Consumer complaint received 2025-06-04 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: WELLS FARGO & COMPANY
State: IL

Complaint narrative:
CFPB Complaint Rebuttal : Wells Fargo Home Mortgage Re : Unjustified {$90000.00} Interest Increase and Improper Escrow Charges Following Transfer from Wells Fargo Financial Illinois , Inc. 
I respectfully submit this rebuttal in response to Wells Fargo Home Mortgages reply to my complaint regarding the excessive and undocumented charges applied to my mortgage loan following the transfer from Wells Fargo Financial Illinois , Inc. ( WFFI ). 
Wells Fargo Home Mortgage has admitted that a break occurred in the servicing timeline, during which no clear records or explanation were provided by WFFI. Nonetheless, Wells Fargo calculated and added approximately {$90000.00} in accrued interest, based on a daily interest rate of {$63.00}, without any documented servicing, activity, or contractual notice to me as the borrower. 
________________________________________ Key Issues and Legal Concerns 1. Break in Servicing Timeline During Corporate Dissolution It is publicly known that Wells Fargo Financial Illinois , Inc. ceased its mortgage operations and began dissolving as a business during the XXXX financial reform period. The gap identified by Wells Fargo Home Mortgage appears to coincide with this period meaning no servicer was actively managing or maintaining my account. 
Despite this, I was never notified of any suspension or transfer of servicing, nor was I offered any resolution or mitigation. Instead, I have been penalized with nearly {$90000.00} in interest for a period Wells Fargo itself admits they can not explain. 
2. Unjust Enrichment and Lack of Legal Justification Charging interest for a period of unclear or non-existent servicing without legal or contractual justification is a form of unjust enrichment. It is inappropriate for the servicer to financially benefit from a period during which they failed to act or document activity, especially when the burden falls entirely on the borrower. 
3. RESPA Violations and Lack of Transparency Under the Real Estate Settlement Procedures Act ( RESPA ), mortgage servicers are required to : Maintain accurate and accessible records, Inform borrowers of servicing transfers, and Respond adequately to disputes and documentation requests. 
Wells Fargo has failed to provide any servicing records for the interest it added. No documentation, timeline, or calculation worksheet has been made available to support the interest charges or escrow adjustments. 
4. Improper Escrow Charges for Insurance and Property Taxes I have also been billed for unpaid property taxes and hazard insurance for the same period of unrecorded servicing. However : No insurance policy was in force during this time, No insurance claims were ever filed or paid, No escrow disbursements occurred to cover these items. 
I respectfully object to being charged for insurance that was never actually placed or paid, and for taxes that were missed due to the servicers own neglect or corporate dissolution. These charges represent a false benefit and should be removed from my account. Under RESPA regulations and CFPB servicing standards ( 12 CFR 1024.37 ), a lender may only charge for lender-placed insurance if such coverage was in effect, paid for, and disclosed in advance none of which occurred in my case. 
________________________________________ Requested Action : I ask the CFPB to require that Wells Fargo Home Mortgage : 1. Provide a full and transparent accounting of how the {$90000.00} interest was calculated, including : o All daily interest logs, o Servicing notes, and o Explanation of any corporate transition that affected the timeline.

2. Produce the full escrow history, including : o Any records of insurance placement or payment, o Any notices or billing related to taxes or insurance during the gap.

3. Remove all unjustified interest and escrow charges applied during the period of servicing confusion or inactivity.

4. Ensure Wells Fargo is held accountable for any servicing violations under RESPA and CFPB rules.

5. Compensation from {$90000.00} of the additional interest.

6. Compensation from billed for unpaid property taxes and hazard insurance for the ________________________________________ Closing : This situation has caused significant financial and emotional distress. It is unreasonable to expect a borrower to pay tens of thousands of dollars in charges arising solely from a corporate restructuring failure, made worse by a complete lack of transparency or documentation. I request that the Bureau investigate this matter closely and help bring resolution to these unfair and unsupported charges.

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