Home equity loan criteria

home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity loan criteria

Home equity financing

Home equity loan and line customer service

Mortgage customer service

There is no limit on the maximum amount of a fixed rate advance taken at origination (up to your credit limit). The minimum fixed rate advance amount is ,000. After account opening, additional fixed rate advances may not exceed 0,000 of the aggregate principal balance, or your credit limit, whichever is less. You may request up to 2 fixed rate advances each year with up to 3 fixed rate advances at one time. Fixed rate advances have a term of 1 to 20 years, depending on the amount advanced; except that for Texas homestead secured accounts, the term is 1 to10 years.

Terms: The line of credit has a draw period of 10 years plus 1 month, after which you will no longer have access to borrow funds and will be required to repay the borrowed balance within a 20-year term. There is a required minimum monthly payment of 0. The account is subject to application, credit qualification, and income verification; additional evaluation and verification criteria may apply. Your actual APR will depend upon your credit transaction and credit history and will be determined when a credit decision is made. For questions, please contact us at 1-800-668-4730.

APR and Fees: The APR for a Wells Fargo Home Equity Line of Credit is variable and based on the highest prime rate published in the Western edition of The Wall Street Journal "Money Rates" table (called the "Index9quot;) plus a margin. The index as of the last change date of March 16, 2017, is 4.00%. As of May 5, 2017, margins range from 4.750% to 0.000% for lines of credit from ,000 to 9,999 secured by owner-occupied properties with 70% combined loan-to-value. Corresponding variable APRs range from 8.750% to 4.00%. The minimum line of credit amount is ,000. Your minimum APR, including discounts can't go below the 1% floor rate. Your variable rate won't increase more than 2% per year based on your anniversary date and will never be more than 7% higher than where you started (maximum of 18%).

There is a annual fee, which is waived for the first year. Your annual fee may be waived thereafter; please talk to a banker for details. If you apply prior to 5/13/17, a 0 prepayment fee may apply if the account is closed within three years of account opening; if you apply on or after 5/13/17, a 0 prepayment fee may apply. Account opening fees, including applicable state or local mortgage taxes, may be paid to Wells Fargo, its affiliates or third parties and range from to ,000 depending on the property type, the state in which the property is located and the amount of credit extended. Hazard and, if applicable, flood insurance is required.

Relationship discounts: If you don't have an eligible Portfolio by Wells Fargo® account at the time you open your home equity line of credit, other lesser discounts may be available to you and will require automatic payments from a qualified consumer deposit account. To find out which accounts qualify for a relationship discount, contact a Wells Fargo banker. Relationship discounts cannot be combined.

Availability may be affected by your mobile device's coverage area.

Access checks are not available in Texas. ATM card access and the Enhanced Access® Visa® credit card are not available in Connecticut, New York, or Texas.

New Wells Fargo Home Equity Accounts are subject to credit qualification, income verification, and collateral evaluation. To qualify for a customer relationship discount, you must maintain a qualifying Wells Fargo consumer checking account and make automatic payments to your home equity line of credit from any deposit account. To learn which accounts qualify for the discount, please consult a Wells Fargo banker. Only one qualifying discount per new Wells Fargo home equity line of credit will apply. Wells Fargo Bank, N.A. Member FDIC. Additional restrictions, limitations, and exclusions may apply.

Wells Fargo Home Mortgage is a division of Wells Fargo Bank, N.A.

Please find below 3 home equity loans offered by Wells Fargo. Use the filters to refine or expand your home equity loan search.

WalletHub is an independent comparison service.

We work hard to present you with accurate home equity loan information on this page. However, this information does not originate from us and therefore its accuracy. You can check the details page of each offer for the date the information was last updated on WalletHub. In addition, keep in mind that actual rates and other information may vary for a number of reasons including the applicants' creditworthiness and differences between an individual's situation and the criteria/assumptions used to generate the information displayed. Before submitting an application, always verify all terms and conditions with the offering institution. Please if you notice any differences.

Ad Disclosure: Offers originating from paying advertisers are noted as "Sponsored9quot; on the offer's details page. Advertising may impact how and where offers appear on this site (including, for example, the order in which they appear). At WalletHub we try to list as many home equity loan offers as possible but we don't make any representation of listing all available offers.

