MINNEAPOLIS, MINNESOTA -- We believe Wells Fargo Bank (WFB) deliberately and unfairly denied our applications twice to refinance when mortgage rates dropped in order to keep us at our present 6% loan with them. We initially applied in August 2010 and were denied approximately 30 days later with the reason that our debt to income ratio was too high at 55.44%.
Subsequently, two WFB loan specialists advised us to reapply after we paid down the equity line we had used for our small business. We paid it down to zero on 9/20/10 (and have not used it since) and started the second application on 9/27/10. Moreover, the loan specialist who took the first application and advised us to reapply sent us an email that he would process a change to an even better rate of 4.5%. We later learned this was never done.
Additionally Wells Fargo Home Mortgage (WFHM) disallowed our monthly rental income of $1,200, stating it's because a renter rents a room in our primary residence. The facts are that this is for a completely separate "granny flat" apartment that has its own entrance and parking. This has been declared as income since our tenants moved in June 2006 and has been declared as rental income on our 1040's every year since 2006, and the rental checks are deposited monthly into our WFB personal checking account.
I sent an email on 1/10/11 to an Executive Mortgage Specialist, Retail - Office of the President for them to answer why this rental income is not verifiable, along with other unanswered questions regarding our two loan application denials.
Then on 12/10/10 (more than 60 days after our second application was started) we were told that we were denied again for the same reason as the first, namely: our debt to income ratio was too high at 82.27%. I asked how that could be since we had paid the equity line down to zero, incurred no other new debt, and do not carry credit card debt. I was told that the amount that Underwriting used for business income was less than half of what figured on the first application.
Additionally, they excluded our monthly rental income of $1,200 stating they cannot use income from "live in boarders" when in fact this income is from a completely separate "granny flat" apartment, the rental income has been declared on every income tax return since 2006, and the rental checks are deposited monthly in our personal WFB checking account. I was told by a WFB representative that "determination of rental income depends on the circumstances."
Therefore, based on these facts and other inconsistencies in the processing of both loan applications that WFB will not explain, we feel that WFB deliberately and unfairly denied our ability to secure a loan when rates were historically low. We further feel certain that based on our excellent credit rating, previously satisfactory banking history with them since 1978, and our low loan to value ratio of our home, that if our mortgage had been with another lender, WFB would have approved us for the loan.
So while we have begun the process again with a different lender, the rates are now higher. Since we are getting close to retirement, we feel that this unfair treatment by WFB denied us the window of opportunity to have a much lower mortgage payment during our retirement years when our income will not only be fixed but reduced.
It is regrettable that our relationship with WFB will be ending on such a sour note but our confidence in them has been irreparably breached. Evidently we were wrong to believe that WFB really cared about its loyal customers since our experience showed us what they really care about is the money. This is written in the hopes that it will spare others from becoming victims of what we perceive to be unfair lending practices on the part of Wells Fargo Bank.
I am writing this letter to let you understand what I have been through. To Wells Fargo: I know that you are a nameless, faceless entity and there is no one person who will read this or care or feel any sense of responsibility. But I need to write it. You have no idea the pain you have caused me and I know that this pain is multiplied by the thousands in others.
Last July 6th my home was sold at auction at the Chatham County courthouse. I did not know this was going to happen. I didn't know that it did happen until the next evening when I happened to call Wells Fargo to check in with the loss mitigation department and the lady I spoke to told me my home had been sold. When I got home later that evening there was a note on my front door from the investors who had bought my home.
I did not expect this because when I spoke to a lady at Wells Fargo on June 23rd about not qualifying for the HAM program. I told her that I could make my payments and all we needed to do was to figure out a way to catch up the past due amount. She said "No problem"; she would reschedule the foreclosure sale by ten days (to July 16th) so that we could look at some other options for me to come current with my mortgage.
I believed her. And, I know she did this because two other people at WF have since told me that they could see the e-mail from her requesting the sale be rescheduled. If I had known the sale was going to go forward, I could have borrowed money from my boss to pay the past due amount and prevent it. He has told me he would have loaned me the money. I will be typing up the sequence of events that led to this in a separate document. I want to try to focus on my feelings in this letter.
