Consumer complaint received 2024-02-07 00:00:00
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — Paying off the loan
Company: WELLS FARGO & COMPANY
State: LA

Complaint narrative:
XX/XX/XXXX, a LOAN application was submitted 30 days previous through XXXX XXXX XXXX XXXX XXXX XXXX, Louisiana through their XXXX, Louisiana branch, under the assumption that a loan would be provided for the purchase of a home at XXXX XXXX XXXX XXXX XXXX, Louisiana XXXX. 

At closing, no check was presented indicating a loan was provided from the lender. We closed on the property under the understanding that XXXX XXXX XXXXXXXX, has deposited a check or capital from their corporate account, into the title company, which in turn paid off the sellers. No indication was ever given that the amount did not come from XXXX XXXX XXXX 's bank account. Nor did XXXX XXXX XXXX state that they used the Credit Application as collateral to acquire funds from the Federal Reserve Bank and XXXX XXXX XXXX in the form of funds and they issued a credit to our account. This was truly misleading. 

Under Title 12 USC 412, the Application for Federal Reserve Notes must be accompanied by Collateral, which was the Application and Promissory note itself. Nowhere in the USC or Federal Reserve Act of XXXX does it say that any property is to be held as collateral? This is where FULL DISCLOSURE was not provided from either the title company, XXXX XXXX XXXX or Wells Fargo Home Mortgage who was the servicer and the foreclosing entity by way of their attorney. 

Under Federal Reserve Operating Circular No.10 ( ten ) the note and the application were all required for the Federal Reserve System to issue funds for that transaction. So why would XXXX XXXX XXXX, Wells Fargo Home Mortgage, and any other entity require a XXXX mortgage if they received the funds already to settle the account? All accounting on the loan was requested and neither Wells Fargo nor XXXX XXXX XXXX could or would produce the full accounting for the loan. 

XXXX XXXX XXXX of XX/XX/XXXX, was a provision of the later XXXX XXXX for this very situation. Neither the original lender, XXXX XXXX XXXX nor Wells Fargo Home Mortgage placed any consideration in the transaction at all. In essence NO SKIN in the transaction. Neither entity could or would produce the original wet ink note for review. 

How can the servicer foreclose, keep all the payments, and not be anywhere on the Deed of Trust recording at the XXXX XXXXXXXX XXXX XXXX XXXX? Neither could produce their authority to do anything. Is it fair, legal, and lawful to keep the alleged debt instrument, all payments, proceeds, and capital gains from securitizing the loan, plus the funds from the Federal Reserve Bank, and take the property as collateral without risking any of their funds in the process? Not to mention, they paid no TAXES on the funds received at closing or any of the payments over 8 years. 

Why is it that the CFPB quickly closes a case for the banks based on their words and does not look at all the facts presented? I say this because this is the second time this has had to be reported. Fraud has no statute of limitation and for the CFPB to be aware of the Billions of Dollars that Wells Fargo has had to pay out in fines for their fraudulent actions over the years, for the very same things mentioned here, there is a pattern of wrongdoings. Case # XXXX in XXXX XXXX XXXX XXXX XXXX, no indication that Wells Fargo or XXXX XXXX XXXX is the Grantee of a loan or on the Deed of Trust anywhere, you will see who did sign as grantee.

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