Consumer complaint received 2016-09-10
Product: Mortgage — FHA mortgage
Issue: Loan servicing, payments, escrow account — 
Company: WELLS FARGO & COMPANY (TX)

BACKGROUND HISTORY Both my husband and I are educated, intelligent, hard-working taxpayers that 's been dealing with uncontrollable financial hardships and critical health issues over the past six years. We have XXXX boys ages XXXX and XXXX and a sweet little XXXX named XXXX. Our incomes combined started at $ XXXX ( in XXXX ) and continued on a decline to $ XXXX ( in XXXX ) since I 'm the only one working due to my husband 's XXXX. My husband was XXXX six years ago that has now affected his ability to work. We do not have excessive debt, nor mishandling of our income, just a shortage of income. Both my husband and I have XXXX. With our XXXX, we faced our problems, made contact with all our creditors and always provided a firm promise to pay and notification in advance if we could n't keep a scheduled payment. Throughout the last six years we 've endured several layoffs, wiped out savings, no cushion for rainy days, young children in daycare, numerous hospital bills, expensive medicine, and car payments. Well our financial situation has not increased BUT are expenses have decreased ( no daycare, car payments, expensive medicine ) but we 're still dealing with arrears. 
THE ISSUE Our mortgage company is Wells Fargo and they have always worked with us and even modified our loan in XXXX which is the year the decline in my husband 's health affected our ability to pay our bills and cleared our savings. I was laid off in XXXX XXXX, we used my severance, our tax refunds, funds withdrawn from my XXXX, and my unemployment income to maintain our monthly expenses. It felt amazing to not only bring our accounts current but to pay EVERYTHING on time again. For six months, we were current. In XXXX we fell behind on the XXXX mortgage payment as our funds ran out and unemployment of {$1800.00} a month could not cover our monthly expenses. Luckily for me I started working at a new XXXX company the last week of XXXX. We immediately started paying the mortgage again in XXXX, but remain one month behind. Our contingency plan, bring our mortgage current when my husband XXXX approval goes through. 
THE PROBLEM On XXXX XXXX, XXXX at XXXX CST I called Wells Fargo to make my XXXX payment as of that day we were 62 days delinquent. The account manager named XXXX XXXX advised I could not make my XXXX payment since Wells Fargo decided since I 've been delinquent for so long they 're going to proceed with foreclosure proceedings. XXXX XXXX told me I had to pay XXXX, XXXX, XXXX payment and all late fees immediately to avoid FC. Said my acceleration letter sent on XXXX had an expiration date of 35 days to bring the account current or work with loss mitigation to see if I have any options. XXXX XXXX also said that I should borrow the total of {$4400.00} from relatives to bring my account current and pay them back in installment payments. XXXX XXXX also conferenced in another representative name XXXX to confirm everything cited. I was beyond baffled cause I live in TEXAS and a borrower has to be 90 DAYS DELINQUENT to refer a loan for FC. I 'm glad I remained calmed but I was extremely worried. I missed an important meeting with my manager and her AVP in which they had to document as missed time since I already taken lunch that day and only employed 62 days. XXXX XXXX transferred me to loss mitigation and that representative XXXX XXXX took my XXXX payment, sent a modification package, and clarified FC proceedings start after 90 days delinquency. After the call I felt horrible and was shaken. I was threatened with FC just so XXXX XXXX could transfer me to loss mitt to get her referral, if applicable. XXXX XXXX violated CFPB. Please let me if there 's any additional steps I need to follow. Thank you for investigating this issue.