Midland National - Online payment system error/customer service

Feb 14, 2022

Howard L-of Akron, US

On December 17, 2021 I made an online Life Insurance Premium payment of $210.42 for policy number [protected]. Payment due date was December 22, 2021. Previous online payments have been made without any issues using my bank account. I received a confirmation letter dated December 18, 2021 that my payment was received successfully on the date stated above.

Sometime afterwards I received correspondence from Midland dated December 28, 2021 stating that my payment has been returned marked no account available to locate my financial institution. Payment has been made from the same account that I have made payment from in the past (the previous month). I went back to verify account and routing numbers to verify accuracy, no error was found on my end. It was also verified that funds was available in my account. Bank also stated that everything was correct on their end and didn't see any reason why payment would not be dispersed. In my experience with online payments it would be rejected immediately if incorrect payment data is entered. I had also been in contact with customer service on several occasions trying to rectify this issue with no success. I have also contacted my agent Mike Fodor who advised to just give a little time for my payment to process because there are sometimes delays in payment processing. After 12 plus years of owning this policy Midland made the decision to terminate my policy due to a simple payment issue.

I was then told that my only option was to apply for reinstatement of my policy. I completed the necessary paperwork and promptly returned it. On February 8, 2022 I contacted Midland by phone to check that status of my reinstatement application. I was told by customer service person I that my reinstatement was approved and a payment of $852.19 was due to complete the reinstatement. Successful payment was made from the same account that they previously stated was an invalid account. Contacted them on February 14th, 2022 because I had not received any correspondence in reference to the reinstatement. I was informed that the underwriter did not approve the reinstatement and my payment would be returned. I am having a hard time understanding this decision and Midland policies and procedures. When asked to speak with someone of higher authority I was told to speak to my agent. This entirely negative experience will effect me and my in ways that I can't even explain. Someone please help me understand whats going on here.