Consumer complaint received 2016-04-05
Product: Mortgage — VA mortgage
Issue: Settlement process and costs — 
Company: WELLS FARGO & COMPANY (FL)

Loan # XXXX To whom it may concern. 
Please review my case under " Dodd-Frank Act/Unfair Deceptive Abusive Acts and Practices. '' My name is XXXX XXXX and I was told that you may be able to assist me. I was removed from my place of employment ( XXXX XXXX XXXX ) in XXXX XXXX due to a XXXX in which my income was drastically reduced. I reached out to my mortgage lender ( Wells Fargo ) and then VA for assistance. As I was not behind on my mortgage, Wells Fargo would not offer me any additional assistance under the home modification program. 
I contacted a Realtor ( XXXX XXXX ) to assist me with the sale my house. Unfortunately, because the economy was under water my home appraised for less than what I owed. I owed {$240000.00} and the house appraised at {$230000.00}. My Realtor ( XXXX XXXX ) contacted Wells Fargo and we were assigned to Wells Fargo Home Preservation Specialist ( XXXX XXXX ). Later, after a thorough review of my account the Wells Fargo Home Preservation Specialist agreed to allow for a short sale of my home. XXXX XXXX also informed us that because of my credit history along with my medical hardship that Wells Fargo would approve a short sale and waive the deficiency balance against myself and any third party attached to my mortgage. I asked if by waiving the deficiency balance against me and any third party meant that they would also not go after the VA for the deficiency balance. I was told that Wells Fargo would write the balance off and would not seek payment from myself or the VA if I complied with the short sale. I continued to pay my mortgage on time until the day that the short sale was completed. I was not 61 days behind on my mortgage payment, neither did I receive any proceeds or assistance in relocation from Wells Fargo or VA. I complied with everything that I was asked to do. 
XX/XX/XXXX, my income became stable again so I began the process of purchasing a home. I requested a new VA Certificate of Eligibility to purchase a new home and found that my entitlement was compromised. I contacted Wells Fargo Consumer Relations Department and asked why was a claim filed against my VA home benefits when I was told that the deficiency balance would be waived. I spoke directly to Wells Fargo Executive Resolution Specialist ( XXXX XXXX and XXXX XXXX ) and was told that a claim was automatically sent out by their claims department and there was nothing that could be done. I was informed to contact the VA to see what could be done because the claim should NOT have counted against my loan guaranty. 
I contacted Wells Fargo again and this time I was assigned to XXXX XXXX. I sent XXXX the letter that I received from Wells Fargo showing that it was stated that Wells Fargo would waive the deficiency balance against me and VA. XXXX XXXX that although the letter stated that Wells Fargo would waive the deficiency balance against me, it did not specifically say that they would n't go after the VA for the deficiency balance. So it became evident that Wells Fargo is now using " Semantics '' to avoid living up to their end of the bargain and further deceiving their customer with a good payment history with them. 
I now have a significantly reduced credit score and compromised VA entitlement ... a double whammy. Due to my credit report reflecting a short sale, even though Wells Fargo was paid in full, I can not get a home loan because I have to wait statutory 7 years to qualify for a Conventional loan. Secondly, my compromised VA entitlement balance is too low to purchase a home in a safe neighborhood with thriving schools for my children to attend. 
The ecomony is a sellers market and I 'm forced to pay astronomical rent ( ie. {$2100.00} ) just to ensure that my children are in safe and above average school zones. {$2100.00} is what a XXXX class family should pay for mortgage and not rent.