Consumer complaint received 2016-12-15
Product: Mortgage — Conventional fixed mortgage
Issue: Loan modification,collection,foreclosure — 
Company: WELLS FARGO & COMPANY (CT)

PLEASE DIRECT THIS TO XXXX XXXX AS WELL AS WELLS FARGO. 
This is a further complaint in an ongoing attempt to modify a mortgage that is not affordable. Please see prior complaints associated with my name to better understand my situation. While I was able to borrow money via a XXXX mortgage from family members to get my house out of foreclosure, I am beyond risk of imminent default without modification. Hamp ends on XXXX XXXX, 2016 and Wells Fargo is unwilling to consider an application for loss prevention complete without a " divorce liability letter '' from my ex husband. I am the successor in interest of the home ( Wells Fargo has confirmed this but refuses to consider me a borrower. ) My ex husband is refusing to sign the " letter '', and by the time he is court ordered to do so, Hamp will have expired. I was happy that the CFPB made it 's new ruling, so eventually I will need to be considered a borrower, but Hamp will have expired. The investor of my loan is XXXX, and once the ruling takes effect, there is no program like HAMP. Further, according to the new ruling, the CFPB made no directives other than that a program be accessible, affordable, sustainable and transparent. Well, the mortgage bankers association recommended a program that excludes many people from a meaningful reduction in payment, and XXXX and XXXX are planning to implement that very program via " Flex mod ''. So, here is how it is n't affordable ... .if you do n't reach a 20 percent payment reduction or a 40 percent housing to income ratio, and your loan to value is LESS THAN 80 percent, not only is there no forbearance, but there is no reduction in interest rate to market rate either. So, my housing to income ratio is approximately 80 percent, and I wo n't get a reduction in interest rate. How is that affordable? How is that sustainable? I did not want a home equity loan of XXXX with XXXX XXXX XXXX, and I had no choice due to a divorce when my ex husband caused that debt. But, my house is still a bit under 80 percent. So, extending the term to 40 years does not give me enough of a meaningful reduction. So, people that have higher loan to values get a better chance of staying in their homes, but ultimately I am being given no choice but to sell. When I do sell, I will not be able to afford housing in my area for myself and my XXXX kids. My only income at the moment is alimony and child support. I certainly wo n't qualify for a mortgage or to refinance. It is ridiculous that XXXX and XXXX modifications are not at the standard market modification rate. From XXXX 's new servicing bulletin : if less than XXXX percent ltv : " set the modified interest rate to the borrower 's contractual interest rate. '' This is not affordable, this is not sustainable. Please do something that helps people that would have been helped by Hamp but are now left with no options. If you read my past submissions you will know that Wells did agree to a loan mod, and then later refused even though XXXX said they were willing to do it, all because they felt it was a legal risk due to a threat from my ex husband. Please make a RULING regarding modifications. Please make a ruling that in cases of imminent default, modifications should be at MARKET RATE, regardless of LTV. As for the " divorce liability letter '', when did Hamp programs start requiring this letter? Is Wells Fargo just doing this to serve their own needs? I am writing this complaint for the further reason that the CFPB previous response was as follows " Complaints help us identify trends and problems in the marketplace and understand the challenges people are facing so we can do a better job looking for these problems when we supervise companies, enforce federal consumer financial laws, and write rules and regulations. '' I certainly have a challenge that is not being helped by current rules.