BMO Insists on Paying Property Tax with Mortgage Payment
Hey guys, the internet is not giving me a clear answer on this. Basically, in my BMO property tax account, after two years of mortgage (CMHC, we had 5% down) we have almost $1000 sitting there because our property taxes are low and they are taking double what they need to take, and holding it in escrow.
I reached out in person at an appointment, told him that from what I read, the loan to value ratio was now below what I thought was the minimum to pay the property taxes yourself, and requested that they deposit those funds into my bank account instead of holding it in escrow. He typed a bit on his computer, and told me no problem, he sent off the request!
A week later, I heard nothing, so I emailed, and I got this response:
"So our property tax team came back to me and said that they were unable to close the account because the mortgage is still default insured. This will continue for the duration of the mortgage. if you bring me your property tax notice I can see if we can get the amount withdrawn reduced down to the lowest amount."
So basically, I can't have money that is being double-paid ? It seems backwards to me.
What should I do, should I try and go above this guy and speak to someone else? I can't even find documentation of where this is mandatory or it's some arbitrary bank rule.
Help!
I reached out in person at an appointment, told him that from what I read, the loan to value ratio was now below what I thought was the minimum to pay the property taxes yourself, and requested that they deposit those funds into my bank account instead of holding it in escrow. He typed a bit on his computer, and told me no problem, he sent off the request!
A week later, I heard nothing, so I emailed, and I got this response:
"So our property tax team came back to me and said that they were unable to close the account because the mortgage is still default insured. This will continue for the duration of the mortgage. if you bring me your property tax notice I can see if we can get the amount withdrawn reduced down to the lowest amount."
So basically, I can't have money that is being double-paid ? It seems backwards to me.
What should I do, should I try and go above this guy and speak to someone else? I can't even find documentation of where this is mandatory or it's some arbitrary bank rule.
Help!