Consumer complaint received 2017-07-20
Company: WELLS FARGO & COMPANY
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Struggling to pay mortgage

Complaint:
My husband and I have been trying to obtain a loan modification from our lender, Wells Fargo Home Mortgage for many years! They have claimed that they did not receive all requested documents, which we sent via certified mail, and closed our file many times, to which we appealed. My husband is rated XXXX % XXXX by the Veterans Administration from XXXX and XXXX XXXX as a result of his military service during XXXX, and the XXXX and fear of losing our home has debilitated him further and we almost lost him in. In XX/XX/XXXX, I assumed negotiations with Wells Fargo because my husband 's health prevented him from doing so. Wells Fargo invited me to apply for another loan modification, denied us because there was not enough equity, and now has denied us because there is equity. They will not tell us what income we need to have in order to qualify, and I was told Wells Fargo 's investors do not want modified loans. They keep sending us " Net Present Value '' analysis, that show a monthly payment that we can in fact afford, but yet they continue to deny us a loan modification, " due to the Net Present Value. '' They are not transparent in their dealings with us as customers, and they have made it impossible for us to get our loan modification so that we can begin making payments and keep our home. Below is an outline of just my dealings with them since XX/XX/XXXX. There were many more in the years prior which I can give to you as well. XX/XX/XXXX - Received letter from Wells Fargo indicating that our mortgage is currently in foreclosure, however, we may still have an opportunity to keep our home or prevent foreclosure, and encouraged us to complete the Consumer Information Package they sent to be evaluated for mortgage assistance options. XX/XX/XXXX - I spoke to XXXX from the re-entry department at Wells Fargo Home Mortgage and indicated that it is our intent to remain in our home and modify our loan with Wells Fargo Home Mortgage. She instructed me to forward our current financial documentation for review. I explained that we have received an extraordinarily large amount of envelopes from XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, attorneys for Wells Fargo, notifying us of their intent to file a Notice of Default and Election to Sell Under Deed of Trust. She instructed me to call them to let them know we are in active loan modification process and not in active foreclosure. I called the telephone number that she gave to me for the attorneys, and was told that the only way this law firm could stop the foreclosure is by direct notice from Wells Fargo Home Mortgage. I gave XXXX detailed information per her request about our income, and was asked to sent my husband 's recent changes in military XXXX income, bank statements, tax returns, etc. XX/XX/XXXX - We received a formal notice that the Notice of Default was filed with the XXXX County Recorder on XX/XX/XXXX. XX/XX/XXXX- I sent a letter to Wells Fargo Home Mortgage, submitting the requested financial documentation, and informed them of the above conversation and events, and requested they notify their attorney that we are in active loan modification status and cease the foreclosure process according to the law. ( HAMP program. ) XX/XX/XXXX - I faxed to Wells Fargo Home Mortgage 71 pages of requested bank statements, income source verifications, profit & loss for my business and XXXX tax return. XX/XX/XXXX - We received a letter from XXXX XXXX, Home Preservation Specialist at Wells Fargo Home Mortgage, indicating that she received our documentation supporting our request for mortgage assistance and are here to help us. She asked us to call her to determine what options may be available to us. XX/XX/XXXX - We received another letter from XXXX XXXX, Home Preservation Specialist at Wells Fargo Home Mortgage, indicating that she received our documentation supporting our request for mortgage assistance and are here to help us. She asked us to call her to determine what options may be available to us. XX/XX/XXXX- We received a letter from XXXX XXXX, Home Preservation Specialist at Wells Fargo Home Mortgage, indicating that as a result of at least one bankruptcy case filing that included our mortgage loan, Wells Fargo Home Mortgage is not attempting in any way to violate any provision of the United States Bankruptcy Code or to collect a debt ( deficiency or otherwise ) from any customer who is impacted by an