep a close eye on your mortgage statements to ensure that these lower costs are reflected in your escrow fees.
- Homeowner's insurance error. Maybe you've shopped around to get a better deal, and your homeowner's insurance premiums have dropped. Have you notified your mortgage company? Has your mortgage company made sure to update your escrow billing accordingly? This is something to keep a close eye on.
How to Fight Escrow Fees on Your Own
If you see an error in your escrow fees, the most important thing to do is to contact the entity responsible for charging you the fee. If you encounter the error when buying or selling a home, make sure to enlist the aid of your real estate agent to bring the charge to the attention of your closing attorneys, mortgage broker, and anyone else involved in the issuing of the fee.
If you discover an escrow fee error on your mortgage statement as a homeowner, you will want to contact your mortgage company's customer service as soon as possible to dispute the charge. Be prepared to provide documentation related to your case.
If you try to fight escrow fees on your own, please understand:
- You may have a prolonged battle ahead of you
- You may not get the results that you hoped for
- You might find yourself in need of some assistance
Of course, you may discover that contacting customer service doesn't clear everything up as quickly or as easily as you'd like. Luckily, now there's a better option.
How to Fight Escrow Fees Using DoNotPay
The better option to try to explain your concerns about your escrow account to your mortgage company is DoNotPay. DoNotPay makes it much more painless to fight escrow fees and doesn't leave you to navigate the process on your own.
Here's how you can use DoNotPay to appeal fees:
- Search "appeal fees" on DoNotPay, choose the Fight and Waive Fees product, and select the type of fee you want to appeal.
- Select the merchant you want to appeal fees for and enter the details of your transaction, including an associated account if you have one.
- Submit your case! DoNotPay will generate the best argument for your case and make sure your fee waiver request gets sent to the merchant for processing.
Why Use DoNotPay to Fight Escrow Fees?
DoNotPay is a powerful resource on your side to bring concerns about escrow fees to those who are charging them. DoNotPay is extremely
Give DoNotPay a try today to see how it can help you with your escrow fee concerns.
What Other Types of Fees Can DoNotPay Help Me Fight?
There are many types of fees that DoNotPay can help you fight, not just escrow fees from mortgage companies. Below is just a small sampling of the types of companies that DoNotPay can assist you in dealing with when you have concerns about fees:
- Spirit Airlines
- HOA fees
- Chase checking account fees
- American Airlines fees
Check out DoNotPay today to see all the ways it can help you with fees and so much more.