Consumer complaint received 2018-02-07
Company: WELLS FARGO & COMPANY
State: TN
Product: Mortgage
Sub-product: FHA mortgage
Issue: Struggling to pay mortgage

Complaint:
Over the past several months Wells Fargo Home Mortgage has continued to deny me due process and illegally seize my home. Consider the following : After falling behind on my mortgage payments due to temporary loss of income, I contacted Wells Fargo to set up payment arrangements to bring my account current because I was scheduled to return to work and could begin to make payments. When I initially telephoned them, they gave the appearance of being helpful and kind, further leading me to believe that they were working with me. When I specifically asked for a repayment plan, they went so far as to suggest that I really did not need to do anything right away because I was still in the grace period, and I should call them back when I received my next pay check and ask for a repayment plan for the past due balance. 
Subsequently, I called them back approximately one month later and they instructed me to make a single payment in XX/XX/XXXX, so that a repayment plan could be set-up. When I asked what payment method should be used to make the payment, I was told that I could call back and pay over the telephone. 
However, when I attempted to make the payment ( on two occasions ) on XX/XX/XXXX, I was not allowed to do so, and my call was directed to an associate. After being placed on hold for over 30 minutes, the unidentified associate was very rude to me, told me that I could not get a repayment plan, that my home was about to be referred to foreclosure, and subsequently hung up on me ( see attachment A ). At first I was shocked and surprised and did not understand the dramatic shift in the attitudes and actions of Wells Fargo Home Mortgage. Unbeknownst to me at the time, I was like a sheep being led to XXXX. 
Early on, I had contacted the company to let them know why my mortgage was behind and express my intentions and plan to bring it current. For several months I was led to believe that the company was working with me, and when I attempted to follow the instructions given to me for making a payment to move to a resolution plan, my payment attempt was rejected and I was further insulted and hung-up on. 
Now, after dealing with them over the past many months, their intentions ( from the beginning ) are very clear. They never wanted me to bring the account current. As evidenced by the fact that they continued to actively block and otherwise interfere with my efforts to bring my account current and retain my home, while they rushed and scheduled a foreclosure date for my home. Wells Fargos actions are ( and were ) clearly deceptive and unfair in violation of Unfair, Deceptive, or Abusive Acts or Practices Act ( UDAAP ) as well as other applicable laws. 