Irrespective of whether an offering institution is a paid advertiser, the presence of offer information on WalletHub does not constitute a referral or endorsement of the institution by us or vice versa. Furthermore, non-sponsored offers have not been reviewed or approved by the offering institution. Information is displayed first and foremost to help consumers make better decisions.

Home equity loan criteria

but waived for the first year

App Fee: Info Not Found

Closing Fees:

  • 0.375% discount for a qualified Wells Fargo PMA® Package relationship.
  • Hazard insurance needed. Home equity loan criteria

    but waived for the first year

    App Fee: Info Not Found

    Closing Fees:

  • 0.375% discount for a qualified Wells Fargo PMA® Package relationship.
  • Hazard insurance needed. Home equity loan criteria

    but waived for the first year

    App Fee: Info Not Found

    Closing Fees:

  • 0.375% discount for a qualified Wells Fargo PMA® Package relationship.
  • Hazard insurance needed.

    No Home Equity Loans Available from Wells Fargo

    If you are an authorized representative of Wells Fargo, please to have your products included.

    WELLS FARGO HOME EQUITY LOAN REVIEWS

    Ask a question about Wells Fargo Home Equity Loans

    Home equity loan criteria

    Q: What is the minimum credit score required?

    Home equity loan criteria

    A: It depends on the financial product you are interested in. You can visit Wells Fargo’s WalletHub profile to find the products offered and credit scores required: https://wallethub.com/profile/WellsFargo/.

    Home equity loan criteria

    Q: How can I get a lower interest rate?

    I have never missed a payment and it is a mobile home with less than 6 years of payment.

    Home equity loan criteria

    A: Unfortunately, this information is not made available on the bank’s website. Please call customer service at 800-869-3557 for more details.

    Home equity loan criteria

    Q: How can I receive help in paying debt?

    I have poor credit. The debt consists of a judgement and the existing home equity loan. Total ,000.

    Home equity loan criteria

    A: Wells Fargo offers help for people with payment challenges. Please find more details here: https://www.wellsfargo.com/mortgage/manage-account/payment-help/. You can also call a Wells Fargo representative at 800-678-7986 to discuss your options.

    Home equity loan criteria

    Q: How do I reorder more checks for my home equity loan?

    Home equity loan criteria

    A: Please call Wells Fargo at 800-667-5852 to order home equity loan checks. The bank will have those mailed to you.

    Home equity loan criteria

    Q: Why does a person have a HELOC with interest and no principal to pay back?

    Home equity loan criteria

    A: Unfortunately, this information is not made available on the bank’s website. Please call Wells Fargo at 866-820-9199 to talk to representative about your HELOC account.

    Home equity loan criteria

    Q: What are the requirements for Wells Fargo home equity loans? What is the time frame to process an application?

    Home equity loan criteria

    A: You will need to provide your financial information (monthly income, debts and assets), property information (the home’s value), funds needed and social security number. You can apply online here: https://apply.wellsfargo.com/common_auth_start?token=GiaoMXXMlMpRVegWJUfh0Fk9OuXRk71x. You can track your loan application here: https://www.wellsfargo.com/mortgage/apply/your-loan-tracker-benefits/. The bank will contact you within 5 days after submitting your application. .

    Home equity loan criteria

    Q: Do you give home equity loans to a Canadian who owns a property in Chandler?

    Home equity loan criteria

    A: No, you won’t be able to apply for a home equity loan if you do not hold a valid Social Security Number.

    Home equity loan criteria

    Q: I have a modified first mortgage. Do I qualify for a home equity loan with Wells Fargo?

    Home equity loan criteria

    A: Unfortunately, this information is not made available on the bank’s website. Please call customer service at 888-667-1772 for more details.

    Home equity loan criteria

    Q: What is the minimum credit score?

    Home equity loan criteria

    A: Most of Wells Fargo’s credit cards are designed for people with excellent credit score (720+). Wells Fargo also offers a secured credit card for people with bad credit (below 620). Please find more details here: https://www.wellsfargo.com/credit-cards/.

    Home equity loan criteria

    Q: Does Wells Fargo offer HELOC for ,000?

