Consumer complaint received 2022-07-20 00:00:00
Product: Mortgage — Home equity loan or line of credit (HELOC)
Issue: Applying for a mortgage or refinancing an existing mortgage — 
Company: WELLS FARGO & COMPANY
State: IL

Complaint narrative:
The following is a condensed version of my complaint : Company : Wells Fargo In XXXX I applied for an equity line of credit against my home whose mortgage at the time was free and clear. Note : Wells Fargo was my lien holder at the time of paying off my home and for several years - prior to our paying it off. They had been inundating me with mail offers to do a home equity line of credit. 

When I applied for a {$50000.00} equity loan in XXXX I was denied. I was was told my debt was above Wells Fargo 's threshold. The representative further explained that my student loans were the culprit. I then explained that my student loans were in a special program ( Public Service Loan Forgiveness ) and that my payments are minuscule. He requested that I send proof of my student loan payments and any official documentation regarding Public Service Loan Forgiveness so that he could forward the information to underwriting for reconsideration. Specifically, he explained that my student loans did not show a recurring payment on my credit report and when this happens Wells Fargo assumes a 1 % payment. I responded that 1 % of my student loan balance is much more than I actually pay, and I provided the proof he requested. To my favor, I learned that my proof was accepted and that my denial was overturned and I was approved. 

Within a few weeks I did in fact get a letter of approval, however, it was a conditional approval. When I inquired further I learned that they approved me for {$30000.00} and not the {$50000.00} that I originally requested. I asked why and was told it was because- when my homeowners insurance was factored in, it stretched my debt-ratio beyond the threshold. Why was this not factored in at the beginning of the process ; I absolutely provided this information at the beginning of the document collection process. The representative explained that I could accept {$30000.00} and apply for an increase after 60 ( or 90 ) days. After 60 ( or 90 ) days I applied for an increase and was met with a denial for the same " student loan '' reason. I asked the representative if they were aware of the documents I presented related to my student loan for my first loan and they said, " no ''. I provided the same information originally provided to Wells Fargo. After a few weeks and not hearing back regarding my increase request I contacted Wells Fargo. At that time I learned I was denied and the representative explained that it was because of my student loans and the 1 %, policy, and to my surprise they also reported that as of XX/XX/XXXX Wells Fargo no longer allowed increases in credit lines, but rather, you have to do a new application. I explained that the policy for a credit increase changed in XXXX, but my line increase application was made prior to XXXX. They explained that because my requests was in process and not completed I had to complete a totally new application for a new loan per the new policy. 

Never-the-less I completed a " new application '' and provided the student loan documentation. Wells Fargo refused to use my student loan documentation, and evaluated my credit worthiness based on their 1 % policy. The denial stood. I rebutted why not? I provided student loan explanation for my first loan and it was accepted and is the basis for the eventual approval. Furthermore, Wells Fargo gave me documentation that my student loan explanation/documents was accepted and used to overturn and approve my original loan. 

I am exhausted! Wells Fargo has continuously refused to use my proven student loan explanation to evaluate my increase/new loan request. I have been engaging with them for more than 2 years about the disparity in their processes and how after two years - my credit has been impacted. I provided multiple Wells Fargo letter as they have requested to substantiate my claims of inequities, disparity, insistency in their inter-Agency relations, and the list goes on. 

The most recent accusation I made was that they sent me a letter showing that they used the information I reported as my student loan payments and they sent another letter showing they used their 1 % policy. The representative asked me to send these contradicting letters to her and I did. Instead of Wells Fargo apologizing- they sent me another letter holding to their position that they did nothing wrong. 

I have been communicating with them for more than 2 years. The only thing they have done consistently is send me a bunch of certified letters each and every time I complained or gave them a poor survey. These letters acknowledge my complaint and provide a " response promised by '' date. They have yet to take responsibility for their lack of inequities and inconsistent processes even when I provided them proof. I sarcastically scolded them about being wasteful in sending all of the letters and their reply was, " we are required by CFPB to send these. Upon further inquiry about CFPB I learned that you are a governing entity of Wells Fargo, and I am seeking your assistance in getting this resolved. 

I have been dealing with Wells Fargo about this matter for more than 2 years. I have exhausted myself to no avail. This has taken an unbelievable toll on my time and has been extremely stressful. They refuse to be accountable for their inconsistent, unethical and particularly discriminant behavior. There are other indiscretions as well. 

I would like to speak with someone and can be reached at 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