Consumer complaint received 2025-11-03 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Interest rate
Company: WELLS FARGO & COMPANY
State: VA

Complaint narrative:
I am submitting this complaint regarding Wells Fargos inaccurate calculation of my mortgage loan balance, principal, principal and interest ( P & I ), escrow shortage, and monthly payment, as well as the mishandling of my case by their executive office representative, XXXX XXXX ( Wels Fargo Executive Office Representative ) assigned to my initial complaint ) My concern is the principal listed as XXXX as of XX/XX/XXXX, I made an extra payment of XXXX for 6 months ( total XXXX ), my principal should have decreased, instead it went up XXXX Loan Type : XX/XX/XXXX Adjustable-Rate Mortgage Interest Rate : 7.12 % as of XX/XX/XXXX Term Remaining : XXXX years XXXX. Incorrect Principal, Interest, escrow shortage and Loan Balance On XX/XX/XXXX, Wells Fargo sent me a payment change notice effective XX/XX/XXXX, showing : Principal : {$260.00}, Interest : {$610.00}?? ( Wells Fargo online listed as XXXX ) Escrow : {$270.00} XXXX : {$1100.00} However, Wells Fargos online system showed interest as {$580.00}, which matches my actual loan amortization schedule. The incorrect use of {$610.00} instead of {$580.00} led to an overstated monthly payment. 


Between XXXX and XX/XX/XXXX, I made extra payments of {$300.00} each month toward principal ( total of XXXX ), yet my principal balance increased instead of decreasing. This indicates Wells Fargo misapplied my payments or used incorrect balances and interest accruals in their calculations. 
Despite this, the servicer calculated my principal as {$280.00} for monthly payments and escrow, and my loan balance decreased from {$100000.00} ( XX/XX/XXXX ) to {$99000.00} ( XX/XX/XXXX ). After my regular payments in XXXX, XXXX, and XX/XX/XXXX ( {$1200.00} each ), my balance only decreased to {$98000.00}. As of XX/XX/XXXX, my XXXX is 6.5 %, principal portion {$290.00}, interest {$530.00}, escrow {$380.00}. 



XXXX. Escrow Shortage Miscalculation On XX/XX/XXXX, Wells Fargo reported an escrow shortage of {$1400.00}. 

After I switched homeowners insurance on XX/XX/XXXX, lowering the premium from {$1300.00} to {$880.00}, and deposited escrow refund of {$290.00} toward escrow on XX/XX/XXXX, the shortage should have been calculated as {$730.00} ( XXXX ) XXXX the difference between the previous and new home owners insurance Wells Fargo, however, continued to XXXX {$980.00} as the shortage in their system and subsequent recalculations. 

XXXX. Incorrect Monthly Payment Recalculation On XX/XX/XXXX, Wells Fargo issued a new payment notice showing a total monthly payment of {$1200.00}, which was based on : Principal of XXXX instead of XXXX Interest of {$610.00} ( incorrect ; should be {$580.00} ) Escrow shortage of {$980.00} ( incorrect ; should have been {$730.00} ) Because these figures were wrong, the total payment of {$1200.00} was miscalculated. 



On XX/XX/XXXX, Wells Fargo issued another payment change notice with a new interest rate of 6.5 %, showing : Principal : {$290.00}??? Why principal went up with the lower APR rate of XXXX from 7.12 %?? 
Interest : {$530.00} Escrow : {$380.00} calculated with inaccurate escrow shortage of XXXX instead of escrow shortage of XXXX XXXX : {$1200.00}??? 

This new payment was also based on the incorrect escrow shortage of {$980.00}, so it remains inaccurate. 


XXXX. Mishandling by Wells Fargo Executive Office Representative XXXX XXXX from the Wells Fargo Executive Office was assigned to my case. He : Insisted that {$610.00} was the correct interest amount, despite internal records showing {$580.00}. 
Asked me to send a screenshot from my online account to prove it. 
Claimed the {$290.00} payment was applied to the escrow shortage, but used the incorrect {$980.00} shortage in the recalculation. 
Sent multiple irrelevant documents, including XXXX calculations, even though I requested a recalculation only for XXXX, the year my insurance changed. 
Was unprofessional and unhelpful, refusing to accommodate reasonable scheduling for calls. 
Promised that the extra funds I paid would be refunded, but no refund has been issued. 

I have attached supporting documents, including escrow analyses Payment change notice for XX/XX/XXXX and XX/XX/XXXX Done by XXXX XXXX, Lending Operations Senior XXXX XXXX page of most recent calculation by XXXX XXXX XXXX pages with the confirmation numbers for additional monthly payments of XXXX XXXX page of premium homeowners insurance change notice, active on XX/XX/XXXX Thank you for your assistance in ensuring Wells Fargo corrects these errors and provides accurate account information. 






and correspondence with 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