    Home equity loan criteria

    A: The amount of the HELOC is determined based on your credit score, available equity and current debt. Please find out more or apply online here: https://www.wellsfargo.com/equity/.

    In the event that in a given week, for this product, there were multiple applicable rates in our database based on different criteria, the above graph reflects the lowest interest rate recorded. Before submitting an application, always verify with the issuing institution (i.e. bank, credit union, other lender) the rates, fees, and all terms and conditions accompanying the application.

    Mortgage customer service

    Home equity financing

    Home equity loan and line customer service

    Important information. At this time, Wells Fargo only accepts online applications for a Personal Loan or Line of Credit from existing Wells Fargo customers.  Please visit a to speak to a banker about credit options that don’t require an existing Wells Fargo relationship.

    Mortgage customer service

    Home equity financing

    Home equity loan and line customer service

    Wells Fargo is one of the largest U.S. banks and a major presence in the country’s mortgage market. It is the nation’s fourth-largest bank in terms of total assets and is the biggest mortgage bank in terms of both mortgage lending and servicing.

    Headquartered in San Francisco, it was founded in 1852 as a banking and express company, and its early involvement in overland mail service is still reflected in its iconic stagecoach logo. It was long known as a western regional bank, but expansion and mergers in recent decades have brought it to the point where it now has more than 9,000 branches in 39 states and the District of Columbia.

    Wells Fargo holds the nation’s highest customer satisfaction ranking among large banks, according to the American Customer Satisfaction Index, a status it has held for several years. It ranks as the nation’s #1 small business lender (Community Reinvestment Act data) and the top originator to minority and low-income neighborhoods (Home Mortgage Disclosure Act data).

    Wells Fargo offers a variety of home loan products, including mortgages, mortgage refinancing, home equity loans, home equity lines of credit (s), home improvement loans and construction loans. Lending options include 30- and 15-year fixed-rate mortgages, and adjustable rate mortgages (ARMs) with initial terms of 3, 5, 7 or 10 years.

    Wells Fargo does not currently offer (Home Equity Conversion Mortgages), having discontinued them in June 2011 due to unpredictable home values. It’s not known if the company plans to resume such lending once the housing market stabilizes.

    You can obtain a Wells Fargo mortgage either directly through a Wells Fargo retail branch or through a mortgage broker. Mortgage brokers do not lend directly to borrowers, but work with multiple lenders to help borrowers find the one that best meets their needs, then assists with closing the loan.

    Wells Fargo is an approved lender for both FHA and VA mortgages.

    The mortgage industry is highly competitive, and major banks like Wells Fargo strive to attractive loan packages to their customers. Wells Fargo mortgage rates vary according to a number of factors, including loan type, length of the loan, the borrower’s credit rating, discount points, the amount borrowed, the size of the down payment, where the property is located and others.

    Generally speaking, mortgage rates are lower on shorter term loans than they are on long-term ones. So interest rates on a 15-year fixed-rate mortgage will be much lower than on a 30-year mortgage available to the same borrower. Mortgage rates on ARMs tend to be even lower, since you’re only locking in the rate for a few years, rather than 15 or 30. However, be aware that rates on ARMs reset after their initial terms toward the prevailing market rates and will continue to do so periodically unless the mortgage is refinanced.

    Your credit score is another major factor that affects your interest rate on a Wells Fargo mortgage. To get the lowest mortgage rates, you typically need a FICO score of 740 and above. Rates increase slightly down to about a score of 700, then begin to rise sharply from there. Anything around 620 or below will carry a steep premium in terms of a higher rate.

    Discount points also affect your mortgage rate. These are a way of pre-paying mortgage interest in order to lower your mortgage rate. Each point costs one percent of the loan amount (one point) and can be used to buy down your mortgage rate. This can be useful for homeowners who expect to be in the property long enough for the lower rate to offset the higher up-front costs of buying points.

    Wells Fargo mortgage rates will be higher on "jumbo9quot; loans, which are mortgages that exceed the amounts for "conforming9quot; mortgages that Fannie Mae and Freddie Mac will guarantee. These limits range from 7,000 to 9,750, and vary by county.

    Wells Fargo mortgage refinancing programs are much the same as their mortgages, with similar rates. Many of the same rules and loan products apply. However, there are some key differences.