Wells Fargos False Offer of a Loan Modification and Violation of Loss Mitigation Procedures Following the events described above, I immediately forwarded a letter to Wells Fargo. Although, I never requested a loan modification, in response to my letter, they forwarded loan modification documents. I then wrote another letter expressing ( among other things ) the fact that I requested a repayment plan not a loan modification ( see attachment B ). 
Wells Fargo eventually forwarded a Mortgage Assistance Application which I completed and forwarded to them on XX/XX/XXXX,  days before their stated XX/XX/XXXX, Sunday deadline. They did not immediately reply or respond to my application submission. Instead, the following major events have occurred : On XX/XX/XXXX, a loan acceleration notice dated XX/XX/XXXX, was received ; On XX/XX/XXXX, a Notice of Trustee Sale dated XX/XX/XXXX, was received from Wells Fargos attorney ( XXXX XXXX XXXX ). The notice, which contained erroneous information, set XX/XX/XXXX, as the foreclosure sell date of my home ; XXXX XX/XX/XXXX, a letter dated XX/XX/XXXX, and postmarked XX/XX/XXXX, advising me, Because you have not provided the required documentation, we are unable to offer you assistance options. Contrary to established loss mitigation procedures, Wells Fargo never acknowledge receipt of my XX/XX/XXXX, application and never informed me of any alleged deficiencies following my application submission. Needless to say, I was not given the opportunity to submit unspecified documents they deemed would make it complete. 
In the same letter Wells Fargo states, If your mortgage has been or will be referred to foreclosure, that process may move forward now ... you may see steps being taken in proceedings or receive notices from a third party attorney delivered by mail. Obviously, the notice was given some several weeks after the foreclosure process had already swiftly moved forward and a sale date had been set. In fact, while I was led to believe that Wells Fargo was working with me toward a resolution, it was in fact, working toward an expedited and unlawful foreclosure. 
Based upon the preceding, it is my belief that Wells Fargo violated 12 CFR 1024.41 ( b ) Loss Mitigation Procedures : ( b ) Receipt of a loss mitigation application - ( 1 ) Complete loss mitigation application. A complete loss mitigation application means an application in connection with which a servicer has received all the information that the servicer requires from a borrower in evaluating applications for the loss mitigation options available to the borrower. A servicer shall exercise reasonable diligence in obtaining documents and information to complete a loss mitigation application. 
( 2 ) Review of loss mitigation application submission - ( i ) Requirements. If a servicer receives a loss mitigation application 45 days or more before a foreclosure sale, a servicer shall : ( A ) Promptly upon receipt of a loss mitigation application, review the loss mitigation application to determine if the loss mitigation application is complete ; and ( B ) Notify the borrower in writing within 5 days ( excluding legal public holidays, Saturdays, and Sun days ) after receiving the loss mitigation application that the servicer acknowledges receipt of the loss mitigation application and that the servicer has determined that the loss mitigation application is either complete or incomplete. If a loss mitigation application is incomplete, the notice shall state the additional documents and information the borrower must submit to make the loss mitigation application complete and the applicable date pursuant to paragraph ( b ) ( 2 ) ( ii ) of this section. The notice to the borrower shall include a statement that the borrower should consider contacting servicers of any other mortgage loans secured by the same property to discuss available loss mitigation options. 
( ii ) Time period disclosure. The notice required pursuant to paragraph ( b ) ( 2 ) ( i ) ( B ) of this section must include a reasonable date by which the borrower should submit the documents and information necessary to make the loss mitigation application complete. 
Wells Fargos Continued Violation of General Servicing Policies and Procedures Indeed, over the past several months, as Wells Fargo has continued to give me the runaround, I have requested specific documents and information that they to this date have not provided and/or instead offered inaccurate information ( see attached C, D, E, F ). Finally, in letters received XX/XX/XXXX, and XX/XX/XXXX, they stated that they would continue to research my inquiry and provide me with responses by XX/XX/XXXX, later sending a letter changing their response date to XX/XX/XXXX, one day before the scheduled foreclosure date of XX/XX/XXXX ( see attachment G ). In the meantime, despite my requests to change the foreclosure date until they completed their research, they refused to do so. Needless to say, the foreclosure date came and went without a response from Wells Fargo. 
Based upon the preceding documents and information, it is my belief that Wells Fargo violated 12 CFR 1024.38 ( a ) ( b ) ( 1 ) Reasonable Policies and Procedures/ Accessing and providing timely and accurate information : ( a ) Reasonable policies and procedures. A servicer shall maintain policies and procedures that are reasonably designed to achieve the objectives set forth in paragraph ( b ) of this section.

( b ) Objectives - ( 1 ) Accessing and providing timely and accurate information. The policies and procedures required by paragraph ( a ) of this section shall be reasonably designed to ensure that the servicer can : ( i ) Provide accurate and timely disclosures to a borrower as required by this subpart or other applicable law ; ( ii ) Investigate, respond to, and, as appropriate, make corrections in response to complaints asserted by a borrower ; ( iii ) Provide a borrower with accurate and timely information and documents in response to the borrower 's requests for information with respect to the borrower 's mortgage loan ; ( iv ) Provide owners or assignees of mortgage loans with accurate and current information and documents about all mortgage loans they own ; ( v ) Submit documents or filings required for a foreclosure process, including documents or filings required by a court of competent jurisdiction, that reflect accurate and current information and that comply with applicable law ; ....

Wells Fargo Home Mortgages apparent systematic process of illegally seizing homes without due process must be stopped.

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