Consumer complaint received 2016-08-31
Company: WELLS FARGO & COMPANY
State: CA
Product: Mortgage
Sub-product: Conventional fixed mortgage
Issue: Loan modification,collection,foreclosure

Complaint:
A modification package was sent to Wells Fargo. They reviewed the file and employee XXXX ID XXXX confirmed the file is complete, but that they are not able to continue to review the file as they got it 7 days prior to the scheduled sale date. She claimed they needed the package " 8 days '' prior to the sale date. I asked for a supervisor to confirm that info and she placed me on hold and staed no one was available, that she can have one call me back in 48 hours. 
Our office contacted Wells Fargo Executive office and spoke with XXXX XXXX XXXX. We explained the issue sand he stated he will open an escalated case. 
The issues with Wells Fargo is that they are dual tracking. They received the file. They reviewed the file. They determined the file was completed. Then Wells Fargo stated they will not review due to a foreclosure sale date. Please review HAMP Handbook 4.0 Chapter V Protections against Unnecessary Foreclosure states the following:3.4.1 Suspension of Referral to Foreclosure A servicer may not refer any loan to foreclosure or conduct a scheduled foreclosure sale ( except as provided under Section 3.4.2 ) unless and until the servicer has resolved the Escalated Case in accordance with Section 3.3. 
3.4.2 Suspension of Scheduled Foreclosure Sale When a servicer receives an Escalated Case from a Requestor after a foreclosure sale date has been scheduled and the Escalated Case is received no later than midnight of the seventh business day prior to the foreclosure sale date ( Deadline ), the servicer must suspend the sale as necessary to resolve the Escalated Case. Servicers are not required to suspend a foreclosure sale when an Escalated Case is received after the Deadline. The servicer will not be in violation of this Section to the extent that a court with jurisdiction over the foreclosure proceeding ( if any ), or the bankruptcy court in a bankruptcy case, or the public official charged with carrying out the activity or event, fails or refuses to halt the sale after the servicer has made reasonable efforts to move the court or request the public official for a cessation of the sale. The servicer must document in the servicing system and/or mortgage file if the foregoing exception to the requirement to suspend an existing foreclosure sale is applicable. If an Escalated Case is pending at the time of a foreclosure sale, the servicer must still resolve the Escalated Case in accordance with Section XXXX and, when appropriate, the servicer will be required to take corrective action even if the foreclosure sale has taken place. 
On XXXX XXXX, 2016 " Servicer '' confirmed the above mentioned borrower and location was currently " Reviewed '' for any/all loan modifications in accordance with but not limited to HAMP Tier One, HAMP Tier Two, or any available " In House '' modifications. 
At this time we are demanding that the scheduled sale date set for XX/XX/2016 be postponed.

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