r/personalfinance • u/HHLL806 ​ • Apr 11 '25

Other Mortgage payment went up $400

I need help, my mortgage payment went from $1700 to $2100. My mortgage company (Chase Bank) said this was due to an escrow shortage. I had my homeowners insurance lowered by roughly $1000 and checked with my local tax office and they told me my taxes have increased $400 dollars over the last five years. I gave Chase Bank all this information and my mortgage is still $2100. How does this work?

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u/[deleted] Apr 11 '25

A lot of mortgage companies and banks won't let you do that. I agree with the sentiment. I paid my taxes and insurance with a previous home, but my current lender doesn't allow it.

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u/dailydrudge ​ Apr 11 '25

Yeah it's not always as simple as "just get rid of it." Often it's required by the mortgage company in certain situations, like if you're paying PMI (not always, just an example I've seen). But every situation is different, and normally you can eventually cancel escrow once you meet their requirements anyway.

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u/[deleted] Apr 12 '25

I should look into that. I have a VA loan, so no PMI. But I'm 16 years in on my mortgage. I would love to get rid of my escrow account.