How to Avoid a Mortgage Escrow Nightmare

When you get a mortgage to purchase, build or refinance a home, most lenders prefer to set up an escrow account so they can pay your property taxes and insurance premiums for you.

A monthly payment is added to your mortgage bill and analyzed once a year to cover any increases in taxes or insurance premiums.

Sounds simple, right?

Actually, mortgage escrow is one of the most difficult aspects of loan servicing. ...