Consumer complaint received 2018-08-16 00:00:00
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — 
Company: WELLS FARGO & COMPANY
State: HI

Complaint narrative:
In XXXX of XXXX, we purchased a home. Shortly after purchase, the lender sold our loan to Wells Fargo. We began making payments to them XXXX of XXXX. Fats forward to XXXX of XXXX. We started receiving letters rom our insurance company that the premium was due. The first one we ignored thinking Wells Fargo would handle as we have an impound account. 

The letters continued so I contacted Wells Fargo directly. I put them in touch with our insurance company to handle the policy. They assured me they would. I received a cancelation from the insurance company and contacted Wells Fargo again. They assured me they were in contact the insurance company and would over night the payment. 

A few weeks later, we received a check from the insurance company stating an over payment. I assumed that the automatic payment from Wells Fargo had been received by the insurance company as well as the Over night payment, thus the over payment. 

Fast forward to XXXX of this year. I contacted our insurance company to update our insurance as we were installing solar. To my surprise they informed me that our policy had expired the prior XXXX. 

I contacted Wells Fargo who assured me we were insured. I was getting nowhere so I asked for a supervisor. I was placed in contact with XXXX XXXX, direct line XXXX. He also stated we were insured. I put him in contact with our former insurance company. After a few days he got back to me and told me the results of his investigation. They had sent the payment after the policy had expired so XXXX insurance automatically sent it back ( the over payment ). He said they were trying to work it out. 

This process was taking a long time without any insurance on the house I was panicked. I contacted insurance companies but could not get insurance as we were without insurance currently. I went back to XXXX who said they would insure us. I upgraded our insurance with them and advised Mr. XXXX to make certain they were paid as we were an impound account. He assured me they would. The policy was to take effect on XX/XX/XXXX. After approximately 2 weeks they hadnt and I was contact by XXXX stating they would cancel the policy if not received within a certain time period. Upon payment, he contacted me and all was taken care of. 

Fast-forward 3 months to XXXX. I received two letters from Well Fargo dated XX/XX/XXXX, received XX/XX/XXXX. The first packet was an insurance policy, instituted by Wells Fargo, covering us from XX/XX/XXXX. It was three times the amount we were paying XXXX for our policy. The second letter was canceling the policy from the first letter noting we had been covered with our own insurance effective XX/XX/XXXX. It also said we were being charged {$610.00} for the period from XXXX to XX/XX/XXXX. This is the first time I have ever heard of a retroactive insurance policy. 

We were not covered by insurance due to their XXXX up from mid XX/XX/XXXX to XX/XX/XXXX. Now they want to charge us for a retroactive period of time when we were not covered. I have placed a call to Mr. XXXX XXXX, Wells Fargo Insurance Department Supervisor on XX/XX/XXXX. I left a voice mail where the message he provides a returned call within 24 hours. Of course we are past that. I am attaching both letters.

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