Consumer complaint received 2025-09-26 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Problem with a company's investigation into an existing problem — Their investigation did not fix an error on your report
Company: WELLS FARGO & COMPANY
State: MA

Complaint narrative:
EXECUTIVE SUMMARY Wells Fargo violated their autopay contract terms and damaged my credit profile through inadequate notification procedures. In XX/XX/XXXX, I made {$200000.00} in mortgage prepayments to accelerate my loan payoff. When my prepayments created smaller monthly payment requirements, Wells Fargo canceled my autopay instead of honoring their contractual obligation to process reduced payment amounts. 

Despite maintaining a perfect payment history and XXXX XXXX score for years, Wells Fargo 's notification procedures left me unaware of the autopay cancellation. Their online statements provided no clear indication of the cancellation, and they failed to use my preferred electronic communication method for this critical notice. This resulted in payment delays that Wells Fargo reported to credit bureaus as delinquencies, causing my XXXX score to drop XXXX points from XXXX to XXXX ( Evidence Item XXXX ). 

Wells Fargo acknowledged in writing that they canceled autopay because my " unpaid principal balance was less than the total amount of your contractual monthly payment '' - contradicting their contract terms that require processing the " lesser amount '' rather than canceling autopay ( Evidence Items XXXX and XXXX ). Despite acknowledging these circumstances, Wells Fargo has declined to provide remediation. 

The prepayments caused the final payment amount to be smaller than the monthly payment. This represents a pattern where Wells Fargo 's policies may penalize borrowers who make prepayments, combined with credit reporting that may not accurately reflect the circumstances of payment delays caused by the bank 's own procedural changes. 

DETAILED TIMELINE XX/XX/XXXX : Made XXXX significant principal prepayments totaling {$200000.00} ( XXXX payments of {$50000.00} and XXXX payment of {$100000.00} ) to accelerate loan payoff from XXXX  years to approximately XXXX  years. 

XX/XX/XXXX- XX/XX/XXXX : Maintained perfect XXXX XXXX score consistently while continuing regular autopay mortgage payments. 

XX/XX/XXXX : Wells Fargo canceled autopay without adequate notice because prepayments created final payment amounts less than the original contractual monthly payment. Wells Fargo sent cancellation notice via regular mail despite knowing my preference for electronic communications. 

XXXX - XX/XX/XXXX : Continued to rely on autopay, unaware of cancellation due to inadequate notification. Online mortgage statements showed no clear indication of autopay cancellation. Borrower was not alarmed to see debt due to peace of mind knowing autopay is still active. 

XX/XX/XXXX : Wells Fargo sent loan modification solicitation via certified mail ( proving certified mail capability ), disguised as marketing material while concealing that delinquencies were caused by their own autopay cancellation. 

XXXX through XX/XX/XXXX : While traveling internationally, borrower proactively called Wells Fargo about loan payoff delays and was shocked to be transferred to Debt Collection department, learning about delinquencies for the first time. 

XX/XX/XXXX : XXXX  score dropped to XXXX, then XXXX in XXXX- a devastating XXXX decline from perfect XXXX. 

XX/XX/XXXX : Immediately resolved outstanding balance upon discovery. Wells Fargo sent confusing letter asking to cancel autopay they had already canceled. 

XX/XX/XXXX : Wells Fargo complaint response ( Case # XXXX ) admitted they canceled autopay because " unpaid principal balance was less than the total amount of your contractual monthly payment '' but refused to acknowledge any error despite this contradicting their contract terms. 

SUPPORTING EVIDENCE DOCUMENTATION EVIDENCE ITEM 1 : WELLS FARGO AUTO PAYMENTS AUTHORIZATION AGREEMENT Documents Included : Wells Fargo Auto Payments Authorization Agreement with contractual terms for automatic payment processing Key Legal Foundation : The agreement states " If your final payment shown on your monthly statement is less than the amount you've authorized to withdraw, Wells Fargo Auto will process the lesser amount. '' This establishes Wells Fargo 's contractual obligation to process reduced payment amounts rather than canceling autopay, contradicting their subsequent actions. 

EVIDENCE ITEM 2 : CREDIT SCORE DOCUMENTATION - XXXX  XXXX XXXX DESTROYED Documents Included : - Wells Fargo Credit Close-Up reports showing perfect XXXX XXXX score maintained XX/XX/XXXX through XX/XX/XXXX - Wells Fargo XXXX Account XXXX XXXX XXXX XXXX payment history - XXXX  credit report showing " WFBNA HL '' ( Wells Fargo ) reporting " XXXX LATE PAYMENTS '' Key Evidence Points : Perfect XXXX XXXX score maintained consistently for years, followed by decline to XXXX ( XXXX ) and XXXX ( XXXX ) - a XXXX drop coinciding with Wells Fargo 's late XXXX XXXX. Prepayments created non-round final payment amounts that triggered automatic autopay cancellation. 

EVIDENCE ITEM XXXX : WELLS FARGO COMPLAINT RESPONSE LETTER XX/XX/XXXX - Case # XXXX Documents Included : - Wells Fargo Enterprise Complaints Management response signed by XXXX XXXX, XXXX XXXX XXXX XXXX - XX/XX/XXXX debt confirmation letter - Online mortgage statements ( XXXX ) showing concealment of autopay cancellation Critical Admissions : Wells Fargo acknowledges `` we confirmed your unpaid principal balance was less than the total amount of your contractual monthly payment and we sent you the enclosed letter dated XX/XX/XXXX, that we stopped your automatic mortgage payments '' - contradicting their contract obligation to process lesser amounts. Despite acknowledging online statement preference, they used regular mail for critical notifications and can not confirm receipt. 

EVIDENCE ITEM XXXX : SYSTEMATIC PROCEDURAL FAILURES & BAD FAITH COMMUNICATIONS Documents Included : - XX/XX/XXXX " Right to Request Modified Mortgage Loan '' letter ( certified mail ) - XX/XX/XXXX loan payoff confirmation letter - XX/XX/XXXX confusing autopay cancellation warning for " already cancelled '' autopay Key Evidence : Wells Fargo used certified mail for loan modification solicitation, demonstrating capability that contradicts explanations for not using certified mail for critical autopay cancellation. Loan modification letter referenced foreclosure while Wells Fargo was aware that payment delays were related to their autopay cancellation. Post-payoff autopay correspondence demonstrates internal communication inconsistencies.

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