Wells Fargo Mortgage Complaint

Wells Fargo Mortgage department,

Home equity loan or line of credit Credit decision / Underwriting Colorado

I had a - year HEOLOC. with Wells Fargo Bank ( WFB ) The draw period, I thought was to end -/-/-. WFB called -/-/- and deceptively asked me to accept a fixed rate of 6.35 %. Believing I had to refinance, I unknowingly agreed to this offered interest rate. Unbeknownst to me, my HELOC had a role over clause. Meaning, that the contract had a conversion clause stating that at the end of the Draw Period the Loan would roll over to a Repayment period. The fixed interest at the conversion date would be based upon the Prime Rate ( 3.25 % ) plus 1.85 % margin. Being Naive and trusting of WFB I accepted with the caveat that it was to convert -/-/- ; or the date of the loan conversion according to the loan documents. I signed a note to accept the interest rate and not to draw any more money from the HELOC until the conversion date -/-/-.. That signed note only says I agree not to draw any more funds through the conversion date ( -/-/- ) It may have said I agreed to the offered interest rate, but I 'm not sure. That signed


I did made it clear that I accepted this only if the conversion date was to start at the end of the draw date -/-/-. Not knowing that WFB had prematurely converted the loan and expected payments of $480.00, I made payments -/-/- through -/-/- based on the Interest only payment clause of the HELOC agreement, or approximately -month. I believe Wells Fargo knowingly used deceptive, unfair, and misleading information, as well as knowingly omission of relevant information to trick me into agreeing to a higher fixed interest rate. They out right deceived me when WFB prematurely made the conversion -/-/-. I believe WFB knowingly mislead me to advance its interests by not providing me with adequate and truthful answers to questions I posed to the WFB representative with regards to interest rates options, and conversion dates. Wells Fargo knowingly deceived me by not disclosing what my interest rate would likely have been had I waited until the conversion date. WFB used unfair business practice by converting my loan prematurely. - Issues1 ) WFB converted the loan -/-/-, or - months before the agreed upon conversion date. This has cost me over $1200.00 in interest payments that should have been partially applied to the principal. In addition I have accrued over $400.00 in late fees as a result. 2 ) WFB used false and misleading information to get me to agree to a interest rate higher than I otherwise would have had, if WFB had not mislead me on the terms of my HELOC loan. There is an issue about being over my limit. The terms of the contract says that WFB could at any time extend my credit limit. -/-/- they did and they sent a letter confirming that. However I can not find that letter. I agree with WFB that I was over my limit.