I felt numb with shock, sick to my stomach and then an overwhelming sense of panic. Over the next two months as I worked (unsuccessfully) to try to repurchase my home, I was depressed, crying and sometimes considered suicide. Some days I spent all day in bed, sleeping to escape the nightmare situation. Some days I spent all day at work crying. Some days I had to leave work early because I couldn't stop crying. I still have panic attacks where I feel like I can't breathe.
This has left lasting trauma with me. Can you imagine waking up one day to find that the house you thought was yours, the home you had made, was no longer yours and you had to leave it? I cannot express the feeling of insecurity, loss and panic I still have.
That house was my home for 11 years, for over one fifth of my life. I spent hundreds of hours taking it from a boring, bland house to a warm, beautiful home. I painted, repaired and cleaned and I replaced fixtures all through the house. I spent thousands of dollars replacing the vinyl and carpet with tile and wood flooring. I spent hundreds of hours working in the yard, landscaping and planting trees, bushes and flowers everywhere. That house was a work of love, aside from my children, my greatest work of love. Now, I don't have a house to work on or a yard to work in.
Sometimes I can't even watch Home Depot commercials because they make me feel so bad. I feel intense jealousy of people who own their homes. I can't watch home improvement shows on television. I feel such a sense of loss and hopelessness, of no future. I can't even begin to bring myself to change my address on anything - bank accounts, credit cards, etc. because it hurts so much to think I don't live at that address anymore.
I don't know how I will get through this spring. I love to plant, to garden. I love to plan what I'm going to plant where and to smell the dirt when I plant and to see the results of my labors. It is unbearable to think that I will miss seeing and smelling the jasmine on the back fence outside my bedroom. I would leave the bedroom door open at night in May and June to smell the jasmine and the gardenias while I fell asleep and when I woke up.
I can't believe someone else will see my umbrella rose trellis with the pink miniature climbing roses. And, I miss all of the cut flowers I could have in the house especially the roses. I worry about the plants and the trees. What if they didn't get enough water and since no one lived there to water them, they died. What if whoever buys the house doesn't know or care about plants and they let them die.
That house was the only home my youngest son had ever known; we moved there when he was one year old. The street we lived on was a small cul-de-sac where all the families knew each other. We had regular neighborhood parties and events like movie night, sports contests, Easter egg hunts. My sons grew up with several friends in that small neighborhood. Everyone watched out for each other's children and you fed who ever showed up at your table for lunch or dinner. The kids ran from house to house to play. You might not have known whose house your child was at but you knew he was at a neighbor's and you didn't worry about him.
They all went to the school bus stop on the corner and rode the same bus to the same school. And, the adults all helped each other when help was needed. One elderly couple in the neighborhood had both had health problems at the same time and all the other neighbors took turns making them dinner each night for several weeks. There was a sense of belonging and security for all of us. I can never give this back to my children and I may never have it again either. I feel I have let my kids down so much. I can't even begin to express the guilt I feel about this.
My mom is my only family left. My dad and my brother died several years ago (my brother died in that house). She lives by herself but she is severely handicapped by arthritis and in a wheelchair all the time. We had made my house somewhat handicapped accessible by installing a wooden ramp in the garage, widening the door to one bathroom and installing a grab bar next to the toilet. I can't do these things in my rental house. She can't come to my house - not for Thanksgiving or for Christmas.
She tries very hard to be independent but it is getting harder and harder for her. She will need to go into a nursing home at some point. I could have slightly remodeled my house to have her live there instead but now I don't have any option like that. And, I think about how I am letting her down, how ashamed I am to have disappointed my father because he always told me that my job after he died would be to take care of her.
I even feel that I have let my dog down. The home I lost had a fenced yard and we could just open the back door and she could run around the yard or rest in the sun and smell everything. Now, she can only go outside on a leash. She can't chase squirrels, our cats or birds. I feel so guilty that she has lost all of this.
To the investors that bought my house - I realize that you two are the faces of what happened to me; that Wells Fargo doesn't have a face I can blame or hate. I also understand that people rarely do things to others, that they do things for themselves. I know that you will rationalize what you did by saying that you are investors, this was nothing personal, this is just business for you (I remember you telling me that).
