Consumer complaint received 2024-05-16 00:00:00
Product: Mortgage — Home equity loan or line of credit (HELOC)
Issue: Trouble during payment process — Payment process
Company: WELLS FARGO & COMPANY
State: NM

Complaint narrative:
I was in a XXXX XXXX XXXX against Wells Fargo 's criminal actions against its customers back in XXXX. 

I received a check for less than {$2000.00}, less than 1 % lost, more than 10 years later from this lawsuit. Over the years, this problem with Wells Fargo caused my credit to be much lower than it should have been - causing multiple problems and additional money to me. 

Your XXXX XXXX stated this : Wells Fargo is one of the most powerful banks in the world. Unlike some other massive XXXX. 
XXXX, Wells Fargo primarily concentrates on consumer banking. One in three American households are customers and are affected by its corporate culture and business practices. 
In the CFPBs XXXX years of existence, Wells Fargo has consistently been one of the most problematic repeat offenders of the banks and credit unions we supervise : In 2015, CFPB ordered Wells Fargo to pay {$24.00} XXXX in penalties for its role in an illegal mortgage kickback scheme. 
In XXXX, it paid {$4.00} XXXX to the CFPB for scamming student loan borrowers. A few months later, the CFPB fined Wells Fargo {$100.00} XXXX for its fake account fraud. 
In XXXX, the CFPB assessed a {$1.00} XXXX fine for illegal fees and insurance practices in its auto lending and mortgage lending business. 
The list could go on and on, from defrauding the government to labor abuses and more. 
The Department of Justice, state attorneys general and other federal regulators have obtained billions more in forfeitures, including civil and criminal fines. 
Put simply, Wells Fargo is a corporate recidivist that puts one third of American households at risk of harm. Finding a permanent resolution to this banks pattern of unlawful behavior is a top priority. Today, CFPB is announcing an important step toward that goal : restitution for victims of XXXX XXXX widespread illegal activities. 

Law Enforcement Action Today, the CFPB is ordering Wells Fargo to pay more than {$2.00} XXXX in redress to over XXXX XXXX consumers and a {$1.00} XXXX civil penalty for widespread illegal activity across its major product lines for which it has never been held to account. The banks illegal conduct ( XXXX ) XX/XX/XXXX, XXXX XXXX  Prepared Remarks of CFPB XXXX XXXX XXXX XXXX the Wells Fargo XXXX XXXX XXXX XXXX Consumer Financial Protection XXXX https : XXXX XXXX led to billions of dollars in financial harm to its customers and, for thousands of customers, the loss of their vehicles and homes. 
Between at least XXXX and XXXX, consumers were illegally assessed fees and interest charges on auto and mortgage loans, had their cars wrongly repossessed, and had payments to auto and mortgage loans misapplied by the bank. Consumers were also charged unlawful surprise overdraft fees and had other incorrect charges applied to their checking and savings accounts. 
Individuals affected by illegal conduct related to the banks auto finance business line will receive more than {$1.00} XXXX ; those affected by violations related to deposit accounts will receive more than {$500.00} XXXX ; and mortgage servicing customers will receive at least {$190.00} XXXX. 
This milestone in accountability and reform of Wells Fargo would not be possible without the cooperation and support from the broader law enforcement and regulatory community, including the Office of the Comptroller of the Currency and the Federal Reserve. 
We see this as an initial step to bring relief quickly to families who had their cars illegally possessed, who were tricked into seeing their accounts drained by illegal junk fees, and who had their accounts frozen without cause. 

First Step Toward Long-Term Reform While todays order addresses a number of consumer abuses, it should not be read as a sign that Wells Fargo has moved past its longstanding problems or that the CFPBs work here is done. Importantly, the order does not provide immunity for any individuals, nor, for example, does it release claims for any ongoing illegal acts or practices. 
While {$3.00} XXXX may sound like a lot, the CFPB recognizes that this alone will not fix XXXX XXXX fundamental problems. Over the past several years, Wells Fargo executives have taken steps to fix longstanding problems, but it is also clear that they are not making rapid progress. We are concerned that the banks product launches, growth initiatives, and other efforts to increase profits have delayed needed reform. 
We will continue our work with the other federal banking regulators to end the rinse-repeat cycle of consumer abuse at this firm. After the CFPB and law enforcement partners took action against Wells Fargo in XXXX for its fake account fraud, other agencies used their authorities to restrict XXXX XXXX activities and hold certain executives accountable. As regulators, we must collectively consider whether additional limitations need to be placed on Wells Fargo to supplement the existing asset cap put in place by the Federal Reserve Board of Governors in 2018, as well as the Office of the Comptroller of the Currencys mortgage servicing restrictions imposed in 2021. Our nations banking laws provide strong tools to ensure that insured depository institutions do not breach the public trust, and in the new year we expect to work with our fellow regulators on whether and how to use them. 

Wells Fargo tricked me by putting a XXXXXXXX XXXX XXXX ( which I NEVER used ), replacing my Home Equity Line of Credit behind the user interface of cash disbursements meant for the Line of Credit account. I used it as usual since I thought it was the XXXX XXXX XXXXXXXX account. But, as you know, cash disbursements done on credit cards ensue exorbitant interest. Since I didn't know this was happening for months, additional penalties and extremely high interest rates were being added to the credit card. Until I started getting calls that I owed an extreme amount of money to my credit card - which I truly NEVER used - except it was placed behind the user interface that was normally used for my business line of credit previously. I started taking money from my retirement account until it was completely depleted to keep my mortgage payments and credit cards paid, thinking this would get straightened out eventually, but it never did. 

Finally, I went to a lawyer who told me they were forcing me into bankruptcy. Though I paid the lawyer to help me, I never went through bankruptcy because I thought it unfair to have that on my credit record. For years, Wells Fargo got away with putting bad marks on my credit record. After the class action lawsuit, my excellent credit was reinstated. However, I got less than 1 % of the total money lost from their criminal behavior towards me- which amounted to less than {$2000.00} more than 10 years after the behavior occurred. 

I want to see Wells Fargo shut down permanently!!! I also, of course, want proper restitution. Its difficult to add up the complete cost over these many years of the severe abuse down by Wells Fargo so many years ago - but {$250000.00} ( a conservative statement of the financial loss at the time ), over a 16 year period ( with another very conservative interest rate of loss of 5 % per year, would amount to {$540000.00} I will keep writing you until restitution is achieved of at least {$540000.00} Please send me a response to my mailing address at : XXXX XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX My cell phone number is XXXX Thank you for your attention to this matter. 

Most Sincerely, XXXX XXXX

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation