Consumer complaint received 2018-08-23
Company: WELLS FARGO & COMPANY
State: FL
Product: Mortgage
Sub-product: Home equity loan or line of credit (HELOC)
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
On XX/XX/XXXX I applied for a HELC in the amount of XXXX dollars at my local WELLS FARGO BANK. I completed the loan process and was conditionally approved. The process continued as I submitted documents, substantiated equity, and had an appraisal. When the appraisal was submitted, I was informed by the Wells Fargo representative I was " Just under the equity needed to secure the loan '' and I needed to make a payment to the principal on my mortgage in the amount of XXXX. The representative assisted me with this by transferring funds from my checking to the mortgage holder in the amount of XXXX ( she wanted it to be a little more ) to ensure the standard they were meeting. She informed me she would call me back later that day to schedule the closing at a WELLS FARGO BANK. 

She never called, I called and when I spoke to her, I was told that information received from a WELLS FARGO department was given to another WELLS FARGO loan specialist then this specialist, assuming it was correct, gave me the wrong information regarding the payment amount to the principal, but it clearly stated by the WELLS FARGO loan specialist that was the fault of the other internal department and her personal error for not confirming this information and ensured me that WELLS FARGO would own the mistake and all it would take is a " WELLS FARGO manager to sign off on this. '' After waiting an additional three weeks of " I don't know what is taking them to approve it, '' I finally contacted a WELLS FARGO manager who said that the information I was receiving was correct and she would call me back in a day. After two days and not being able to reach this manager, I contacted the WELLS FARGO corporate division of the bank, where someone asked the manager to return my call, she did. In that conversation yesterday ( XX/XX/XXXX ), I was told that they ( Wells Fargo ) are trying to secure the loan as it is, reaffirming that they, Wells Fargo, did make an error and they are trying to approve the HELC. She stated they are not being successful in securing outside brokerage on this loan, but stated some options she is attempting such as self funding, optional brokerage, or simply denying the loan- the latter option does not resolve the issue. Meanwhile rates on this adjustable loan are changing and the timeframe to date ( ongoing ) is putting me in jeopardy of not starting my contracted work. Not to mention my liquid funding I paid into the mortgage principal is now gone. Unfortunately, WELLS FARGO has not been true to any lending practice, I have met and exceeded what they have asked to meet requirements, as they were explained to me and subsequent actions, but the timeliness of this approval is in question as well as the terms. 

It is unfair to make a bank customer use monies to get approval, then " pull the rug out from under them '' this practice is not only unfair, illegal, but also unethical. I have had doubts about WELLS FARGO because of recent practices and the Congressional FSC has penalized Wells Fargo for these types of practices, but as you can see, they are continuing. I am seeking a resolution soon that is fair as communicated to me by the WELLS FARGO loan specialists.

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