Consumer complaint received 2020-06-24
Company: WELLS FARGO & COMPANY
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
I applied for a home loan from Wells Fargo Home Mortgage, in the amount of $ XXXX for the purchase of a $ XXXX home. I was to supply $ XXXX, as the down payment, which I had from the sale of my prior residence. I applied for the loan in earlyXX/XX/XXXX, and was given a " pre-approval '' letter from Wells Fargo, and told to we could go shopping for a house. We finally found a home in early XX/XX/2020, and made an offer. We were told repeatedly by Wells Fargo representatives that we did not need to put a loan-contingency in the home offer, because we were " pre-approved ''. I was told repeatedly by the loan officer that all we would need to do next is to provide some updated financial information to the information we had already provided, and we would be ready to close the loan on time at the end of XXXX. We were excited that the process would not be difficult, because we were pre-approved. Then the nightmare began. We were asked for an initial batch of additional information such as updated 2020 tax returns, and account balances, then they came back again, and asked for more info, and again ... .all in total they came back 6 times and requested over XXXX pages of additional financial information, which took close to XXXX hours to collect. Many of these requests were completely ridiculous, such as in one request they would ask, why did you make a debt to this account here for this amount. We wrote a letter of explanation, only for them to come back in the next round saying why did you make a credit to this account for this amount. Like they didn't read the answer to the previous question. It got me thinking, no reasonable person is asked for this much information after they have already been approved. It's almost as if they were digging for any reason possible they could find to decline the loan at the last minute. I am certain this has something to do with the bank 's response to the COVID pandemic, and they are taking it out on loan consumers by coming up with ways to nit-pick loan applications to death in hopes they will go away. I finally got sick and tired when they made a 7th request for more information, and I told them I just didn't have the time to work on digging up more paperwork for them. They actually suggested I hire an assistant to help me do it, knowing full well the amount of additional effort they were asking me to do to provide them info. Regardless, now I am stuck. I didn't have a loan contingency in my loan because I was instructed " I didn't need one '', repeatedly by Wells Fargo. They have told me that if I don't provide the additional information immediately, they will cancel the loan, and it will be my fault they cancelled it, and I will lose my {$100000.00} deposit. The house closes on the XXXX of XXXX. I am now scrambling to figure out what to do.

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