Consumer complaint received 2019-08-22
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: WELLS FARGO & COMPANY (NY)

I purchased and went to closing on my condo on XX/XX/XXXX. The appraised value was for XXXX and the purchase price as XXXX. At signing I put 15 % down, XXXX. This financial decision was based on the communication that I would be able to have my PMI removed once I reached 20 % payment of XXXX - not XXXX. I had called Wells Fargo in XXXX of XXXX to discuss removal of my PMI as I was going to use funds to bring my principle to 80 % of the Home Value in order to remove my PMI of XXXX a month. Upon completion of the call, I had received ne information. The first thing I was told was that I would have to get have paid 20 % of the Loan Amount, not the Home value, which is a difference of XXXX in order to remove the PMI. Upon finding this out, I was told my option would bee to get a new appraisal to make sure my home did not fall in value and to hopefully have the paid principle be 20 % or more of the appraised value. The other options were, refinancing or letting my PMI fall off as soon as I hit the 78 % mark. I would like to note that I was told that when I reach 80 % of the Loan amount, I could call wells fargo and have the PMI removed. Now, on XX/XX/XXXX, almost 2 years of having the mortgage, I am yet again looking to remove the PMI. After speaking with 2 representatives today, I have now been told that I can only have my PMI removed at 80 % if i use an appraiser through wells fargo, which will cost XXXX, which doesn't make sense since the when i click on escrow details i'm told when I will hit 80 % LTV, not 78 % LTV ( why would I want to know 80 % when it won't be removed at 80 % - this adds to the misleading information ). I was also told that effective in the later half of XXXX of XXXX, they will no longer automatically be removing PMI at the 78 % mark and customers are expected to call once they hit that mark to have it removed. 

I am very frustrated with wells fargo as I have been making financial decisions off of what I have been told by them and their representatives. I have spoken with other financial institutions and mortgage lenders to understand their mortgage policies in order to see if I may have misunderstood Wells Fargo from the beginning. It has been brought to my attention that these policies are not uniform and that wells fargo is still misrepresenting their policies and procedures. I should not have had 3 different answers to how to have my PMI removed. In an effort to reach a common ground I had asked Wells Fargo in XXXX of XXXX if, as a compromise, they pay for the appraiser - which I deemed fair since I was provided with wrong information ( unless policies changed without it being properly disclosed ). This resolution was denied. 

I wasn't aware of the CFPB until now, as I was recommended here by an employee from another bank in the XXXX area. 

As disclosure, please note that my call in XX/XX/XXXX XXXX have been later or earlier than that day as I do not have documentation of that date. I do know that it must have been around that time as I was working on my XXXX budget and trying to figure out how to remove the PMI. Also note that in XXXX of XXXX I was asked to pay approx. 3,500 to ensure my mortgage payments wouldn't jump from XXXX a month to about 2,200 a month. XXXX was needed to only have it increase to XXXX a month. This was as a result due to their improper way of calculating the estimated taxes and I am expecting approx. 2,500 back in XXXX as I know there is too much held in escrow at this time. I'm including this piece of information at the end as it is not the primary purpose for this formal complaint.