    Mortgage refinance rates are pretty much the same as mortgage rates for purchasing a home. However, if rates have fallen since you bought your home, you can reduce your rate by refinancing, which is basically replacing your old mortgage with a new one.

    allows you another way to save money by shortening your term. If you’ve been paying on a 30-year mortgage for several years and refinance it into a 15-year mortgage, you’ll not only pay it off faster, but get a really low rate as well, since interest rates on 15-year mortgages have been running much lower than those on 30-year loans.

    Wells Fargo is a participant in the federal Home Affordable Refinance Program (HARP), which is designed to allow certain creditworthy borrowers to refinance their mortgages despite being in negative equity, or "underwater9quot; on their mortgages, owing more than their property is worth. Borrowers approved for a HARP refinance should expect to pay a somewhat higher rate than on a regular refinance where the borrower has equity in the home, but the amount is capped by program rules.

    Wells Fargo also offers a variety of loan programs for homeowners who wish to borrow against their home equity. Such loans are often used for making home improvements, paying medical bills, covering college costs or other major expenses.

    A Wells Fargo home equity loan allows you to borrow a certain amount of money in one lump sum and pay it back over 5-20 years. Interest rates are fixed, and tend to be higher than on home purchase mortgages or refinanced mortgages.

    A Wells Fargo home equity line of credit (HELOC) authorizes you to borrow funds as needed, up to a certain limit, much like using a credit card secured by your house. Interest rates are lower than on a home equity loan, but you can choose between a fixed or a variable interest rate.

    You can also do a cash-out refinance in which you simply refinance your entire mortgage while taking out some of the equity as cash at the end of the transaction. Interest rates on a cash-out refinance are usually higher than on a regular refinance.

    The amount you can borrow in any home equity loan will be limited by how much equity you have; Wells Fargo does not indicate a set limit, but the general rule of thumb in the current market is that borrowers should retain at least 15-20 percent equity after taking out the loan.

    Wells Fargo also offers a program where the cost of mortgage insurance is built into your interest rate, which may provide tax advantages for certain borrowers. Mortgage insurance is required on any home loan with less than a 20 percent down payment, or refinancing with less than 20 percent equity. The Wells Fargo option is called lended-paid mortgage insurance (LPMI); the other option is private mortgage insurance (PMI), which is paid through a fee added to your monthly mortgage statement.

    A pioneer in online banking, Wells Fargo makes it easy for customers to obtain information about their mortgage products, submit inquiries or initiate the loan process through their web site, wellsfargo.com, You can also contact the company by phone at 1-800-869-3557.

    Home equity loan criteria Shutterstock

    Home-equity lending is making something of a comeback. After being nearly shut down with the collapse of housing prices during the Great Recession, lenders are once again opening up their wallets and allowing people to borrow against the value of their homes.

    Newly originated home-equity loans and lines of credit rose by nearly a third during the first nine months of 2013, compared with the same period 12 months earlier, according to industry publication Inside Mortgage Finance.

    While still only a fraction of its pre-crash levels—total 2013 home-equity lending is estimated at billion, compared with a peak of 0 billion in 2006—rising home values in recent years are putting more equity in borrowers’ hands, while a gradually stabilizing economy is giving lenders more confidence to lend.

    So the fact that they’re making a comeback is one thing to know about home-equity loans. If you’re thinking about pursuing one, here are four other things you’ll need to know.

    1. You’ll Need Equity

    Equity, of course, is the share of your home that you actually own, versus that which you still owe to the bank. So if your home is valued at 0,000 and you still owe 0,000 on your mortgage, you have ,000 in equity, or 20%.

    That’s more commonly described in terms of a loan-to-value ratio—that is, the remaining balance on your loan compared with the value of the property—which in this case would be 80% (0,000 being 80% of 0,000).

    Generally speaking, lenders are going to want you to have at least an 80% loan-to-value ratio remaining after the home-equity loan. That means you’ll need to own more than 20% of your home . So if you have a 0,000 home, you’d need at least 30% equity—a loan balance of no more than 5,000—in order to qualify for a ,000 home-equity loan or line of credit.

