Consumer complaint received 2020-06-07
Company: WELLS FARGO & COMPANY
State: CA
Product: Mortgage
Sub-product: Home equity loan or line of credit (HELOC)
Issue: Trouble during payment process

Complaint:
Consumer Financial Protection Bureau, From XXXX XXXX, routinely, I would not receive my monthly mortgage statement from Wells Fargo until the XXXX of each month, even though the due date is on the XXXX of each month and the end of the grace period is only to the XXXX of each month. Yet, I would receive between 50-100 telephone calls between the XXXX and XXXX of each month from Wells Fargo Home Mortgage harassing me regarding the current payment not being paid. In some months, I have not even received a monthly mortgage statement from Wells Fargo Home Mortgage or would receive the monthly mortgage statement into the following month. 
When I do not receive a monthly statement, I would call Customer Service at Wells Fargo Home Mortgage multiple times. I would receive one of two responses from Wells Fargo Home Mortgage representatives : ( 1 ) There is no payment due and/or ( 2 ) the representatives state that a monthly statement does not even have to be sent to me! 
When I did not receive a monthly mortgage statement from Wells Fargo Home Mortgage or when I would receive a monthly mortgage statement from Wells Fargo Home Mortgage that stated No Payment Due or when a Wachovia/Wells Fargo Home Mortgage representative stated there is No Payment Due, if I do not make a payment for that current month, the very next month I will receive a monthly statement indicating that I am a month in arrears and receive multiple phone calls from Wells Fargo Home Mortgage collections department. Among several other months, this has happened in XXXX and XXXX of XXXX. 
There are numerous loan servicing errors on the part of the Wachovia and Wells Fargo Home Mortgage Loan with this loan. I have contacted countless Wachovia and Wells Fargo Home Mortgage Loan representatives ranging from customer service to the research department to managerial to regional vice presidents and even the executive offices. Not one single representative has taken action to correct any of the loan servicing errors with my loan and have even made lame excuse for the loan servicing errors. I was even laughed at in a scoffing, mocking tone by a Wells Fargo Home Mortgage representative when I expressed my frustration with the loan servicing errors with my loans. That Wells Fargo Home Mortgage representative even had the audacity to imply that the problem was me not being able to correct Wells Fargo Home Mortgage loan servicing errors! 
XX/XX/XXXX Statement : I made a mortgage payment of {$400.00} on XX/XX/XXXX toward interest as required by the XX/XX/XXXX statement along with a {$100.00} payment toward principal. Wells Fargo Home Mortgage applied {$400.00} on XX/XX/XXXX as an interest payment as {$400.00} and applied {$100.00} & {$0.00} toward principal. On the XX/XX/XXXX mortgage statement, {$0.00} past due and 1 mortgage payment past due. 
XX/XX/XXXX Statement : Wells Fargo Home Mortgage Statement delivered late on XX/XX/XXXX. Why are my payments Unapplied Funds? There should be no Unapplied Funds in with my account. Wells Fargo inappropriately used the Unapplied Funds several times for extra principal payments and other monies that should have been applied to my mortgage principal. 
XX/XX/XXXX Statement : Wells Fargo Home Mortgage statement again delivered late on XX/XX/XXXX. The Wells Fargo Teller at my local branch stated that my XX/XX/XXXX statement was incorrect and that I should pay {$820.00} toward interest. I followed the Wells Fargo Bank Tellers instructions and made a payment of {$820.00} on XX/XX/XXXX specifically toward interest as the Wells Fargo Bank Teller instructed me to do and I also added {$200.00} specifically toward principal on the coupon and to the Wells Fargo Bank Teller. Then, Wells Fargo Home Mortgage applied this payment as {$420.00} toward interest XXXX making my loan 1 month past due ) and {$600.00} toward principal. 
XX/XX/XXXX Statement : Wells Fargo Home Mortgage statement again delivered late on XX/XX/XXXX, 1 day AFTER the late payment penalty is due! I immediately called the Wells Fargo Home Mortgage Customer Service. The Wells Fargo Home Mortgage representative stated to me that no payment was due until XXXX. In accordance with this representation from this Wells Fargo Home Mortgage representative, I did not make a payment for the XX/XX/XXXX mortgage statement. By relying on this Wells Fargo Home Mortgage representatives representations, this resulted in my mortgage account being 1 full payment behind on the XX/XX/XXXX statement and has remained in that status for some time, even though I made a double payment in XXXX of XXXX. 
XX/XX/XXXX Statement : My extra principal payment of {$500.00} on XX/XX/XXXX was initially input as I intended toward principal, then Wells Fargo Home Mortgage reversed my extra principal payment of {$500.00} on XX/XX/XXXX and applied to their Misapplied Funds with only {$78.00} of my {$500.00} principal payment applied toward principal and {$420.00} of my principal payment vanishing! 
