Consumer complaint received 2015-08-22
Product: Mortgage — Home equity loan or line of credit
Issue: Credit decision / Underwriting — 
Company: WELLS FARGO & COMPANY (CO)

I had a XXXX year HEOLOC. with Wells Fargo Bank ( WFB ) The draw period, I thought was to end XX/XX/XXXX. WFB called XX/XX/XXXX and deceptively asked me to accept a fixed rate of 6.35 %. Believing I had to refinance, I unknowingly agreed to this offered interest rate. Unbeknownst to me, my HELOC had a role over clause. Meaning, that the contract had a conversion clause stating that at the end of the Draw Period the Loan would roll over to a Repayment period. The fixed interest at the conversion date would be based upon the Prime Rate ( 3.25 % ) plus 1.85 % margin. Being Naive and trusting of WFB I accepted with the caveat that it was to convert XX/XX/XXXX ; or the date of the loan conversion according to the loan documents. 

I signed a note to accept the interest rate and not to draw any more money from the HELOC until the conversion date XX/XX/XXXX.. That signed note only says I agree not to draw any more funds through the conversion date ( XX/XX/XXXX ) It may have said I agreed to the offered interest rate, but I 'm not sure. That signed note says nothing about early conversion. I stated and their representative confirmed that I would only accept the conversion if it started XX/XX/XXXX, the conversion date. I have asked Wells Fargo for a copy of this note and other claims they have made, but they have not provided me anything. I did made it clear that I accepted this only if the conversion date was to start at the end of the draw date XX/XX/XXXX. 

Not knowing that WFB had prematurely converted the loan and expected payments of {$480.00}, I made payments XX/XX/XXXX through XX/XX/XXXX based on the Interest only payment clause of the HELOC agreement, or approximately XXXXmonth. 

I believe Wells Fargo knowingly used deceptive, unfair, and misleading information, as well as knowingly omission of relevant information to trick me into agreeing to a higher fixed interest rate. They out right deceived me when WFB prematurely made the conversion XX/XX/XXXX. I believe WFB knowingly mislead me to advance its interests by not providing me with adequate and truthful answers to questions I posed to the WFB representative with regards to interest rates options, and conversion dates. Wells Fargo knowingly deceived me by not disclosing what my interest rate would likely have been had I waited until the conversion date. WFB used unfair business practice by converting my loan prematurely. 

XXXX Issues1 ) WFB converted the loan XX/XX/XXXX, or XXXX months before the agreed upon conversion date. This has cost me over {$1200.00} in interest payments that should have been partially applied to the principal. In addition I have accrued over {$400.00} in late fees as a result. 
2 ) WFB used false and misleading information to get me to agree to a interest rate higher than I otherwise would have had, if WFB had not mislead me on the terms of my HELOC loan. 
There is an issue about being over my limit. The terms of the contract says that WFB could at any time extend my credit limit. XX/XX/XXXX they did and they sent a letter confirming that. However I can not find that letter. I agree with WFB that I was over my limit.