    2. One of Two Types

    There are two main types of home-equity loans. The first is the standard home-equity loan, where you borrow a single lump sum. The second is a home equity line of credit, or HELOC, where the lender authorizes you to borrow smaller sums as needed, up to a certain fixed amount. The type you choose depends on why you need the money.

    If you’re looking at a single, major expense—such as replacing the roof on your home—a standard home-equity loan is usually the best way to go. You can get these as either a fixed- or adjustable-rate loan, to be repaid over a predetermined length of time, up to 30 years. You’ll need to pay closing costs, though they’re much less than you would see on a full mortgage.

    If you need to access various amounts of money over time—such as if you’re doing a home improvement project over a few months, for example, or to support a small business you’re starting—a home equity line of credit may be more suitable to your needs.

    With a HELOC, you’re given a predetermined limit you’re allowed to borrow against as you wish. You only pay interest on what you actually borrow and you don’t have to begin repaying the loan until a certain period of time, known as the draw (typically 10 years), has elapsed. There are usually no closing costs, though you may have to pay an annual fee. The interest rates are adjustable, meaning you don’t get the predictability offered by a fixed-rate standard home-equity loan, though you can often convert a HELOC to a fixed rate once the draw period ends.

    There’s one thing about home-equity loans—they’re not particularly useful for borrowing small amounts of money. Lenders typically don’t want to be bothered with making small loans — ,000 is about the smallest you can get. Bank of America, for example, has a minimum of ,000 on its home-equity loans, while Wells Fargo won’t go below ,000. Discover offers home-equity loans in the range of ,000 to 0,000.

    If you don’t need quite that much, you can opt for a HELOC and only borrow what you need. Remember though, that you still may be charged an annual fee for the duration of the draw period.

    Even if you plan to use only a fraction of your line of credit, say ,000 out of a ,000 HELOC, you’ll still need to have enough equity in your home to cover the full amount. So if the smallest home-equity loan or line of credit your lender will allow is ,000, you’ll need to have at least ,000 in home equity over and above the 20% equity you’ll need left after taking out the loan.

    4. It’s Still a Mortgage

    It’s easy to forget sometimes, but a home-equity loan or line of credit is a type of mortgage, just like the primary home loan you used to fund the purchase of your home. And as a mortgage, it offers certain advantages and disadvantages.

    One of the advantages is that the interest you pay is usually tax-deductible for those who itemize deductions, the same as regular mortgage interest. Federal tax law allows you to deduct mortgage interest on up to 0,000 in home equity debt (,000 apiece for married persons filing separately). There are certain limitations though, so check with a tax adviser to determine your own eligibility.

    Second, because it is a mortgage secured by your home, the rates tend to be lower than you’d pay on credit cards or other unsecured loans. They do tend to be somewhat higher than what you’d currently pay for a full mortgage, however.

    On the downside, because the debt is secured by your home, your property is at risk if you fail to make the payments. You can be foreclosed on and lose your home if you’re delinquent on a home-equity loan, the same as on your primary mortgage. The difference is that in a foreclosure, the primary mortgage lender is paid off first, and then the home-equity lender is paid off out of whatever is left.

    So you want to treat a home-equity loan with the same seriousness you would a regular mortgage. That’s the most important thing of all to know.

    [Editor’s Note: If you’re considering applying for a home-equity loan or HELOC, it’s important to make sure you get the best terms possible, which means making sure . You can check your credit scores for free using the Credit Report Card, a tool that updates two of your credit scores every month and shows your credit profile’s strengths and weaknesses.]

    This article originally appeared on Credit.com.

    More From Credit.com:

    Kirk Haverkamp is a contributor to Credit.com and chief staff writer and editor for MortgageLoan.com. He covers the mortgage and personal finance industry from both a consumer and industry perspective, and provides guidance for consumers on how to approach the sometimes intimidating process of obtaining the right mortgage and personal finance products for their needs.

    You Don’t Need Another Credit Card, You Need A Better One.

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    This advertisement is provided by Bankrate, which compiles rate data from more than 4,800 financial institutions. Bankrate is paid by financial institutions whenever users click on display advertisements or on rate table listings enhanced with features like logos, navigation links, and toll free numbers. Dow Jones receives a share of these revenues when users click on a paid placement.