And, I'm sure you tell yourselves that if you hadn't bought my house at that auction, someone else would have. I have to tell you that the way you make your living is crappy. You should be ashamed of yourselves. Maybe I have just been lucky enough to always have worked in an industry (homebuilding) where we build something for someone, make a dream come true for them. But, I know enough about myself that I know I couldn't do your job. The profit would not be worth the shame for me. I couldn't make money by taking something so precious from someone. I hate you both. This has been my mantra for several months - I say over and over again "I hate you".
I am not at all a vengeful person and I can't think of anyone else I would say I hate but I am having a very difficult time getting past my feelings of hatred for you. I have wished you would die. I don't wish you would die anymore. Now I wish that somehow you would lose something precious to you, out of the blue; something so precious that it feels like the death of a loved one so you could feel something like the pain I've felt. I hate you and what you have done to me so much. I hope you rot in hell for all you have done to people.
I have thought many times of killing myself. Sometimes right after I lost the house, I would think that may be if I killed myself and did it the right way so the insurance company didn't know it was suicide, my kids could take my life insurance proceeds and buy the house back. Now, I think about getting into the house and killing myself there so that you would know why I did it.
Last Friday I was so upset that I couldn't go to work again. I thought all day about driving myself to the emergency room and telling the people there that I was suicidal. I didn't do it because I don't want to scare my kids or to leave them alone. And, I worry constantly that I will lose my job because of my depression and then we will be homeless. I have no husband and I have no relatives to help me. I am not an unbalanced person. I am by nature analytical, not very emotional and don't fall apart easily. I have never had anything affect me like this has. Even losing my father and my brother didn't affect me in exactly this way.
My doctor has explained to me that since she has counseled rape victims in the past, she knows that all the guilt I feel, the depression, the vulnerability, the sense of hopelessness are feelings of a victim and that I need to get past feeling like a victim and start feeling mad. I never understood before why rape victims would want to commit suicide and why they don't want to prosecute and face their attacker. I understand now. Many people have pushed me for months to file suit against Wells Fargo; I haven't been able to go forward with that. I don't know if I can bear reliving all of this again.
And, I don't know if I can handle the intense anger and maybe further depression. I have tried to move on and I thought I was but I wasn't. I finally felt like I could write this letter for the first time within the past few days. I don't know if this will help me move on but I don't know what else to do. Maybe this will bring me some peace. I hope so because I really don't know how else I will find it again. That house was my sanctuary, my serenity, it was the center of my life, it was the stability I gave to my kids, it was my creation, it was me. And, it's gone. How do I ever get that back?
Wells Fargo Loan Modifications are a fraud! I was a loyal on time paying customer until I got hurt on my job 2 yrs ago and I was put on sick leave. I refinance and got an adjustable rate in 2004.I called Wells Fargo because I needed to know how I could have my mortgage payments lowered after my leave ran out and I wasn't getting an income. I had my savings in which I was still making my payments until they were exhausted.
Everything fell behind, bills were pouring in like water. Luckily I was back to work. But, I could never catch up because my payment were still adding up. I couldn't make my regular payments and Wells Fargo called themselves putting me on a so called modification plan. My payment was lowered first from $3300 to $3100. I told them that this payment was too high for me and they lowered it after 2 months of trying to make these payments to $2800. Still too high with no income coming in. This was a disaster.
All the time while they were saying that they were giving me a modification, they were still adding the difference from my original payment. They said it would take 90 days for them to do my modification. When I called I was told that a decisions had not been made yet. This 90 days decision went on to another 90 days to another 90 days, that lasted almost 2 yrs. After about 6 to 8 months I was told that my mortgage payments were $28 thousand dollars behind and that I didn't get the loan modification.
Wells Fargo told me that they could try another loan modification. I asked, "What other loan modifications were there if I didn't qualify for this loan modification". They sent me another loan modification package to fill out to sent back. I already had sent one package back which no information changed. I have to fill out another one.
I returned another modification package and they said that it would be another 90 days for the decision. I was told that my payments were going to be dropped to $1100. I thought that was great. I was so happy and started praising Wells Fargo. Little did I know that Wells Fargo was still adding the difference from my original mortgage of $3300. After the second denied modification I was told that my house would be foreclosed on.
I had my house build 15 yrs ago and I had done about $100 thousand dollars in renovations and additions. I was given some foreclosure information to call a foreclosure specialist in which I did. An outside agency. They sent in the package to Wells Fargo to lower my payment and Wells Fargo said no to their recommendation. They did another package to raise the mortgage payments.
