Consumer complaint received 2015-12-26
Product: Mortgage — FHA mortgage
Issue: Loan modification,collection,foreclosure — 
Company: WELLS FARGO & COMPANY (TX)

We paid our mortgage faithfully starting XX/XX/XXXX and never missed a payment ; then in XXXX we paid late got worse but never missed altogether. We owed for XX/XX/XXXX and XX/XX/XXXX so, I did the online help question a couple of times I finally got a callback the second time. She told me they could help me with A loan modification, she told me we would lose the five ( 5 ) years paid ( over {$70000.00} ) and we would be back at 30 years and it would show on the credit report agencies for 30 years that we were unable to pay the old mortgage. Regardless on how well we paid the new mortgage ; that confusing how is that possible to report on the new mortgage that it 's not paid when it would be. How is that possible? I said so we 're going to lose all that was paid for 5 years ( XXXX plus ) and we have to start over and It will be shown as we ca n't pay the mortgage for the entire 30 year note. That would be a lie and not correct if the new mortgage is paid on time how is it its a fresh start but we lose XXXX plus, and have to have a bad credit reporting for 30 years. How is that when the statue of limitation on debt is 7 years. A foreclosure does n't stay on for 30 years so, how is it that a loan modification stays on for 30 years reporting as bad debt, that we could n't pay it. All this is based off 9 months of bad and not the 51 months of good payments. When we start over with the same debt and pay it. Please someone tell me how this works? Sounds totally wrong ... 
How are they allowed to keep something on a credit report for 30 years when the loan would have been modified? I asked her so, we will be penalize XXXX ways with your help. 1. Losing 5 years of payments over XXXX, 2. Starting back at 30 years and 3. Reporting to the credit agencies for 30 years that we could n't pay our mortgage when we had paid faithfully up until XX/XX/XXXX even then we paid before the last day to be late. When we would have stated over with same mortgage amount ... 
I said how on earth is that helping us. When they did n't even look at all the good payments but base helping us on the last 9 months. How is that? 
That 's totally bad for the customer who may have a financial set back but want to keep their house. And get back on the road to recovery ; how is that helping but making someone lose 1. over XXXX paid for 5 years, 2. having to have it reported to the credit reporting agencies for 30 years that the old mortgage was n't paid when the new Loan Modification would be paid and current each month. Why? This is n't something set up to keep the homeowner in their home unless this is just done to certain customers on certain areas. Because I know the customers in the North side of town would not go for this. This is not something that helps a customer. I can see anyone wanting this. 
But what I need to make me whole : 1. Is the policy on loan modifications stating all this 2. The policy on credit reporting of debt and the statue of libations on how long you can show that bad debt on the credit report. When a foreclosure can stay on that long. 
3. And if there is a company that can help me get back in track without having to lose XXXX in payments. We do n't have money to just give to Wells Fargo or any other bank. For an account that 's just a little over XXXX past due that 's including fees. They are acting like we are so behind with XXXX but they have no issue with taken XXXX in payments and not given us credit for them.