Consumer complaint received 2018-07-20
Company: WELLS FARGO & COMPANY
State: MD
Product: Mortgage
Sub-product: Other type of mortgage
Issue: Closing on a mortgage

Complaint:
I purchased my house at the end of XXXX or the beginning of XXXX. I had a renovation loan and had a contractor that was supposed to be doing the work. I had some problem with the contractor and discussed the issue with my renovation specialist. After going back and forth with my specialist, I found out that the estimate that my contractor gave me was not the estimate that Wells Fargo had on file. And the estimate that Wells Fargo had on file was the estimate that they were working off of. The estimate that Wells Fargo had on file was submitted to them by my contractor without my knowledge meaning, I never saw it until Wells Fargo sent it to me weeks after closing and I had the dispute with my contractor. While both estimates had the same total, the distribution of the itemized work was different and absorbed about {$2000.00} ( 10 % ) of funds marked as reserves for just in case something happened. I am only guessing, since I was not part of it, that someone from the bank told them that they did not need to add a reserve in their estimate. So instead of removing it, they absorbed it. 

FYI, last I heard, the contractor closed up shop, emptied their accounts and moved on. They called themselves a shell company. 

I have had to sign several documents for my closing. My estimate was never one of those documents I had to sign and yet it was a very important piece of documentation. After firing my contractor who did very little work, I lost over {$6000.00} which I still have to pay in my mortgage. 

I completed a survey for Wells Fargo that was sent to me and I commented on my experience. They " investigated '' and found nothing wrong. Later on, I tried again and filed a complaint with the XXXX on XX/XX/2017. They once again " investigated '' and after going back and forth with them, XXXX XXXX I believe, the Executive Resolution Specialist, responded with new documents and with facts that were indeed NOT facts. I responded and sent in my documents once again and pointed out problems in the documents they provided me. Even after my evidence, they found they had done nothing wrong. 

I asked her several direct questions, most of which she evaded as I expected. I stated that if that document was required to be signed by me, they would be able to provide me a copy, as they have with other documents, to show my signature and that we would not even be having that conversation. I asked her if she agreed and she said she cant say that we wouldnt be having that conversation. I even stated that if my signature was on it, whether I read it or not, that would be my problem and they would not be responsible for that. At some point later in the conversation, that same question/statement was brought back up by her and she then agreed that we probably wouldnt be having that conversation had that document required a signature. She also stated that she would pass along my suggestion that the bids should require a signature, but nothing may come of it and that no matter what, there is nothing that Wells Fargo will be doing for me to address my problem. No amount of research done by them will find that they have done anything wrong and therefore, my problem is not with them and they have nothing to resolve. All of their required signed documents were signed so they had done nothing wrong. 

Contractors have to be vetted in order to even work on renovation loans. The money can only be used for specific things. They even disburse the money slowly after looking at the work. But the problem is no one from the bank ever really verifies anything. The money can only be used on specific items, but they do not verify/ask for proof of where the money is being spent. What's the point is have such requirements? When I asked about that, the response was that that would take too much time to do so they don't do it. Wells Fargo actually sent the first check out to me and an unknown person. I thought they worked for my contractor but I later found out that nobody knew who they were. Yet, the check was still able to be cashed!? Wells Fargo 's " end of the day '' stance was more or less that I should have done a better job at picking a trustworthy contractor and my case was closed with the XXXX on XX/XX/2017. 

I don't expect Wells Fargo to find any problems with what they've done even after they " investigate '' this complaint and reach out to me. I'm simply filing this complaint so that someone else outside of Wells Fargo can investigate and so that other people learn of their practices.

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