CHARLESTON, SOUTH CAROLINA -- I am writing to inform the public to stay away from Wells Fargo. They bought my loan from American Home Mortgage in early Aug and they waited until my closing date on the 24th to let me know that there as a "hiccup" with my loan. The "hiccup" was that they now needed to review the loan because their standards were different.
I'm a first time home buyer and was guaranteed that I had a FHA home loan. I provided all of the paperwork and went through the whole process. I was given a good faith estimate by Wells Fargo and a closing date by the lawyers. I was only informed of a problem through the home insurance company who had not received the paperwork needed for closing on Thursday. The mortgage broker assured me on Thursday that everything was fine and that the closing was being moved to Monday that they were waiting for the papers from the underwriters. Keep in mind I was prepared to move on the weekend. Everything was packed in boxes. I gave 30 days notice to my apartment complex. The moving truck was rented. I sold my old washer and dryer because a new washer and dryer was being left behind at the new house. The seller was in the military and had already received new orders.
His wife and child had already left the state. The seller had a plane ticket to leave Friday night after closing. The ticket was non refundable. I decided to call the lawyer. He informed me that the closing was put off indefinitely and that I needed to contact my broker. Then my broker dropped a bomb shell. She informed me that it would be a week or more before they could make a decision on my loan. Again keep in mind I had been informed that I already had been approved for a mortgage loan. I was in tears. My husband was in tears. My family was in tears. The seller was totally distraught and asking me, "What do I do now?" as he sat in my realtors office.
My realtor had NO clue about the "hiccup". After 17 unanswered calls from the realtor to the broker, the broker called my husband on Friday, the day of closing, and said, "you might want a plan B." The result is they dropped the mortgage loan at closing. I am not alone. There are 5 other families in my area that they did this too. I know there is a law about full disclosure. I don't think keeping everyone in the dark was lawful, fair, or moral. If I had known in early Aug when Wells Fargo bought American Home Mortgage, that there may be a problem, I could have been better prepared. What happened to at least 5 families in the Charleston SC area is wrong.