active bankruptcy case or has received a discharge, where the account was not otherwise reaffirmed or excepted from discharge. She thanked us for reaching out to her and indicated she will be our personal Wells Fargo representative " throughout the mortgage assistance process. '' ( In truth, she was just one of many representatives to follow. ) She said she understood this is a difficult time for us and will be with us every step of the way. She requested some additional documents and a new application which we were to complete and submit to her no later than XX/XX/XXXX. XX/XX/XXXX - I called XXXX XXXX in response to her letters of XX/XX/XXXX and XX/XX/XXXX. She said our home was in active foreclosure status with no sale date scheduled. She said her letters are company generated which is why we received so many duplicates. She said she received my information and request for loan modification on XX/XX/XXXX, and was trying to familiarize herself with our situation. She said it should take 7-10 days to review, but can take up to 30 days and will follow up with us on Thursday. She said she wants to help us stay in our home and will do everything to try to help us, but there is no guarantee. She conducted an " interview '' with me over the telephone, asking me when our " hardship '' began, and other details about our financial status. She said once our request for loan modification was submitted to Wells Fargo, the underwriters would begin review and our home would be taken out of foreclosure status. XX/XX/XXXX - We received another copy of the same exact letter from XXXX XXXX that she sent on XXXX XXXX and XX/XX/XXXX. XX/XX/XXXX - I called XXXX XXXX and left her a message that I needed an extension of time until XX/XX/XXXX due to my work project with a client. XX/XX/XXXX - I called XXXX XXXX and left her a message indicating I need a little more time to complete application. XX/XX/XXXX - I received a call from XXXX, at Wells Fargo Home Mortgage, indicating there is no sale date listed for our home, and that since XXXX XXXX is in training until tomorrow, she was calling to get an update on my loan modification assistance request. I told her that I was working on putting the documentation together and would fax it to XXXX as soon as possible. XX/XX/XXXX - I faxed a letter to XXXX XXXX, Home Preservation Specialist at Wells Fargo Home Mortgage, thanking her for her time on the telephone discussing our loan modification, and submitted the completed and executed Request for Mortgage Assistance, consisting of 20 pages. XX/XX/XXXX - We received a letter from XXXX XXXX acknowledging receipt of our documentation supporting our request for mortgage assistance, and indicating that Wells Fargo Home Mortgage will continue to work with us to help us avoid a foreclosure sale. XX/XX/XXXX- We received a letter from XXXX XXXX indicating that according to their review of our information, we do not meet the requirements for the Proprietary Step Rate Program ( " This program modifies the existing loan terms to temporarily lower monthly payments over a specified period of time '' ) because of the net present value ( NPV ) evaluation. Further, " Once we determined that you did not meet the requirements for a particular program, we did not continue to evaluate that program based on other criteria related to your loan type or information you may have supplied. Instead we moved to evaluate you for the next available program based on you information and the qualifications associated with your loan. '' She indicated that if we believe their decision based on our eligibility is incorrect, we can appeal within 36 calendar days from the date of this letter. XX/XX/XXXX - We received a letter from XXXX XXXX of Wells Fargo Home Mortgage indicating that an appraisal was used in their loan modification review, valuating our home at {$680000.00}. ( This was an inaccurate valuation. ) XX/XX/XXXX - We received another letter from XXXX XXXX indicating that our inquiry has been received and is being reviewed, and that she expects to provide us with the results before XX/XX/XXXX. XX/XX/XXXX - I spoke with XXXX at Wells Fargo, who indicated our foreclosure status has been suspended, and that Wells Fargo is not able to approve our loan modification through the HAMP program due to a " negative net present value. '' She said she has sent us a letter and if we think their calculations are inaccurate, they can take the next steps for loan modification review, and she asked me to call her when I receive her letter. She said there are alternatives for us for other