Wells Fargo — deceptive mortgage practices
To whom it may concern,
I asked for a quote for a 15-year home mortgage from Wells Fargo in Raleigh/Chapel Hill North Carolina in April. The person in charge was Nolan Link. The rate quoted was 3.25%, with zero points, and 90 day lock. I had another quote for 3.125% from Bank of America, but since I had my checking/savings accounts at WF preferred to keep my banking in one place, so Nolan and I then had a phone conversation where I indicated that I would go with Wells Fargo if he could match another quote for 3.125%. He said he could do this and sent me an updated quote with the new rate, which I initially agreed to.
However, I didn’t notice until later that he had actually changed the agreement in two additional ways without telling me: I first noticed that Nolan added .5 points to the agreement (worth about $2, 000), which he later agreed to remove after I confronted him about it. But not only that, I then noticed that he reduced the lock period to 45 days instead of the original 90, and he later asked for nearly $2, 000 in additional fees to extend the lock date back to the original 90 days. Neither of these modifications were discussed explicitly with or agreed to by me, and both were clearly ways to add additional fees not in the original quote/agreement.
Given both these issues I decided terminated the process with Wells Fargo and instead will now go with a more transparent lender. Both attempts to change the agreement without my knowledge and extract extra fees from me were deceptive and unethical, and it was only because I had multiple quotes and was paying close attention to the details that I noticed this. My guess is other borrowers would not notice fees getting surreptitiously slipped in like this. I have now alerted my realtor to let his clients know Wells Fargo is not a trustworthy lender in this area.