A year had passed and a gentleman comes by saying that he was just doing a survey on my house. I felt something was really wrong with this picture. I called Wells Fargo and they told me that it was a normal practice when a mortgage falls behind but that I had nothing to worry about. Six months later I get a foreclosure letter saying that my house was $50 thousand dollars behind and that my foreclosure sale was scheduled a week later.
I almost had a nervous brake down. Where was I going to move my family in a week? I'm a single mom with a small grandson. Where was I going to get that kind of money from in such short notice? They then told me that I could do a short sale. Still, this meant I had to move out of my home that I had been in for 15 years with nowhere to go. Get this, they told me that they may be able to help me with a thousand dollars moving expenses. I thought, "Is this a joke"? I cried in disbelief. After I moved all of my things out of the house into storage, until I found a place, they had the nerve to call me and offer me another modification.
After almost 2 yrs of going through this agony with Wells Fargo I decided just to leave it alone because I would have given myself a hard attack worrying about this horrible situation. If I didn't have God in my life, I probable wouldn't be here today. Needless to say my dream home of 15 yrs. I was robbed out of.
Oh, I forgot to mention before I moved out and before the foreclosure, someone called me and said that they were representing the bank and asked if they could come and take pictures for their client a potential buyer. I really almost lost it. I had to remember though that life is short and I had to go on for my family no matter what. Lesson Learned. Wells Fargo is not a good bank to do business with. I tried to be a good customer by paying on time and look at where it got me. They cared nothing about taking my home from my family and I. Well, someday it will all come back on them.
I agree, a won class action suit may stop them from promising a modification and knowing all the time that they aren't going to give you one. Also, causing you to owe an amount that you can't afford in order to get your home payments current. God sees and knows everything! There is Justice somewhere!
Seriously, a mortgage is really one of the biggest investments you will make. Some of you will have bigger but for the average every day American a home is a symbol of pride, and owning it makes it even more so. So it kills me working in the mortgage servicing industry that more homeowners don't know more about their mortgages. A couple of myths I would like to let you in on:
Your closing agent is truthful and tells you everything. NOT. I wish, it would handle a lot of problems we get down the road. When you go to closing advise your closing agent that you are going to need a couple of hours. Read every single document thoroughly and take a dictionary with you. Ask questions and make sure you understand and agree with the documents before you sign. If the closing agent says that it will change once the mortgage is up and running, he/she is lying to you. No it won't, those documents are for the most part set in stone.
Any attorney knows stuff about mortgages. Very very few, and the odds of your attorney are nil. There are very few attorneys who actually know about mortgages. The worst of the worst are bankruptcy attorneys. They know NOTHING about mortgages and the results of bankruptcy on the mortgage. You want information write into your mortgage company.
You need to tell your life story to get what you want. Regardless of if you tell your life story to the person on the other end of the phone, it won't change the outcome. Most representatives will do what they can but what they can only goes so far. So if you are sick of telling your life story to a different representative every day, stop doing it. Just give the basics of what you need and why. That's it.
Most of what I get from my mortgage company is adds. Um, that might be true, read it anyway. If you get anything from your mortgage company read it thoroughly and make sure it is an add before discarding it. I don't know how many times I have been told that someone didn't get this or that letter.
My mortgage company knows what it's doing. That's laughable. Yes they do know what they are doing, and yes they are trying to help you. But someone has to slip through the cracks. It happens at every company. Don't let yourself slip through. Make sure you have proof that what they say is going to get done got done before you stop calling.
My mortgage charges fees and interest for petty things such as calling, paying a few days late, etc. Not sure what that fee is for? Call and get an explanation. Any good company is not going to charge you to call, and most mortgage interest is calculated monthly. Meaning regardless of when you pay it, you pay the same amount of interest.
The best advice I can give you is to always keep in contact with your mortgage company if there is a problem weather it be on your end or theirs and READ AND UNDERSTAND every closing document you sign. Sign NOTHING until you know what it says. Do not let them rush you through closing, you will pay for it later.
PALATINE, ILLINOIS -- Wells Fargo purchased my mortgage years ago, and I have never made a late or incorrect payment in the past. They have messed up my escrow account in the past (that is a separate issue...): But this year, I made a simple check-writing error that has turned into a bureaucratic joke.