programs. She said the net loan amount due is {$340000.00} to bring the loan current. XX/XX/XXXXXXXX I received a call from XXXX XXXX XXXX Executive Resolution Specialist at Wells Fargo Home Mortgage , who indicated she has a projected resolution date of XX/XX/XXXX to give us a response to our request for loan modification, and that she would follow up with me later. XX/XX/XXXX - I called XXXX XXXX to follow up - voice mail system full, unable to leave a message. XX/XX/XXXXXXXX After multiple attempts to reach XXXX XXXX by telephone, and unable to do so because her voice mail system was full, I faxed her a letter notifying her of our intent to appeal their declination to our request for loan modification because their Net Present Value was based on incorrect data relative to the value of our home and our verified income. XX/XX/XXXX - We received a letter from Wells Fargo indicating that we di not qualify for the Home Affordable Modification Program ( HAMP ) to modify our loan due to the net present ( NPV ) value evaluation, and are unable to reduce our principal and interest payment by 10 % or more because of our monthly gross income which is calculated as {$8300.00} ( this did not include my XXXX income which brought our monthly total income in excess of {$10000.00}. ). ALTHOUGH THE HAMP PROGRAM EXPIRED ON XX/XX/XXXX, WELLS FARGO HOME MORTGAGE NEVER ADVISED US OF THIS CHANGE AND DID NOT OFFER US ANY OTHER LOAN MODIFICATION OPTIONS. They indicate that if we believe their decision is incorrect, we could submit an appeal. XX/XX/XXXX - I faxed appeal request to XXXX XXXX XXXX, Executive Resolution Specialist at Wells Fargo Home Mortgage, XXXX XXXX, Senior Vice President at Wells Fargo Home Lending,  XXXX XXXX, Home Preservation Specialist at Wells Fargo Home Mortgage XX/XX/XXXX - We received a letter from XXXX XXXX indicating that Wells Fargo is not attempting to violate United States Bankruptcy code. XX/XX/XXXX - Letter from XXXX XXXX indicating we still do not meet the requirements for a loan modification and will discuss short sale or deed in lieu of foreclosure. XX/XX/XXXX - We received a letter from Wells Fargo Home Mortgage, WITH NO SIGNATORY, indicating that we requested a short sale and that they would need a purchase contract in order to consider it. WE DID NOT MAKE THIS REQUEST! XX/XX/XXXX - I called XXXX XXXX again and left a message indicating we received an UNSIGNED letter from Wells Fargo Home Mortgage, and I reminded her that we still need a breakdown of the Net Present Value analysis THAT INCLUDES THE REASON WE WERE DENIED, NOT JUST THE FACT THAT WE WERE DENIED, AND WHAT THE INCOME REQUIREMENTS ARE TO ACHIEVE APPROVAL ON OUR LOAN MODIFICATION. No response. XX/XX/XXXX- I sent a letter of XXXX XXXX, indicating that I have not heard back from her to my voice messages that I left for her on XX/XX/XXXX and XX/XX/XXXX, and indicated that we received the above letter from Wells Fargo regarding a short sale, and clarified that we do not in fact want to short sell our house, we want to keep our home and that according to the requirements of Exhibit 1.1.1,  Paragraph 7 of FASIC HAMP CRITERIA, we still need the " COMPLETE AND TRANSPARENT COPY OF THE ANALYSIS AND MATHMATICS USED IN THE PREPARATION OF THE NET PRESENT VALUE AND FURTHER, WELLS FARGO HOME MORTGAGE IS PROHIBITED FROM CONDUCTING A FORECLOSURE SALE UNTIL THESE INACCURACIES ARE RECONCILED. '' XX/XX/XXXX - We received a letter from XXXX XXXX, Senior Vice President, Wells Fargo Home Lending,  indicating they received our inquiry and expect to be able to respond to us by XX/XX/XXXX. XX/XX/XXXX - I received call from XXXX, at Wells Fargo, who said our fax came in as an " escalated issue '' and she reconfirmed that my last two message left for XXXX XXXX were not returned. I reasserted that we need the mathematical analysis used by Wells Fargo in the Net Present Value analysis conducted by their underwriter that resulted in the declination of our request for loan modification. She indicating that she is " establishing a case to monitor our concern, and that her timeline to complete the case is XX/XX/XXXX. '' XX/XX/XXXX - We received a letter from XXXX XXXX addressing our " inquiry '' and indicating she should complete the review by XX/XX/XXXX or will give a new completion date. XX/XX/XXXX - I received a message from " XXXX '' at Wells Fargo, indicating that she needs to conduct an initial interview with me in response to the request by her customer care and recovery group indicating that we want to be reviewed for a loan modification. XX/XX/XXXX - I returned