Consumer complaint received 2017-06-22
Company: WELLS FARGO & COMPANY
State: TX
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
I am a United States Veteran, who was recently subjective to Wells Fargo unfair and deceitful tactics. Per UDAAP, we should contact the CFPB Consumer Response Center regarding these type of interactions. It started last year, around XXXX XXXX when I contacted Wells Fargo in regards to a multi-unit investment property. Wells Fargo, confirmed to me that this type of loan was offered and stated 15 % down payment would be required. Their website stated 20 % but the rep repeatedly stated 15 %, this was documented in every pre-approval letter as well ( see attached ). Unfortunately, I did not find a property in XXXX and the rep told me to contact them when I did and we would move forward. On the weekend of XXXX XXXX, XXXX ; I contacted the Wells Fargo rep and he was rather short stating he had to rush because he had to go to a call center. I was not provided an opportunity to ask questions. He later sent me out a new pre-approval not disclosing that my credit would be ran at that time as well, as he was so much in a rush. The pre-approval letter was sent and my real estate agent was able to submit an offer on the property. The offer was accepted as the pre-approval provided evidence I could acquire the loan from Wells Fargo. On XXXX XXXX, the Wells Fargo rep called me and states " that 25 % down payment is required, the system for whatever reason would no longer allow him to put in 15 % as he has in the past. '' When asked what was the reason, he stated " that it might be a regulation, they change all the time ''. When asked what reg he was unable to provide details to the sudden change. I have been involved with this bank for almost a year and the Rep failed to mentioned that 25 % is the required down payment for a multi-unit, he never explained that it was even a possibility for 25 %, only highlighting my great credit. This is where I take issue, it is the responsibility of Wells Fargo along with other institutions to ensure that customer have all the information relating to the product offered, not the good parts they want to highlight. This practice does not allow a customer to make a decision that is in their best interest. Instead it involves Wells Fargo to be deceitful to obtain new customers. What Wells Fargo did, is causing undue stress and now I have to find a lender that practices Fair treatment and lending in less than 3 business days. My contract has been signed, I have put earnest money down, my credit ran twice, paid for a building inspection and traveled back to XXXX to locate a property. Now to find out that for almost a year 15 % was never an option but was constantly told to me. I called the rep several times because initially I thought a duplex or triplex, but when I found a quintrex he never informed me that the down payment could change. He just sent a new pre-approval letters with 15 % down payment, I guess explaining the difference in product is not required at Wells Fargo. All financial institutions including Wells Fargo must inform clients of all the product details and ensure the client has an understanding. This was not done, my feelings are of betrayal of trust for being intentional misdirected. If I lose this property because I can not perform my due diligence of other institutions within the time allotted in the contract it will be devastating. I appreciate your assistance in this matter and I hope to hear from you soon. Thank you XXXX 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