In June 2013, I mailed in my July mortgage payment (which was not actually due until 7/15). I mistakenly left off the words "two hundred" in the dollar portion of the check (although the number portion was written correctly); so it looked as if the written dollar payment was $200 too low. Even though I had submitted an inconsistent instrument, Wells Fargo cashed this check on July 2 for the written dollar amount, which was $200 too low; but they did not notify me in any way of the problem with my check.
Three weeks later, on July 24, I got a "robo call," requesting me to call in to Wells Fargo customer service. I called in, and was informed of the error at that time (really?? It took them three weeks?). The representative told me that I could make the $200 payment-due over the phone or on the web for a $20 fee (what a complete rip-off), or I could mail it in as long as it was received by July 31. I was further informed that if they did not receive the additional funds by July 31, they would contact the credit bureaus to notify them of my "delinquency."
I told the representative that I was mailing the $200 immediately (so it should be received by 7/31), and I that I fully expected that no fees or penalties would apply, as it had taken them almost a full month to notify me of the issue.
Later that same day, I received ANOTHER call to talk about this; and then on the next day, July 25, I actually got a call from a Wells Fargo collections agent! She told me that I would continue to be called by collections until the check was received! The situation is so ludicrous: They don't contact me for three weeks after cashing an inconsistent check, and now suddenly I am being hounded by their collections agency every day, when they could have settled it with a simple phone call on July 2?
I should mention that when I made this same type of error on a utility bill payment several years ago, I received a call immediately and it was straightened out over the phone. What kind of a bank doesn't have a clear-cut policy for notification when it comes to inconsistently executed instruments/checks?
I am a school teacher and my husband is a contractor, both once considered good jobs. Three years ago, my husband had a heart attack, which put him out of commission for about a year. Once back on his feet, with the fall of our economy, was unable to find much work. It seems so long ago that we called the mortgage company to inquire about a modification. We could no longer afford take our mortgage payments.
We set up twice a month payments for a while, thinking that the smaller amounts might be easier to keep up with, but when the money isn't there, it isn't there. We were told that we had to be "Behind" on our mortgage to apply for a modification. So missed a payment and started process. It took forever! We finally got the packet, and just like so many others, filled out every form, gathered every check stub and document and sent them in promptly. Hurry upland wait, and wait, and wait some more. Oh and don't male a payment until you hear from us! We were denied because our income was $26 month short.
We heard about HAMP and asked if we might qualify for this? We started the whole process over and waited. When we finally got our trial payment amount, it was too high. We were to make these payments in Nov, Dec, and Jan. We had dropped our health insurance (very scary with husband's heart condition) to an HSA (still costing us $1000 a month and now we pay all medical out of pocket) to free up a little more of our monthly income.
This would not take effect until January. We called to explain and were told, "just do the best you can." They wouldn't accept a partial payment so we were able to make the payments in Dec, Jan and Feb. Again you wait, "do not make anymore payments beyond the trail until you hear from us." Again we were denied because we didn't make the payments instructed.
We applied again and were told that we are now too far behind but we just got a check in the mail from Wells Fargo for $10,000! On the stub it says, "misappropriated funds." Go figure! If the banks could ever figure out that the right hand and the left hand need to communicate, we just might get through this whole housing disaster... but since the banks are the only ones benefiting so why would they care?
IOWA -- I applied for a HAMP loan modification last year. I was told to make a payment in a certain amount which I have done. Never missed a payment. I kept getting foreclosure notices even though I was in the HAMP program. On April 27, 2010, I sent in updated information as my financial circumstances had changed. By the way, I got laid off in April, 09 and there are no jobs in AZ. On May 3rd, I received a letter from Wells Fargo that they cancelled my Loan Mod program at MY request. WHAT? I need this program. Someone at Wells Fargo took it upon themselves to shut me out of this program. I have faxed a letter to their customer resolution department with no response.
I've had to reapply for the loan mod program again! The incompetence of this company is beyond me. They won't even apply the payment I've made to my account. Last I called, they put it in a reserve fund. FOR WHAT? Unacceptable behavior. I have been trying to find a job for 13 months and save my house and Wells Fargo will not help me. They only make you send updated information (even if nothing's changed) every 2 months, but they don't tell you that up front. It has been an ongoing nightmare for over a year. Shame on them!