XXXX XXXX call regarding the interview and left a message. XX/XX/XXXX - I faxed a letter to XXXX XXXX, Senior vice President, Wells Fargo Home Lending, and reiterated that we are looking forward to receiving the complete and transparent copy of the analysis and mathematics conducted by their underwriting department to prepare the New Present Value evaluation under which we were declined a loan modification, as specifically mandated in the federal guidelines of the Home Affordable Modification Program. XX/XX/XXXX - XXXX called, left message, I called her back and she indicated that she is providing a resolution today, and has sent us a letter regarding the Net Present Value information and payment assistance concerns. XX/XX/XXXX - Letter from XXXX XXXX, Executive Resolution Specialist, Customer Care and Recovery Group, Wells Fargo Home Mortgage, indicating they expect to complete their work by XX/XX/XXXX. XX/XX/XXXX - Letter from XXXX XXXX indicating that the Net Present Value sent in Wells Fargo 's letter ofXX/XX/XXXX was used to deny our loan modification, and they have determined that our account was handled appropriately and no adjustments are needed. ( THEY NEVER ANSWERED OUR QUESTIONS AS TO SPECIFICALLY WHY WE WERE DENIED AND WHAT IT WOULD TAKE TO QUALIFY FOR LOAN MODIFICATION. I COULD GO BACK INTO XXXX XXXX XXXX IF I KNEW WHAT INCOME I NEEDED TO QUALIFY! ) XX/XX/XXXX - Letter from XXXX XXXX, Senior Vice President, Wells Fargo Home Lending, indicating she is continuing to research the new items and will respond. XX/XX/XXXX - I called XXXX XXXX and asked for time before our home would be foreclosed upon. She said it wo n't go to sale, and our requirements have not been met ( BUT WOULD NOT TELL ME WHY ) so they wo n't provide us with a loan modification. She said if our circumstances change, Wells Fargo will review again for a " new review. '' XX/XX/XXXX - I called XXXX XXXX, left message. XX/XX/XXXX - NOTICE OF SALE POSTED ON OUR DOOR. XX/XX/XXXX - We sent a letter via fax to XXXX XXXX advising of the NOTICE OF TRUSTEE 'S SALE posted on our residence on XX/XX/XXXX, and made demand to set the sale date aside because Wells Fargo failed to provide the details of the Net Present Value that was used to deny our loan modification, and that they are acting in bad faith ignoring our request for a clear description of what it would take to modify our loan. ( FOR EXAMPLE, THE NET PRESENT VALUE PREPARED BY WELLS FARGO INDICATED THAT ACCORDING TO OUR GROSS MONTHLY INCOME OF {$8300.00}, OUR MONTHLY PRINCIPAL, INTEREST, TAX AND INSURANCE PAYMENT IS {$3600.00} OT 44 % OF THE GROSS INCOME AT THE 3.34 % CURRENT INTEREST RATE. THE TERM OF THE LOAN REMAINING IS 229 MONTHS. WELLS FARGO CALCULATED WHAT IT WOULD TAKE TO GET TO 31 % USING 2 % INTEREST RATE FOR 444 MONTHS, TOTALLING A MONTHLY PRINCIPAL, INTEREST, TAX AND INSURANCE PAYMENT OF {$2500.00} -AN AMOUNT WE CAN CERTAINLY AFFORD! ) XX/XX/XXXX - Letter from XXXX XXXX indicating she will attempt to respond to our concerns by XX/XX/XXXX. XX/XX/XXXX - XXXX XXXX of Wells Fargo called and said she will look into the current Net Present Value information and get back to me by XX/XX/XXXX. She abruptly said that the sale date will continue because they have done everything correctly. XX/XX/XXXX - I called Wells Fargo to complain about XXXX XXXX 's dismissive attitude and spoke to XXXX XXXX, Home Preservation Specialist, who put me in touch with XXXX XXXX, who would be our new case manager. XX/XX/XXXX - I received a call from XXXX XXXX, from what she said was the office of the president, who said she can not stop the sale date proceeding set for XX/XX/XXXX, and would try to advocate for us and get answers by XX/XX/XXXX. If unable to meet this date, she will request a stop of the foreclosures sale. XX/XX/XXXX - We received NOTICE OF TRUSTEE 'S SALE to be held XX/XX/XXXX. XX/XX/XXXX - Letter from XXXX XXXX, EXECUTIVE RESOLUTION SPECIALIST, CUSTOMER CARE AND RECOVERY GROUP, Wells Fargo Home Mortgage indicating her response to us is expected by XX/XX/XXXX. XX/XX/XXXX - Received message from XXXX XXXX indicating she has an update. XX/XX/XXXX - Letter from XXXX XXXX, Home Preservation Specialist, introducing herself as our new Wells Fargo Home Mortgage home preservation specialist, and she will help us every step of the way through our loan modification process. XX/XX/XXXX - I received a call from XXXX XXXX, Home Preservation Specialist at Wells Fargo Home Mortgage, who indicated that their underwriter has a question regarding additional income that was indicated on my personal bank statement. He