XX/XX/XXXX Statement : On my XX/XX/XXXX mortgage payment, I designated {$500.00} as an additional principal payment. Wells Fargo Home Mortgage again confiscated {$370.00} of my {$500.00} principal payment and applied these funds to misapplied as a finance charge. 
XX/XX/XXXX Statement : Wells Fargo Home Mortgage statement again delivered late on XX/XX/XXXX. My principal payment of {$62.00} was again misapplied as a finance charge instead to my principal as I had designated those funds to be applied on my mortgage coupon! 
XX/XX/XXXX Statement : Wells Fargo Home Mortgage erroneously assessed a late charge of {$22.00} on XX/XX/XXXX even though payments were made before the XXXX of XXXX. Late charges are to only be applied on the XXXX AFTER the due date! I also designated {$500.00} towards as an additional principal payment. Wells Fargo Home Mortgage unilaterally chose to apply this additional principal payment to misapplied with only {$85.00} being applied to the principal and {$420.00} being applied to interest! 
XX/XX/XXXX Statement : More funds applied to Misapplied Funds instead of correctly applied to my principal and interest. 
These are a sampling of erroneous loan servicing I have been subjected to by Wells Fargo Home Mortgage This has cost me thousands of dollars in lost principal reduction and additional interest paid. 
Communication Thread with Wachovia/Wells Fargo Home Mortgage : From : XXXX XXXX Sent : Wednesday, XX/XX/XXXX XXXX AM To : XXXX " XXXX '' XXXX Subject : MY WACHOVIA LOAN # XXXX XXXX, No. Wells Fargo has been so sloppy with the servicing of my loans! I have no confidence with Wachovia or Wells Fargos to handle my account correctly, especially with automatic payment. I would rather continue paying at the bank, XXXX though it costs me time to do so ) and have a written and stamped receipt. Though, twice at the XXXX XXXX Wells Fargo branch, the Wells Fargo teller wrote the incorrect account number on my check after I made the payment and my additional principal payments of {$500.00} each for # XXXX and # XXXX for XXXX and XXXX were not credited to my principal! 
Now, I have that task to straighten out. 
My Wells Fargo loans are so messed up and no one with Wells Fargo will take the responsibility to help and correct! 
XXXX XXXX XXXX From : XXXX XXXX XXXX : XXXX XXXX Sent : Monday, XX/XX/XXXX XXXX PM To : XXXX XXXX Subject : XXXX : MY WACHOVIA LOAN # XXXX XXXX, Would it be more convenient for you to set up automatic payments so youll never have to miss a payment? 
XXXX XXXX XXXX XXXX XXXX Account Certified Wells Fargo Bank XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX De XXXX XXXX XXXX XXXX XXXX | XXXX XXXX CA XXXX P : XXXX | F : XXXX | XXXX : XXXX ________________________________________ From : XXXX XXXX XXXX XXXX : XXXX XXXX Sent : Monday, XX/XX/XXXX XXXX PM To : XXXX, XXXX Subject : RE : MY WACHOVIA LOAN # XXXX XXXX, Thank you for checking. 
I have not received a word. 
I have made numerous phone calls, mailed a number of letters and e-mails, but no response yet. 
XXXX XXXX XXXX From : XXXX XXXX XXXX : XXXX XXXX Sent : Monday, XX/XX/XXXX XXXX AM To : XXXX XXXX Subject : RE : MY WACHOVIA LOAN # XXXX XXXX, I still havent heard anything from Wachovia. I just wanted to touch base with you and see if youve received any type of response whatsoever. 
Let me know, XXXX XXXX XXXX XXXX XXXX Account XXXX Wells Fargo Bank XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX De XXXX XXXX XXXX XXXX XXXX | XXXX XXXX CA XXXX P : XXXX | F : XXXX | XXXX : XXXX ________________________________________ From : XXXX XXXX XXXX XXXX : XXXX XXXX Sent : Saturday, XX/XX/XXXX XXXX AM To : XXXX, XXXX Subject : RE : MY WACHOVIA LOAN # XXXX XXXX, Thank you for your prompt attention. 
My statements have been mailed to the subject address : XXXX XXXX XXXX in XXXX XXXX XXXX XXXX XXXX From : XXXX XXXX XXXX : XXXX XXXX Sent : Friday, XX/XX/XXXX XXXX PM To : XXXX XXXX Subject : RE : MY WACHOVIA LOAN # XXXX Hi XXXX, Im currently investigating your current problem. It might take me awhile before I can get any type of response from Wachovia. 
By the way, what address would you like your statements mailed? 
Please let me know if you need anything else. 
