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Hurricane Irma did a lot of damage to our house. We needed a new roof, new garage door, ceiling and drywall repairs, new flooring, etc. My $25,000 claim check from the insurance company was made out jointly to myself and Flagstar, so I had to send it to them for co-signing.

Little did I know how long they were going to make me wait. Months! And also, they were NOT going to just sign the check and send it back to me, but they were going to release the funds incrementally as the repairs were done.

This is all perfectly legal in my state. However, after I submitted all the requested documentation, I kept getting e mails saying they had not received the correct documents. Some of the documents, I scanned and e mailed three times! I also mailed hard copies. When they finally decided to let go of $15,000 for my roof and garage door (which I virtually went broke paying for out of pocket. I was actually getting worried about paying my monthly bills), I waited 10 days and received nothing. I called them and was told that somebody had forgotten to record some kind of "payer" number, so the check was still sitting there.

After we finally got that straight, I went to work trying to get the other $10,000. I was out of pocket about $22,000 at that point. Once again, I went through weeks of document confusion. I sent paid invoices for the work, and I was getting e mails from Flagstar saying it looked like I hadn't paid the contractors!

I finally sent a letter threatening to hire an attorney if they didn't send my money ASAP. At that point, they agreed to let go of $8,600, holding back the final $1,400 until 100 percent of repairs are done.

Never one time did anyone at Flagstar pick up the phone and call me during this entire process. Terrible communication and customer service.

Also, what about Flagstar mortgage holders who cannot possibly afford to replace a roof and make other massive repairs? I guess they are just screwed (?).

Supposedly, your claim money sits in a Flagstar escrow account. But I wonder.......They could be earning a lot of interest on their customer's claim money by dragging out the process as long as possible.

Reason of review: Poor customer service.

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Guest

I have a feeling I'm in for the same treatment with my Hurricane Laura claim. The claim center website will not even accept my registration or attempt to email them through the 'contact us' automated email.

SO frustrating. Finally got an answer on the phone and the lady couldn't help me, it sounded like she was reading from a manual.

David S Hfi

This is EXACTLY what Flagstar is doing to us right now! After six weeks of slow-rolling, they just announced that we owed them $4,000!!!

For what? There is nothing like this in our monthly statements.

Guest

Yep they are definitely holding the money as long as possible to earn interest. I am a contractor and my company calls these mortgage companies several times a day regarding insurance claim checks. If you donโ€™t stay on them, they wonโ€™t be in any hurry to process the money

Guest

Same here, they first said contractor's w9 was missing, then contractor need to sign the lien waiver, then they are missing contractor license verification. I am now sending them a photo copy of the license. This is been almost 4 month, so far we have to up front almost $60,000.

Guest

Doing the same and worse to us here in NC. Terrible company.

Guest

This company needs to be investigated ... We are out 35000 dollars for the last two months and still waiting for our payment.

Which is our down payment from the insurance company.. The claim is over 74000 and the project is almost done,and Flagstar has yet to release the first payment.

Guest

Very CONCERNED about Flagstarโ€™s LACK of communication with customers... I have tried for a week to reach them regarding an insurance check for damage to our home.....the contractor has completed the work & wants to be paid!

FLAGSTAR IS SO UNPROFESSIONAL................... WITH THEIR UNRESPONSIVENESS!!!!!

Guest

im going thru the same thing with them i had a flood in my basement part of the repair was done by the contractor and the rest by me they sent an inspector to verify repairs they got the final report everything was in working order i just finished doing my loan mod with them they added 12 more years to my loan for 6000 i was backed up and still have not received my insurance check.

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