Consumer complaint received 2019-04-14
Company: WELLS FARGO & COMPANY
State: MD
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
In the latter part of XX/XX/XXXX, I was notified by my current mortgage holder Wells Fargo, that my loan was being transferred to XXXX XXXX XXXX and beginning in XX/XX/XXXX i would begin making payments ( which include Homeowners and real estate taxes ) to them. Soon after taking over my loan, I was sent a notice dated XX/XX/XXXX stating my account had an escrow account of {$1100.00}, and that they would be raising my mortgage payment from XXXX to XXXX. I called in to XXXX and expressed by disbelief and displeasure at this notice and asked for an explanation of how this was possible considering the amount taken out of my payment for escrow. Based on the information found on my monthly payment notice, i am paying {$230.00} per month for escrow, and have been since XX/XX/XXXX, so in 12 months this would total {$2700.00}. My real estate taxes are {$1700.00} a year and my home owners insurance is {$810.00} a year for a total of {$2600.00} annually. So mathematically, I would have a SURPLUS of {$190.00}. Apparently XXXX and perhaps Wells Fargo, require a 2 month buffer, so add two payments of {$230.00} for a total of {$460.00}, subtract the surplus of {$190.00} and the balanced owed would be {$270.00} NOT {$1100.00}. Also, I have asked for my escrow payment to be removed from my mortgage as I would rather pay it since Wells Fargo or XXXX can't be trusted for accurate accounting. XXXX informed me, that when I had agreed to a loan modification by Wells Fargo, the agreement contained language which prevented me from withdrawing the escrow out of the payment. If this was indeed the case, I wasn't aware of it, and by any means, this agreement would've been with Wells Fargo, not XXXX. XXXX is essentially resorting to extortion, by forcing me to pay an increased payment which should be an illegal practice, when the information clearly shows they are mismanaging my account payments. Also, after my loan modification, my payment was {$630.00} per month, ( escrow {$220.00} ) until XX/XX/XXXX, and Wells Fargo increased my payment for a supposedly escrow shortage after the modification ( to the current amount of {$230.00} ), raising it to {$640.00}. So once again, the accounting doesn't add up, as I have been paying {$230.00} for over a year into my escrow account. Please look into this matter, as we are certainly aware, Wells Fargo is not above breaking the law and taking advantage of their customers. If mortgage companies can force escrow increases for each of their customers, imagine how much extra money is being brought in to the company and making it more profitable on the backs of the public. Apparently XXXX is of the same ilk as Wells Fargo. As I have gone through a separation from my wife, I am a single parent with all the responsibility of paying all bills, and as my credit was hurt during this event, I can not find someone to offer a refinance so I can be rid of XXXX. I appreciate your time into looking at this matter. 
XXXX XXXX XXXX

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