Consumer complaint received 2015-12-02
Product: Mortgage — Conventional adjustable mortgage (ARM)
Issue: Credit decision / Underwriting — 
Company: WELLS FARGO & COMPANY (MN)

My mortgage is owned by XXXX, is serviced by Wells Fargo, and is HAMP eligible. I contacted a non-profit loan modification company in MN XX/XX/XXXX when I got notification from WF that my payment would be adjusting upwards by over {$700.00} per month XX/XX/XXXX. I was told by them that WF would n't talk to me about a loan modification until I was 90 days past due, and I should stop making my payments, so I would be 90 days late at the time the payment adjusted upwards. That 's what I did. I contacted WF XX/XX/XXXX to apply for a HAMP modification. I was denied based on " insufficient income. '' The monthly income used by WF was grossly miscalculated at {$1600.00}. I appealed this decision. A new underwriter was assigned to re-analyze my file and correctly set my income at {$4600.00} per month. I was then denied the HAMP because my " current housing debt to income was less than XXXX %. '' After several frustrating phone calls trying to get to the bottom of this, I was finally told that my housing ratio was being calculated from the mortgage payment that was in effect when I missed my first payment XX/XX/XXXX ( my mortgage had an " interest only '' feature that ended XX/XX/XXXX, when the loan became a 20 year amortization. It is also an ARM ). The underwriter told me this was a XXXX requirement. I asked for proof, and was told I would need to contact XXXX. I did that, and was told by XXXX that they are not allowed to interpret lender guidelines, and that I needed to talk to WF. XXXX also said I could find all of the HAMP requirements on the XXXX website. That website clearly states that the current housing dti for HAMP eligibility is based off the CURRENT house payment. Per my monthly mortgage statement that is mailed to me each month from WF, my current PITI is {$2200.00}, resulting in a housing dti of XXXX %. I sent the XXXX information to WF and filed a dispute. The underwriter upheld his decision without providing any new data to support that decision. Per my request, my file was escalated to the Executive Offices Customer Care & Recovery Group XX/XX/XXXX. I was told I would have the opportunity to discuss my dispute with someone in that department. I have yet to speak with anyone live, after leaving at least XXXX voicemail messages for my Executive Mortgage Specialist, including requesting to schedule a time to avoid further voicemails. My last attempt was on XX/XX/XXXX. The only voice communication I 've received from her is XXXX voicemails, the last XXXX on XX/XX/XXXX - 7 weeks ago. I also left XXXX messages for her manager, with no return phone call. As of XX/XX/XXXX, my home was placed in active foreclosure status by WF. No sale date has been set. ( 1 ) I see no reason why I can not obtain a HAMP modification, ( 2 ) my file was escalated specifically so I could discuss this, and I was not able to speak with my assigned Specialist before WF moved my loan into active foreclosure, and ( 3 ) at the time my application was turned down for HAMP I offered to make 3 mortgage payments to move the past due date to XX/XX/XXXX. This is when my payment adjusted upwards dramatically. The housing dti would then be well over 31 %. I was told " no. '' A new monthly mortgage payment calculated using the HAMP steps would be affordable for me, would get me out of my current ARM, and would prevent my home going through foreclosure. I believe this is what the intention was when HAMP was established. I would appreciate the opportunity to speak with someone at the CFPB regarding this issue. I have also filed a complaint with the MN Attorney General 's Office. Thank you.