Consumer complaint received 2016-09-28
Company: WELLS FARGO & COMPANY
State: IL
Product: Bank account or service
Sub-product: Other bank product/service
Issue: Account opening, closing, or management

Complaint:
The culture of fraud exposed in the current Wells Fargo Bank account scam may extend broad and deep into deceptive loan modification practices used to cause foreclosures and benefit the bank. 

Wells Fargo has been in the news recently with Senate Hearings investigating outrageous bank account fraud. Since the news broke I find it imperative to file a complaint of fraud that is also occurring in loan modifications and causing families to lose their home to wrongful foreclosure. Families facing hardships lack the money to afford an attorney to fight Wells Fargo who is outgunning borrowers with a legal tag team to produce huge profits in a scheme where they are generating unwarranted fees and excessive interest, keeping trial payments, inflating loan amounts in foreclosures for tax write offs and insurance claims, and violating federal modification guidelines banks agreed to accept when they took billions in bailouts. 

I asked for help in reducing my mortgage payment XX/XX/XXXX and the bank aggressively cheated me out of a HAMP modification and lined their pockets by engaging in systematic deceptive and dishonest practices. In my situation alone the bank generated {$30000.00} of excessive interest and unwarranted fees in a bait-and-switch loan modification process that has been dragged out for seven years in XXXX court foreclosure proceedings. 

My mortgage debt was just XXXX when I sought a HAMP modification. A lower payment was possible under the federal guidelines set for banks to reduce the interest and extend the term of the loan. But by choosing to " not comply with federal guidelines, '' Wells Fargo manufactured a default, kept the loan delinquent for six years and charged fees and high interest to claim the loan is now at {$130000.00}. This deceptive practice financially benefits the bank by inflating the loan values to look higher to shareholders, or by creating a hefty tax write off or insurance claim in a foreclosure. 

The bank 's despicable actions seek to take my family home from me so that they can profit unfairly when a HAMP modification was possible all along. Their actions also create a {$40000.00} loss to me if foreclosure were to be granted since I had equity in the home. The bank has filed XXXX foreclosure proceedings rather than comply with guidelines to reduce interest and produce an affordable payment that was possible under HAMP. I have suspected all along that they were motivated to steal the equity in my home by seizing my house in foreclosure since there is no agency enforcing bank compliance with federal guidelines. 

I am defending myself tooth and nail with stacks of evidence to prove that Wells Fargo engaged in unfair and deceptive practices. I feel alone and vulnerable as the bank is armed with endless resources to overpower me in a court foreclosure case in a bet I will give up and they will go unpunished for their misconduct and be financially rewarded for their deception. 

How can a bank possibly profit on a foreclosure when a borrower is n't making their payments? Let me explain how they did it to me. 

Wells Fargo created the first unaffordable modified payment XX/XX/XXXX and did not lower the interest because it simply was n't as profitable to do what guidelines stipulated. They lied in a letter stating " we are unable to produce an modified payment you can afford '' A simple mortgage calculation reveals that the amount owed was so low that an affordable payment was indeed possible. No bank executive signed the letter to claim responsibility or be held accountable for the denial and deception. It 's part of the cover-up to send out a vague denial letter with no real reason why the borrower does not qualify for a HAMP. The banks goal is to discourage borrowers, and mislead them into a predatory loan modification that benefits the bank with high interest and loads of fees, includi

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