Consumer complaint received 04/23/2015 about Student loan (Non-federal student loan) with WELLS FARGO & COMPANY (CA).
Issue: Can't repay my loan
Sub-issue: Can't get flexible payment options

Complaint: Amid growing criticism from regulatory agencies and legislatures in Washington, At the end of XX/XX/2014, Wells Fargo announced that it would extend it 's student loan modification program. In the release of the news, according to the Washington XXXX, " Wells Fargo will consider lowering the interest rate of any borrower who can demonstrate hardship '' and that Wells Fargo will " reduce interest rates to as little a 1 % for a few months or the life of the loan, depending on the borrower 's circumstances ''. 


By the time I heard this news, I had already been struggling with my Wells Fargo student loan payment for nearly a year. I had recently applied to Wells Fargo 's pilot loan modification program, showing them that my student loan payment took nearly half of my take home pay. However I was denied, because Wells Fargo asserted that my cosigner could make the full payment. When we explained that my cosigner was burdened by medical bills, as XXXX immediate family members were in permanent XXXX, Wells Fargo said they do not take medical expenses into account when assessing hardship. 

I followed up with Wells Fargo after they announced the expansion of their modification program, as I could surely show prove that my Wells Fargo Student loan payments were a financial hardship. I was denied again because Wells Fargo insisted that my cosigner could make the full payment. 

Wells Fargo continued to refuse to work with me. They said that my only option was to refinance. When I expressed concern over losing my option to an " in-school forbearance '', as Wells Fargo Consolidation Loans do not have in-school forbearance options, an employee at the executive office told me that some borrowers who were returning to school were being allowed to refinance and keep their rights to an in-school forbearance as long as they were registered for school. However I was n't returning to school for a year. The employee went to a board with my case to see if I could keep me in-school forbearance on a consolidation loan like some other borrowers were able to, but I was denied. It 's troubling that certain borrowers are receiving options and other 's are n't. 

I also explained to Wells Fargo that I no longer have access to a cosigner. My father could not cosign for a consolidation loan due to his financial hardship. I applied for a Wells Fargo consolidation loan without a cosigner, and was denied, despite have a credit score of XXXX, a clean credit report,, and having always made my student loan payments on time. Thus, the only option Wells Fargo offered was not a solution after all. I was willing to work with Wells Fargo, but it was Wells Fargo that refused to work towards a mutually satisfactory payment with me. 

Luckily, I was able to refinance my student loan with another lender, and am thankfully no longer a customer to Wells Fargo. Needless to say after that experience I will never do business with Wells Fargo again. Although I am no longer a customer to Wells Fargo, I want to share the reality of this " modification program '', and how few people it will actually apply to. 

It is clear that the Wells Fargo 's student loan modification program was just a PR move, a preemptive measure to take the wind out of the sails of activists, regulators, and legislatures who were fighting to help distressed borrowers. Wells Fargo said that their program would reach XXXX borrowers. That is but a fraction of the {$11.00} XXXX in student loans that Wells Fargo services. over 90 % of Wells Fargo student loans have cosigners, so the vast majority of distressed borrowers will continue to be refused assistance, If Wells Fargo continues to refuse to work with borrowers, the CFPB and other regulatory agencies need take action to help distressed borrowers.

Company response to consumer: Closed with explanation