    Terms: The line of credit has a draw period of 10 years plus 1 month, after which you will no longer have access to borrow funds and will be required to repay the borrowed balance within a 20-year term. There is a required minimum monthly payment of 0. The account is subject to application, credit qualification, and income verification; additional evaluation and verification criteria may apply. Your actual APR will depend upon your credit transaction and credit history and will be determined when a credit decision is made. For questions, please contact us at 1-800-668-4730.

    APR and Fees: The APR for a Wells Fargo Home Equity Line of Credit is variable and based on the highest prime rate published in the Western edition of The Wall Street Journal "Money Rates" table (called the "Index9quot;) plus a margin. The index as of the last change date of March 16, 2017, is 4.00%. As of May 5, 2017, margins range from 4.750% to 0.000% for lines of credit from ,000 to 9,999 secured by owner-occupied properties with 70% combined loan-to-value. Corresponding variable APRs range from 8.750% to 4.00%. The minimum line of credit amount is ,000. Your minimum APR, including discounts can't go below the 1% floor rate. Your variable rate won't increase more than 2% per year based on your anniversary date and will never be more than 7% higher than where you started (maximum of 18%).

    There is a annual fee, which is waived for the first year. Your annual fee may be waived thereafter; please talk to a banker for details. If you apply prior to 5/13/17, a 0 prepayment fee may apply if the account is closed within three years of account opening; if you apply on or after 5/13/17, a 0 prepayment fee may apply. Account opening fees, including applicable state or local mortgage taxes, may be paid to Wells Fargo, its affiliates or third parties and range from to ,000 depending on the property type, the state in which the property is located and the amount of credit extended. Hazard and, if applicable, flood insurance is required.

    Relationship discounts: If you don't have an eligible Portfolio by Wells Fargo® account at the time you open your home equity line of credit, other lesser discounts may be available to you and will require automatic payments from a qualified consumer deposit account. To find out which accounts qualify for a relationship discount, contact a Wells Fargo banker. Relationship discounts cannot be combined.

    Access checks are not available in Texas. ATM card access and the Enhanced Access® Visa® credit card are not available in Connecticut, New York, or Texas.

    There is no limit on the maximum amount of a fixed rate advance taken at origination (up to your credit limit). The minimum fixed rate advance amount is ,000. After account opening, additional fixed rate advances may not exceed 0,000 of the aggregate principal balance, or your credit limit, whichever is less. You may request up to 2 fixed rate advances each year with up to 3 fixed rate advances at one time. Fixed rate advances have a term of 1 to 20 years, depending on the amount advanced; except that for Texas homestead secured accounts, the term is 1 to10 years.

    Consult your tax advisor regarding deductibility of interest.

    Wells Fargo Home Mortgage is a division of Wells Fargo Bank, N.A.

    U.S. banks are easing credit standards in search of a safe and profitable middle ground after an era of reckless home lending gave way to the stiffest rules in decades, putting a damper on the housing recovery.

    Wells Fargo & Co., the biggest U.S. home lender, two weeks ago cut its minimum credit score for borrowers of Fannie Mae-and Freddie Mac-backed loans to 620 from 660. The step followed moves by smaller lenders, such as the U.S. unit of Canada’s Toronto-Dominion Bank, which lowered down payments to 3 percent without requiring mortgage insurance for some loans.

    Banks ratcheted up borrowing requirements after the most severe housing crash since the Great Depression, preventing 1.2 million loans from being made in 2012, according to an Urban Institute paper. Lenders rode a wave of refinancing until a spike in borrowing costs last year gutted demand, forcing the biggest banks to cut more than 25,000 mortgage jobs. Now they’re removing barriers to mortgages for some borrowers in hopes of reviving a shrinking market.

    “We threw the baby out with the bathwater because we had to,” said Rick Soukoulis, chief executive officer of San Jose, California-based lender Western Bancorp. “From there, you start to inch back. If you keep selling only what isn’t selling, you’re just dead.”

    In March, credit standards were the loosest in at least two years, according to a Mortgage Bankers Association index. The measure, based on underwriting guidelines, rose to 114 from 100 when it started in 2012. The index would have been at about 800 in 2007, meaning credit was eight times looser that year, before standards were tightened.

