Harry Gross: Mortgage servicer's foul-up almost loses him his house

Dear Harry:

I'm caught between the earthquake and the tsunami. My mortgage-service company was changed early in 2010. Everything seemed fine for a few months, and then I got a notice from our sheriff that a sale of my home was being contemplated for nonpayment of real-estate taxes. It seems that our township was having trouble with the tax collector's changing the system. The mortgage servicer's check was never deposited. I called them and requested that another check be sent. It took me a while and a lot of calls to get them to do this. They finally sent it.

When I saw my next escrow statement, I found that they hit my account for the original check that was never deposited as well as the new check. They are now demanding that I send them a check for $1,340 to bring my escrow balance up to where it should be to cover my next bills for taxes and insurance. In addition, they are adding $111 to my monthly payments to cover future bills. I can't seem to get them to correct their errors. Unfortunately, they are located in Texas, so I can't just walk in and show them the errors. Help!

What Harry says: I hate escrow accounts! They are the cause of most of the problems associated with mortgage payments. Let your congressman earn his keep. Visit his office with all your info. A call from a congressman often gets a fast response. No business wants the feds on their tail. It's too bad that lenders charge a higher interest rate if they allow you to make your own tax and insurance payments.

Write Harry Gross c/o the Daily News, 400 N. Broad St., Philadelphia, PA 19130. Harry urges all his readers to give blood - contact the American Red Cross at 800-Red Cross.