Consumer complaint received 2017-08-17
Company: WELLS FARGO & COMPANY
State: OH
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process

Complaint:
Dispute 1 : XX/XX/XXXX I was put on 30 day forbearance plan due to unemployment. XX/XX/XXXX I was put on 12 mo. forbearance plan from XX/XX/XXXX to XX/XX/XXXX with a balloon pymt due before XX/XX/XXXX. XX/XX/XXXX I called mortgagor to pay current balloon amt & resume my normal mortgage pymt which I had est @ approx. {$9200.00}. The amount given was more than estimated, as well as maturity balloon pymt of {$10000.00} b/c mortgagor had accepted but returned {$1700.00} of forbearance pymts that were enroute & I did n't know. It continued to increase ea instance I tried to payoff and XX/XX/XXXX they converted me into full foreclosure status to move on with foreclosure proceedings. XX/XX/XXXX I started receiving atty letters on behalf of mortgagor. The only option given to avoid full foreclosure status was to be forced into an a permanent modification where my mortgage pymt would almost double, opposed to allowing a 30 day payoff period as was given once full foreclosure status was established. Once put into this status atty & other fees were assessed. XX/XX/XXXX I spoke with HUD agent who agreed with initial estimated balloon pymt I tried to pay XX/XX/XXXX, that I was wrongly quoted by mortgagor and could have pd to avoid full foreclosure status and therefore avoid fees. The HUD agent intervened at which point mortgagor offered reinstatement. I disputed the fees and process the entire time, during which time the mortgagor was reviewing my dispute. Once paying the reinstatement amt of {$12000.00} on XX/XX/XXXX, on XX/XX/XXXX mortgagor sent letter claiming they were in the right to put me in full foreclosure status & fees & process were justified. I feel the amt I called to pay XX/XX/XXXX should have been accepted and not the inflated amt. Also when it was evident I had that amt, I should have been given the same 30 day, even 15 day opportunity to pay as given when reinstatement was prevalent. I have not pd the fees & they remain on my acct the life of the loan which I disagree with. Dispute 2 : On several occasions I 've tried to make additional online pymts & biweekly pymts online & received mssg that it could n't be accepted b/c I was n't making a full pymt. XX/XX/XXXX I called to inquire and was told it was the mortgagor 's policy that they hold all pymts until a full pymt was reached before applied to the acct. This keeps one from being able to py the mortgage sooner than the maturity date and interest accumulating on the principal balance longer than desired, which I disputed. Dispute 3 : My escrow acct was n't due to be reevaluated until XX/XX/XXXX. However it was reevaluated in XX/XX/XXXX & even though showed declining trend they projected higher amt based on what they considered escrow shortage at the snapshot in time where they had n't applied my reinstatement amt which included back escrow pymts & treated as if none were made & mortgage pymt increased over {$100.00}. If escrow was reevaluated in XX/XX/XXXX reinstatement amt pd, which included back escrow, would have been acct for and pymt would n't increase. Dispute 4 : I then requested to have escrow & mortgage insurance removed due to the equity in my home based on appraisal & what other homes, not only in the neighborhood but on my street, were selling for and was told the only option available was to pay down to 78 % loan to value. Which I also disputed. I feel all these actions by Wells Fargo are predatory lending practices and they should be held accountable and penalized. My initial mortgage for this residence was with XXXX XXXX that I still have 2 other properties financed through, 1 as my primary residence at the time. They sold my current primary residence loan to Wells Fargo. I financed my current primary residence with XXXX XXXX the same way I did my 1st primary residence. So I know I did n't sign on for all these restrictions and lending practices Wells Fargo is taking me through.

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