Consumer complaint received 2016-12-18
Product: Mortgage — Reverse mortgage
Issue: Application, originator, mortgage broker — 
Company: WELLS FARGO & COMPANY (MA)

For the sake of having my questions deemed 'Too Broad ', I would like to request the exact amount of loan to property value ratio that was used by Wells Fargo Reverse Mortgage Underwriters prior to loan origination. Using the very same FHA guidelines in terms of deciding just how much equity can be converted to cash, was there enough equity to convert to cash aka a 'Traditional Reverse Mortgage '? With an appraisal of {$300000.00} and as Wells Fargo states {$180000.00} in prior MORTGAGES and LIENS, is a Reverse Mortgage really the way to go? Let 's not forget the additonal {$34000.00} that I would have had to pull out of my own pocket, is a Reveres Mortgage right for me? And who would pay Wells Fargo titlle company Residential Mortgage ( who will be reported to the cfpb in due time ) {$35000.00} to be disbursed to XXXX ( XXXX was n't even servicing the loan and XXXX? There are basically two main reasons why a lender might sell your mortgage. The first has to do with capital. When a loan gets sold, the lender has basically sold servicing rights to the loan, which clears up credit lines and enables the lender to lend money to the other borrowers.Just look at the alleged discharge XXXX {$50000.00} line of credit that Wells Fargo has issued to the CFPB and myself. I was told that the XXXX was going into escrow to be disbursed through a line of credit so I could have peace of mind that I would n't lose my home. Refer to FHA Application page ( XXXX ) I was told I would be reveiving a Traditional HECM and I would be receiveing ADDITIONAL INCOM The line of credit was allegedly for XXXX ( notice the mis-spelling in my last name ) who reside at XXXX, Ma XXXX Are you serious? 

If I called myself a banker and pulled a stunt like that, I should be fired. The bank manager who signed off the deal should 've been prosecuted.I would like to see the original financials that presented such a positive belief in getting that Reverse Mortgage done and ( commissioned ) on XXXX XXXX, Who in their right mind truly thought that a Reverse Mortgage was right for me? A Reverese Mortgage allows seniors to ACCESS CASH ( get additional Income ) from the equity in their homes, correct? Why on earth would anybody chooose that type of mortgage for any other reason that to access cash. Or in my case, secure custody of my home with $ XXXX to be placed in escrow and disbursed in a line of credit to satisfy annual property taxes. XXXX XXXX knew full well that I was not planning on keeping my home much past 8-10 years. Although the obvious appearance of one with obvious affects from XXXX would give the impression that I may XXXX. I would like to request any documentation in which Wells Fargo used to assess my personal debt to credit ratio. I would also like to request a copy of the judgment and subsequent lien on the property from a non-real estate debt. 
If I 'm now understanding the benefits of the Reverse Mortgage, could I present a couple of traditional mortgage benefits. 
In XXXX 2010, I had XXXX and a completely up to date traditonal mortgage and as Wells Fargo has indicated, a XXXX line of credit with the XXXX. At that time I co-owned the home with my son, XXXX XXXX who still has a credit score in the XXXX could have used the XXXX to pay down some of the mortgage and RE-FI. Why a Reverse Mortgage? Myself and A co-owner with excpetional credit along with $ XXXX and Wells Fargo is going to continue to stand behind their assessment that the Reverse Mortgage was then only way to go. 

I believe that I have previously addressed lack of counseling and lender interference having played a key role in Wells Fargo pulling off the ole Reverse Mortgage $ $ Scam. 
Mortgage Fraudsters and Predatory Lenders can learn a thing or two from Wells Fargo.