conferenced " XXXX '' from underwriting on the call and I explained that I had to sell the stock in our IRA to pay our former lawyer, XXXX XXXX of XXXX XXXX XXXX, who claimed he could help us negotiate a loan modification and is now suing us. XXXX XXXX asked if I had any questions, and I asked him directly why we did not qualify for a loan modification based upon the Net Present Value analysis. He indicated that there is a formula used by the federal government with 40 financial factors, but that Wells Fargo Home Mortgage 's responsibility is to their investors, and that a negative Net Present Value diminishes the value of our mortgage as an investment and it declines post-modification. I asked him what we need to do to qualify for a loan modification and he said that he could not give me specifics and that our situation is not correctable. XX/XX/XXXX - Letter from XXXX XXXX, Home Preservation Specialist, indicating we do not meet the requirements of the Proprietary Step Rate Program due to the results of the Net Present Value evaluation. XX/XX/XXXX - I received call from XXXX XXXX, Home Preservation Specialist, Wells Fargo Home Mortgage ; I returned her call and left a message. XX/XX/XXXX - XXXX XXXX called indicating Wells Fargo received the correspondence from XXXX to help us get our loan modification, and has a new resolution date of XX/XX/XXXX and due to XXXX request, sale date is postponed to XX/XX/XXXX. She indicated we may have more time for reentry and will submit a request on our behalf and that we could get legal council for other options. XX/XX/XXXX - We sent a letter via fax to XXXX XXXX to request suspension of foreclosure sale because we are being harassed by Realtors in huge quantities every time Wells Fargo sets a sale date which is public information, and written request to provide us with the detailed explanation of the Net Present Value analysis used to deny our modification so we understand why we do not qualify. XX/XX/XXXX - XXXX XXXX called and said our foreclosure has been suspended, with an active sale date of XX/XX/XXXX. She said we can complete a new application for loan modification. She asked me if I received a denial letter from XXXX, to which I responded I did not, and she asked me if XXXX told me whether there is an appeal process, to which I responded they had not at this time. She said our case is in the executive office only as it relates to the Net Present Value information, and that " outside sources in the company do n't always correspond '', which is why she did not have that information regarding XXXX. XX/XX/XXXX - I received a call from XXXX XXXX indicating she is in final review of our loan modification application and has moved the sale date to XX/XX/XXXX. XX/XX/XXXX, XXXX XXXX of Wells Fargo called me and said there will not be any further review for loan modification again, that we are not eligible for an appeal, and that the foreclosure sale has been postponed to XX/XX/XXXX, and will not be postponed further. She said the Net Present Value is a formula based on the national treasury, and that on XX/XX/XXXX, Wells Fargo conducted a new appraisal of our property which increased the value to {$710000.00} which we do n't qualify for. She said even at {$750000.00} value, we do n't qualify. ( She did not provide me with the specifics we have been asking for as to exactly WHY we did not qualify. They have kept their answers vague and have withheld information that would help us qualify for a loan modification and keep our home. ) I asked again why we were turned down, and what income we need to qualify, and she said that she will not provide that information because it is a sensitive subject. She would not give me the percentage requirement of income to loan ratio set forth by Wells Fargo in qualifying borrowers for home loans. She said from this point forward, I can work with XXXX XXXX in the home preservation department, and she was sorry it did not work out for us. We have received information from an attorney indicating that Wells Fargo may be in violation of California Civil Code Sections 2923.6, 2923.7, Negligence, violation of Business and Professions Code Section 17200, Et Seq, and accounting and are in violation of the Homeowners Bill of Rights, but do not have the financial resources to file legal action against this giant. We respectfully request your help, so that our rights can be enforced relating to Wells Fargo Home Mortgage, and appreciate your advocacy as you deem appropriate. With much appreciation!

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