Consumer complaint received 2026-05-26 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Confusing or misleading advertising or marketing
Company: WELLS FARGO & COMPANY
State: CA

Complaint narrative:
Company Name : Wells Fargo Home Mortgage Product/Services Misrepresented or Unauthorized : * * Mortgage misrepresented a refinance cash-out as a home equity loan or line of credit ( HELOC ) and a home purchase mortgage ( which had severe omissions ), and an unauthorized loan application on our VA-funded home that I am currently living in ( that included disclosures about an ARM ). Consumer Complaint Narrative I am filing this complaint because the lender mishandled multiple mortgage applications for XXXX separate real estate transactions from XX/XX/year>, through XX/XX/year>. The lenders records reflect XXXX separate applications tied to my profile, but I received only XXXX denial letter. I did not receive separate adverse action notices for each application. In addition, XXXX application was opened on XX/XX/XXXX without my authorization or consent. The XXXX applications were : - Application XXXX : Current home in XXXX XXXX VA cash-out refinance/ home equity loan. This application was authorized by me. - Application XXXX : XXXX XXXX, DC property new home purchase loan. This application was authorized by me. - Application XXXX : Current home in XXXX XXXX application opened on XX/XX/XXXX without my consent or signature. The denial letter I received cited a debt-to-income ratio and a high-cost loan disclosure. Those reasons do not appear to reflect the actual loan structure. Application XXXX was intended to pay off approximately {$120000.00} in existing debt, which should have reduced my debt-to-income ratio. Instead, the lender appears to have evaluated the file without properly accounting for that debt payoff. The lenders Loan Estimate documents also show that the APR fluctuates between XXXX % to XXXX %. Those fee changes appear to have contributed to the determination of the high-cost loan. I also did not receive any adverse action notice for Application XXXX or Application XXXX. Application XXXX was opened without my authorization and was later removed from the system without explanation. As a result of the lenders handling of these applications, I suffered substantial harm. I was forced to raise more than {$100000.00} in emergency gift funds from family to preserve the DC purchase. I was also forced to carry approximately {$120000.00} in debt into the new transaction, rather than having it paid off as originally structured. Despite that, I was still able to secure a XXXX % rate with another lender, suggesting the denial was not based on an accurate evaluation of my loan profile. I request that the Agency require the lender to : - Provide all internal records, audit logs, and employee access records related to Application XXXX. - Explain the fee changes that increased the APR from XXXX % to XXXX %. - Explain why separate adverse action notices were not issued for each application. - Explain why the refinance structure was not evaluated based on the debt payoff it was intended to accomplish. Complaint XXXX Company Name : Wells Fargo Bank Executive Management- Fraud and Investigation Product/Services Misrepresented or Unauthorized : Mortgage misrepresented a refinance cash-out as a home equity loan or line of credit ( HELOC ) and a home purchase mortgage ( which had severe omissions ), and an unauthorized loan application on our VA-funded home that I am currently living in ( that included disclosures about an ARM ). I am filing this complaint because the lender failed to properly handle my loan file after I raised concerns about the broker and branch management. I told executive managements independent investigator, in writing and verbally, that I did not trust the assigned broker, the brokers manager, and the manager of loan processing. I explained that I believed they were collectively concealing information, manipulating loan estimates, and jeopardizing XXXX active real estate transactions. I requested that the loan applications be reassigned to a different lending team. I also requested to receive executive oversight to ensure I would be protected from retaliation and/or to prevent the loan applications from being derailed to make the issues go away, but I received neither. Instead of protecting the loan applications, the lender allowed the situation to escalate. Shortly after I made my complaint, the brokers manager and the loan processing manager gave me verbal assurances that the loan would move forward, but the lender later issued a denial letter that effectively ended the refinance cash-out transaction. I requested that there be no further communication with the broker during my initial phone call with the investigator, and the investigator agreed to honor the request. On XX/XX/year>, the broker ( who had been told not to communicate with my wife or me ) called to inform me that my loan had been denied. I asked which XXXX, and he said both. When asked why, he disclosed only XXXX reason and refused to disclose the other XXXX. The lenders handling of this matter caused serious financial harm. I had to raise more than {$100000.00} in emergency funds to protect the DC purchase, and I am still carrying approximately {$120000.00} in debt into the new purchase. Closing date is XX/XX/year>. I was also forced to deal with the consequences of a disrupted loan process, even though I ultimately secured a XXXX % rate with another lender. I request that the Agency require the lender to explain : When my internal complaint was logged. What steps were taken to prevent the broker or branch managers from accessing or influencing the file? How the broker learned that I had complained. Who approved the assurances I was given after the complaint was recorded? Why was the file not reassigned to an independent team? Who approved the combined denial letter? What review was done regarding the XX/XX/XXXX unauthorized application? What corrective action, if any, has been taken against the broker and management team?

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