XXXX XXXX Wells Fargo Bank XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX De XXXX Mares XXXX | XXXX XXXX, CA XXXX P : XXXX | F : XXXX | XXXX : XXXX ________________________________________ From : XXXX XXXX Sent : Thursday, XX/XX/XXXX XXXX PM To : XXXX Subject : MY WACHOVIA LOAN # XXXX XXXX XXXX, This message is in regards to my Wachovia line of credit loan # XXXX. 
This loan is an interest payment loan, though it was to be a fully amortized loan when I made application for the loan. This Wachovia loan paid off a previous Wells Fargo loan that was a fully amortized loan almost the same monthly payment amount. Shortly after this loan closed and I noticed this error, I contacted Wachovia and of course they washed their hands of any wrongdoing or responsibility and left me stuck in this interest only loan. 
Beginning in the fall of XXXX, when I would add principal payments to monthly payment, by making the correct notations on my payment coupons and also by enclosing two personal checks with the additional notations in the reference field on my checks, Wachovia unilaterally chose to enter my principal payments as additional an additional interest payment. 
I no longer receive monthly mortgage statements from Wachovia for my line or credit or at best receive statements 1-2 months late. For example, I have not yet received my XXXX statement and it is now XX/XX/XXXX, 1 day after the date my payment is due on this loan. ( 1 ) I dont have a mortgage coupon to use for my payment and ( 2 ) I have no way of reconciling my account. The last statement that I received was dated XX/XX/XXXX and postmarked XX/XX/XXXX for XXXX. Every statement that I now receive shows me with a past due payment amount. 
I have made XXXX-300 phone calls, yes in the triple digits, to Wachovia over the last year consuming countless hours of my business and personal time in vain attempts to correct my account. Most of the time the Wachovia reps are adversarial, blame me, accuse me, blame the Post Office, etc. for the errors within my account. I wish I had recordings of some of the phone conversations. Yes, occasionally and I emphasize occasionally, there has been a Wachovia rep now and then the owns my call, takes responsibility and does their job For my XXXX loan with Wachovia, # XXXX, on a recent Loan History Statement that I received, on XX/XX/XXXX and on XX/XX/XXXX, my {$500.00} principal payments for loan # XXXX were applied to # XXXX. Amazing, unbelievable or just plain incompetence! I dont even know where some of the other {$500.00} principal payments are at this time. 
Wachovia would also claim that I had not mailed my monthly payments in before the XXXX of the month, even though I would do so much before the XXXX ( only 1 day mail from my address to the payment center ) so they could shake me down for a late fee. In XXXX and XXXX, I mailed both of my payments for # XXXX & # XXXX on the same day in their respective envelopes to the same payment center. The payment for # XXXX was posted promptly and the payment for # XXXX was not posted until after the XXXX of the month and I was charged a late fee. Of course after multiple phone calls to Wachovia, Wachovias representatives continued to blame me and the U.S.P.S for the late payment. So, in XXXX, I mailed payments for both # XXXX and # XXXX along with the {$500.00} principal payment in the same envelope to the same payment center in the City of XXXX, CA. Again, my payment for # XXXX was posted promptly and the payment for and the {$500.00} principal payment were not posted until after the XXXX. And again, after more wasted time on the telephone with Wachovias representatives, I was blamed, the U.S.P.S was blamed, etc., but not any responsibility was taken by Wachovia. 
It is extremely obvious that I am paying for interest that I am not due to pay for on loan. This is not just absurd, it is theft! 

Report : Sloppy Mortgage Services Trip up Borrowers XX/XX/XXXX Home owners continue to face hassles with mortgages, particularly from servicers who are sloppy about transferring paperwork when loans are sold, misapplying payments, and who occasionally cause home owners to pay their property taxes late, according to a new report by the Consumer Financial Protection Bureau. 
Todays report highlights both the mortgage servicing problems throughout the industry, and the challenges of making sure that nonbanks are following federal law, says XXXX XXXX, CFPBs XXXX. Fixing both is a priority for us. The CFPB is in charge of regulating the mortgage servicer marketplace. 
The report included such stories as a mortgage servicer who delayed property tax payments from XXXX to XXXX for thousands of borrowers, without informing them. The borrowers were then forced to miss out on the federal tax deduction. The CFPB is requiring the servicer to compensate the borrowers. 
The report also highlighted excessive delays in processing borrowers requests for private mortgage insurance cancellation. 
The CFPB is notifying mortgage servicers that they must comply with several new servicing rules that go into effect in XXXX, including a warning of when interest rates will reset on a loan and if theyre at risk of foreclosure. See a summary of the new rules at the CFPB Web site. 
Source : Homeowners Still Hurt by 'Sloppy ' Service on Mortgages, Feds Say, XXXX XXXX XXXX XXXX, XXXX XXXX and Consumer Financial Protection Bureau

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