I called again last month and submitted the same necessary paperwork (which they always lose). Now I am trying to sell my house and they won't give me the payoff amount because it's in foreclosure. WHAT? They didn't even tell me. So today I get a letter from the lawyers handling the foreclosure AND a letter from Wells Fargo asking for additional information for the loan modification.
Wells Fargo is the MOST inept company I've ever dealt with and they have no desire to help those of us out who need it. They wouldn't even accept unemployment as a form of income, although they sure took my money last year. Now they just send my payments back. Horrible, horrible company! If there is ever a class action lawsuit on this company, please contact me. Something needs to be done about them!
BLUE JAY, CALIFORNIA -- My husband and I recently purchased a home in Crestline, CA. We went to Wells Fargo Home Mortgage locally because the house was a Wells Fargo repo. We were told this was a wise move by the loan representative because we really didn't have any other choice. This was not true. Buyers may obtain financing anywhere they can qualify. Their rates were competitive so we were satisfied funding with Wells Fargo. What a mistake! There was little or no communication unless we picked up the phone at the end of the day and asked what was happening or if they needed anything.
We went on a vacation and nothing happened with our file for 2 weeks until we returned and became furious. We were told up front by the loan representative that we qualified for the loan and then when the underwriter got the loan documentation, suddenly we did not qualify without jumping through countless "hoops". We had to change the terms of our loan to stay in escrow. We had asked for a 45 day escrow, but because underwriting had our file so long, we had to agree to extend the closing date. Wells Fargo is supposed to pay the first month mortgage payment when that happens (per their website) but they refused. Very disappointing.
Here's the real kicker: the "Good Faith Estimate of Closing Costs" was over $2,100 under what it actually cost us to close escrow. We asked what happened and they said "that's all escrow charges we don't control". Sorry folks, that doesn't fly... it's their job to pick up the phone an inquire what the escrow charges will be prior to giving the estimate. Paying the additional charges wiped out our savings and checking accounts. We're posting this to warn others about the horrible customer service and if you still decide to fund with Wells Fargo, at least you will be aware of what to watch out for.
LAKE MARY, FLORIDA -- Four years ago my wife and bought our first home together. We got a good interest rate and bought at just the right time. In September of 2008 my wife (Title Agent-Realtor) lost her job. We contacted Wells Fargo to inform them of our situation. We got two payments behind on our home mortgage and were instructed by a Wells Fargo agent to do as follows.
Before they could help us we were instructed to ruin our credit. In doing so we would qualify for a LOAN MODIFICATION. We did and were told we did not qualify. The reason was, (GET THIS) we don't have enough income to qualify for help. That makes ZERO SENSE. If we made more money we wouldn't need help from our lender.
My wife has been in contact with Wells Fargo, working with them, jumping through their hoops to resolve our dilemma. She called them again in late January to find out if we qualified for any type of assistance. They told us that we did qualify and that we needed to pay a payment that day to stay in good standings with them. We never received a thing from them saying we qualified. They never called to tell us we qualified. They have been extremely rude and "as a matter of fact" on the phone with us.
We paid that day online to stay in good standings. We have been on their assistance for three months, never been late, we've done exactly what they've asked. Now once again we don't qualify for their help because we don't have enough income! "What about government help",my wife asks the agent on the phone. Because our loan documents say Jenny May we don't qualify for government assistance. If it said Fanny or Freddy May we would be able to save our home. Jenny May is a government funded program, but because the name is different we don't qualify for help to save our home.
Wells Fargo would rather loose hundreds of thousands of dollars than put $7000.00 on the end of our loan. We loose our home over that. It makes me sick that they are not going to work with us. They want to foreclose and take our home, they are rude and unwilling to work with the American people.
My husband lost his job in August, and we had to relocate from Texas to Florida. Because of this, we were forced to do a short sale on our home. We had a buyer for 141 days. During this time, Wells Fargo required us to submit updated paperwork 5 times. The same paperwork over and over because it would become outdated before they would review. Our buyer finally gave up, and now we are facing foreclosure. We had the buyer and did everything required of us and jumped through every hoop they put in front of us but they screwed us. Stay far far away from Wells Fargo. They are dishonest and shady. I believe that they don't care about helping their customers.