In XXXX 2015, I had water damage to my condominium from a ruptured sprinkler pipe in a neighboring unit. We began to repair our home during the spring and summer out-of-pocket before we got our insurance settlement in order to expedite our return home. In total, our repair costs were approximately {$40000.00} This loss was ultimately covered, in significant part, by my insurance settlement. I received {$33000.00} from my insurance carrier, which I remitted to my mortgage holder as loss payee as soon as it was received in XXXX, 2015. 

My mortgage company has been holding onto this money without a legal right to do so. Our mortgage agreement allows them to " hold such insurance proceeds until the lender has the opportunity to inspect such Property to ensure the work has been completed to the Lender 's satisfaction. '' They conducted this inspection on XXXX XXXX, 2015, and both the inspector and customer service department indicates that the work has been completed to their satisfaction. 

Nevertheless, they continue to hold onto these insurance proceeds, creating a financial hardship for me and my wife who had to repair our home without the benefit of having insurance. Meanwhile, the mortgage holder is profiting from the float. 

When I call their " loss draft department '' they come up with novel things that I have to do, including, most recently, that I have to write them a handwritten letter recapping what I sent is a series of other letters. None of this is allowed in the mortgage agreement. 

This is a classic example of consumer fraud. 
