Consumer complaint received 2023-10-19
Company: WELLS FARGO & COMPANY
State: PA
Product: Mortgage
Sub-product: FHA mortgage
Issue: Struggling to pay mortgage
Sub-issue: Applying for or obtaining a modification, forbearance plan, short sale, or deed-in-lieu

Complaint:
Last year in XX/XX/XXXX, I applied for a mortgage loan modification after I had been on a forebearance/prior to the covid relief program the previous year XXXX due to less hours at work via the Pandemic. I applied for the mortgage modification due to me not being able to pay the mortgage and Wells Fargo held on to the application for processing for one entire year. My mortgage is a FHA loan. The interest rate was a fixed interest rate of 3.35 % when I applied for the mortgage modification. Due to Wells Fargo holding on to the paperwork for one entire year the interest rate went up three times. My paperwork was held up due to incompetence, paperwork was cancelled then reinstated, failure to communicate, wrong communication from different representatives and price-rate gouging. Once the paperwork was completed after numerous complaints that I had with representatives, supervisors and complaint board. The mortgage modification was approved with a fixed interest rate of 6.60 % for XXXX. Due to all the back and forth and incompetencies The Federal Government raised the interest rate XXXX times within XXXX. FHA has done nothing to assist with lowering my mortgage payment. My interest rate doubled and the mortgage payment increased by {$200.00}. Wells Fargo is at fault for flat out incompetence, failure to communicate, dismissing my mortgage modification application without communicating with me. Horrible service, one hand not knowing what the other was doing. It was a disaster. A mortgage modification should only take 30-60 days. My mortgage motification was dragged out for one entire year. Once the mortgage modification was approved the fixed interest rate was doubled and the mortgage payment went up {$200.00}. The purpose of me applying for a mortgage modification in the first place is because I couldn't afford the current mortgage payment of {$640.00} at the time due to me still getting established at a job that pays me less than what I previously was making due to the Pandemic. Since then as a customer of Wells Fargo they have completed the paperwork for the mortgage modification with the current mortgage payment that is due of {$830.00}. If I couldn't afford the previous mortgage payment and my financial status hasn't changed. How is this a reasonable solution or aid for me the customer regarding my mortgage payment. Wells Fargo claimed that this is all they can do. The mortgage modification had me on three months of trial payments for the {$830.00}. I made them by borrowing money, missing payments on my auto loan and being late on other utility bills to keep from Wells Fargo putting my house in foreclosure. FHA loans are known for being approved to low to mid income customers with low credit scores. Red lining, price and rate gouging as well as predatory lending practices are perpetual norms of Wells Fargo institutions and FHA loan practices. Plenty of lawsuits have been made against Wells Fargo for deceptive practices within the auto, mortgage, credit card services and much more. I've had auto and credit card deceptive practices done to me and my family from Wells Fargo. Money owed for an auto accident with an upside down loan that Wells Fargo gave me. As well as, a fradulent credit card account opened up on my mother who is now deceased since XXXX. 

I will take this complaint to the District Attorney 's Office and to the highest place of complaint and suit until something is done to STOP Wells Fargo Institutions and FHA for it's predarory and deceptive lending practices.

I want my fixed mortgage rate to be returned to the 3.35 % and help with lowering my monthly payment. As well as I want the interest rate to return to what it was before these deceptive, illegal and predatory lending practices were made against me.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation