Consumer complaint received 2020-07-20
Company: WELLS FARGO & COMPANY
State: TX
Product: Mortgage
Sub-product: Other type of mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
We started the process for a cash out refinance in XX/XX/XXXX and original close date was XX/XX/XXXX. 

We were assigned a new processor on XX/XX/XXXX because the processor went on maternity leave. We were assured the new person was up to speed on our application. 

When the new processor came on board, we quit get timely responses. The loan processor was not entering our data and getting it over to underwriting for review even though we responded same day or next day. 
We would follow up with loan processor and mortgage consultant ( MC ) to see if the information was passed along and also ask for updates. Numerous times when the processor would respond, she would request same information again. 

On XX/XX/XXXX, the processor told us that the file had gone over to underwriting. 
After two weeks with no update, we started reaching out : On XX/XX/XXXX, XXXX, XXXX, we reached out and kindly asking for an update from Processor and Consultant. ( remember our close date was XX/XX/XXXX ) No replies until XX/XX/XXXX Underwriting came back with some requests and they admitted they had calculated income wrong At this point, the processor complained that her bonus was not going to happen since our loan wasnt going to make it to close. 

We noticed an even more drastic delay in response after this episode. 

In late XX/XX/XXXX, we spent about two weeks trying to get payoffs for Student Loans.

With the pandemic going on during this time, we had issues getting timely and updated Student Loan payoffs. 

We initiated a discussion with our mortgage consultant about what the debt to income ratio needed to be and what we could do instead. 

We didnt understand why the processor had selected the student loan payoffs when they had much smaller monthly payment and we had credit cards which much higher monthly payments. In addition, getting credit card payoffs is so much easier. 

So, we pulled our Credit Card Payoffs and worked on a solution ourselves! 

Here is how the credit card payoff solution occurred : On XX/XX/XXXX, we emailed and sent our plan to our mortgage consultant ( MC ), that we payoff 3 credit cards that averaged close to {$400.00} /mo and to pay off an IRS debt that was {$250.00} / mo.

( The student loans they picked to payoff were less than {$200.00} /mo ) On XX/XX/XXXX, we submitted the lease for our rental income which they had not included yet. 

We asked for their feedback once they received both the payoff suggestion and the rental income. 

On XX/XX/XXXX we still had received no response, so we just sent an email *important to note that our new processor did not want to share her phone number with us* On XX/XX/XXXX, we asked via email again if underwriting accepted lease as proof of additional income On XX/XX/XXXX, we sent the credit card payoff strategy again to the loan processor along with the payoffs from the credit card company. 

We called our mortgage consultant to have her intervene to get the processor to call us! 
On XX/XX/XXXX the processor called us and hadnt looked at any emails and had no idea about the credit card info or had read any of our emails. She had called regarding the rental income and nothing else. 
We told her we sent to her and please review. We discussed then that these long periods of no response were frustrating and asked her to give us updates even if was an email that said no update. 

We said we would work on getting new payoffs and payoff from the IRS. 

The Mortgage Consultant told us that the underwriter might want us to pay for a rental comparison to see if the rent we were collecting was on par with other rents in the area. ( We said we were not paying for such a report and if needed that it be at their cost ) We would ask for periodic updates on this matter and never ever got confirmation if it happened or not. 


On XX/XX/XXXX, another email to check on status if the credit card and IRS info was acceptable On XX/XX/XXXX, we sent an email pleading for help because now the IRS wasnt providing payoffs due to the pandemic. 

Fronm4/19 to XX/XX/XXXX, we had not heard from loan processor. We called the Mortgage Consultant pleading for her to intervene again. It was nearly a month before we heard from her. 

On XX/XX/XXXX ( SATURDAY ), the processor calls and DOES NOT REMEMBER ABOUT CREDIT CARD PAYOFFS, HAD NOT LOOKED AT ANY EMAILS OR UPDATED UNDERWRITING ON THIS PROPOSAL. 
She is literally opening emails while on phone with us and starts updating our information to underwriting while we are on phone with her. 


The processor tells us she is meeting with underwriting on XX/XX/XXXX XX/XX/XXXX we check with processor ( no answer ) we call Mortgage Consultant and she says that it was now pushed to day XX/XX/XXXX, no meeting happened again and the processor is on vacation per Mortgage Consultant. 

At this point, we reach out via phone to XXXX XXXX, the branch XXXX and he said he would get us an answer by noon next day. We never heard from him again. 

XX/XX/XXXX Mortgage Consultant steps in and finally starts sending us what the new list of items they need from us which are all updated payoffs because of the neglect of our application XX/XX/XXXX we reached out to processor again because we have still not heard from her. We told her the MC requested all this info and want to ensure our file was updated XX/XX/XXXX we reached out to processors boss and gave her a detailed explanation of what has been occurring with our application. 

XX/XX/XXXX at XXXX, we finally get an email from processor that she is updating our payoffs in our file. 

XX/XX/XXXX, her boss tells us she has updated underwriting about the issue with IRS not having live support due to pandemic but basically says they need official payoff. Which can not happen without live support from IRS> She does not offer any alternatives like another type of payoff, removing points or an exception on other items etc Just leaves us with that answer ( By this time we had started paying down our credit cards ourselves even though it was suggested that we do not pay down cards. 
We had lowered our payments significantly and they could have re-run monthly payments to see we were under the debt to income ratio ) XX/XX/XXXX, our Mortgage Consultant suggests we submit our Assets to show we are a low risk customer. We have ample 401k, IRA savings. 
It is important to note, that we had provided our assets to our second processor early in the process and it was never entered into our file. 

Another very suspicious occurrence on XX/XX/XXXX with the loan tracker portal. Items were backdated and we were not receiving email notifications when they updated our tracker asking for information. 

Below is the email I sent on XX/XX/XXXX : XXXX called earlier and spoke with someone else that informed us that you all needed our payoff statement for XXXX XXXX. We are assuming fromthis that our request not to close it has beenapproved? ) I logged on to the loan application portal to see if it had been updated and it had been ; however, we did not get any email notification to check loan tracker. 

We used to get a notification. Can you please check on thatfor us and see if theloan application notification has been turned off? 

Had we not called again, we would not have found out that this is being requested and another day would have gone by. ( I say this because we didnt get an email notification from XXXX XXXX ) In addition, on the online loan tracker portal it nowshows a request for the payoff for XXXX  XXXX with a due date of XX/XX/XXXX ; however, we just discussed this on Friday ( XXXX ). So, the back date makes it look past due. Friday the only items on our loan tracker were 3 items all involving the rate lock notice of expiration, the new rate lock and old rate lock. 


On XX/XX/XXXX, we reached again to the entire team including ( XXXX XXXX the XXXX XXXX ) asking for an update. 
Our new close date was supposed to be XX/XX/XXXX. We didnt get any response until XX/XX/XXXX at XXXX PM that our file was now in second review with underwriting and we should have an answer on XX/XX/XXXX. 

On XX/XX/XXXX instead we find out Our PROCESSOR had left the company and we now have a NEW PROCESSOR. Also told there was a deposit of {$5700.00} that they needed to confirm the source. ( We had already submitted a month ago the proof that deposit was from an inheritance ) On XX/XX/XXXX, they also wanted new payoffs because yet again due to their delay they needed more payoffs On XX/XX/XXXX, we told them via phone and sent an image of the {$5700.00} check that was a small inheritance from XXXX aunt. The check even had on it From the estate of. 

They then came back and asked if we could get a copy of the Will. 

On XX/XX/XXXX, after that preposterous request of getting a copy of the Will, and 6 months of jumping through hoops and doing their job we finally had it and stopped the process. 

It was 6 month and 10 days into the process and they were ready to drag it on for more months. 
They were buying themselves more time because they mentioned there would be a delay while getting new processor up to speed on our loan application. 

In the email I sent telling them we were stopping loan process, I mentioned we would be looking into filing a complaint with the CFPB. 

On XX/XX/XXXX, we were contacted by an executive from Wells Fargo that said he had heard about our complaint and wanted to look into it. 
( We had not initiated a complaint at this point with anyone and told him so. ) It sounded like they have system that triggers a notice if an email or something mentions a complaint. 

After, going through this information with him, in true Wells Fargo fashion he said that we would most likely hear back by XX/XX/XXXX. We didnt. 
I reached out about XX/XX/XXXX and he said that he needed until XX/XX/XXXX but he would call with an update on progress if he needed more time. 
On XX/XX/XXXX, I received a letter postmarked XXXX that he needed to XX/XX/XXXX. 
On XX/XX/XXXX, I receive a call in late afternoon, from his assistant saying they still need more time and it will be possibly XXXX XXXX. 

We assumed at this point it was a tactic to keep us from filing this complaint. 

We are a XXXX couple and have suspicions that they may have been a part of the reason we were treated poorly by the processor. In addition, the house is under my name ( XXXX person ) and also wonder if that contributed. There is just is no other good reason that we went through such a rough time getting this refinance processed through our processor and underwriter. 

Also important to note that we owe {$68000.00} on a home appraised at {$290000.00}. 
We had never been 30 days late with a mortgage payment in the 5 plus years we have had this loan. Our credit was going up every month in this 6 month process. We were a good bet for this loan.

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 monetary relief