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how do you get your money back out of a forbearance suspense account

Posted on: 14th Oct, 2008 05:35 pm
Post Your detailed question here.My mortgage company put my payment into a suspence account after they raised my payments without any prior notice or reason. If anything the balance in my escrow was too much.
Hi knitwitt!

Welcome to Forums!

A Forbearance Suspense Account normally has the payments which are not yet designated as principal, interest, or escrow. I would like to ask whether you defaulted on your payments or whether you hold any dues with the lender. If yes, then may be because of that the lender has taken aside some money from the escrow account and set up a forbearance account. You can always ask the lender about the reasons and he will be liable to answer.

I don't think you will be able to take away money from the account as access of the account will be with the lender.

Feel free to ask if you have further queries.

Sussane
Posted on: 14th Oct, 2008 09:33 pm
I don't understand this forbeance suspense...if im on a repayment plan they put me on and paying the amount they said I had to pay, then why won't they just post the payment? Is this legal for them to do?
Posted on: 01st Apr, 2009 06:41 am
Hi

The forbearance suspense account holds the money which has not yet been designated to principal, interest or escrow. This, I believe, the lenders do to make sure that some money remain in reserve for future use. For instance, if the escrow payments increases all on a sudden due to an increase in the taxes and you cannot afford that extra payment, then money reserved in the suspense account could be used.
Posted on: 02nd Apr, 2009 03:33 am
Taking our monthly mortgage payment and putting it into a forbearance account without us knowing it seems illegal. Now we are facing legal action from the mortgage company saying we have not made payments??? This just seems wrong.
Posted on: 02nd Feb, 2010 08:45 am
mls, if you have sent payments in and the lender has applied said payments to a forbearance account, but not to your mortgage account, you still are going to have documentation that you made those payments, right?

didn't they cash those checks? don't you have evidence of that?

i don't get how they'd be able to begin a court action and sit on your funds at the same time. gather together your documentation and fight them in court. unless you've done something other than mentioned here, you ought to have success.
Posted on: 02nd Feb, 2010 09:04 am
Once all the necessary docs pertaining to the Beneficiary/Next of Kin is appropriately submitted, could you kindly tell me whether there is a relevant processing fee plus another fee for the activation of the account in order for the funds to be transmitted to the beneficiary??? This is very important please advise.
Posted on: 09th May, 2010 12:26 am
I would suggest you to contact an estate planning attorney and take his opinion in this matter.
Posted on: 10th May, 2010 02:21 am
I received a check from our mortgage co; from a "suspense account" for the same amount as our mortgage pmt, with no explanation...what does this mean??
Posted on: 22nd Jan, 2013 02:08 pm
Hi PattyH,

Well, a suspense account is used temporarily to carry doubtful receipts and disbursements or discrepancies pending their analysis and permanent classification. You should get in touch with the lender's office and ask them to clarify the matter.

Thanks
Posted on: 22nd Jan, 2013 09:23 pm
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