    Home buyers with higher debt and lower FICO credit scores are now a growing minority among borrowers of loans backed by Fannie Mae and Freddie Mac, the government-owned mortgage giants.

    Almost 16 percent of the mortgages for home purchases in March went to borrowers with monthly debt obligations exceeding 43 percent of their pay, according to data compiled by Morgan Stanley. That’s up from 13.4 percent in mid-2012. Federal rules deployed in January expose lenders to liabilities if their mortgages without government backing require payments that, when combined with other debts, exceed 43 percent of the borrower’s income, without proof they can be repaid.

    More than 23 percent of the mortgages in March went to property buyers with credit scores less than 720, an above-average measure on Fair Isaac Corp.’s scale that ranges from 300 to 850. That’s an increase from 15.6 percent in mid-2012, according to Morgan Stanley.

    After housing values collapsed in 2008, banks raised their credit standards to the highest level in more than two decades. By 2011, the average credit score of an approved mortgage reached 750, according to mortgage processor Ellie Mae. Fannie Mae required only a score of 620 after raising its minimum from 580 in 2009.

    “The pendulum swung too far,” said John Taylor, CEO of the National Community Reinvestment Coalition, a Washington-based organization that brings credit and banking services to middle- and low-income consumers. “They over-tightened the standards to the point where qualified borrowers couldn’t get access to credit.”

    The banks boosted requirements partly to stem the costs of having to repurchase soured mortgages. As defaults soared, Fannie Mae and Freddie Mac used a clause in their purchase agreements that let them return loans to lenders if they went bad after faulty underwriting.

    In 2009, Fannie Mae asked lenders to buy back .4 billion of mortgages, according to a regulatory filing. The number soared to .8 billion in 2012, eating into banks’ earnings, before dropping to .5 billion last year, according to filings.

    Franklin Codel, head of production for San Francisco-based Wells Fargo, said clearer communication with Fannie Mae and Freddie Mac about underwriting rules is now allowing the bank to widen credit availability.

    “We have more confidence that should the loans go into default we’ve done our job properly and we aren’t going to get a repurchase,” Codel said.

    While Fannie Mae and Freddie Mac borrowers with lower credit scores must prove the ability to sustain homeownership, Wells Fargo will look for “compensating factors” to close the loan, Codel said. That may include requesting an explanation of a credit history event, reviewing the strength of income and the stability of employment, he said.

    Lenders are also relaxing requirements in response to a drop in demand for mortgages. In 2013, a surge in borrowing costs undercut the refinancing boom. Interest rates on 30-year fixed-rate mortgages rose from a record low of 3.31 percent in November 2012 to 4.58 percent in late August, according to Freddie Mac surveys. Rates fell last week to 4.33 percent.

    Home prices that have risen 28 percent since a 10-year low in 2012 have also stymied lending, particularly to first-time buyers. Cash purchases mostly by investors have filled the void, accounting for 33 percent of sales in March compared with 12 percent in mid-2009, according to the National Association of Realtors.

    In April, Mortgage Bankers Association Chief Economist Mike Fratantoni lowered his forecast for home-purchase loans in 2014 to 6 billion. That compares with 2 billion last year. He also reduced his forecast for total originations this year by 0 billion to .07 trillion. In 2013, lenders originated .76 trillion in mortgage credit.

    As mortgage volumes decline, lenders are suffering losses. Only 58 percent of independent mortgage banks and bank home-loan units were profitable in the final quarter of 2013, according to a Mortgage Bankers Association survey. JPMorgan Chase & Co., the second-biggest U.S. mortgage lender, said in April that its origination business lost money last quarter and would again do so in the second period.

    To increase lending, Wells Fargo has made it easier for borrowers who would have limited equity to include gifts from relatives as part of a down payment, Codel said. In January, the bank began to accept borrowers with credit scores of 600, down from 640, for FHA loans.

    Wells Fargo also will increase its loan-to-value ratios, permitting larger mortgages relative to the worth of the property, in several states this month, Codel said, declining to provide more details. Raising maximum LTVs lowers the requirements for down payments or minimum home equity that must be maintained in refinances, measures meant to protect lenders or insurers in the case of defaults.

    Western Bancorp started offering mortgages with “alternative income verification” at the beginning of the year. So far, the loans are only available to borrowers putting down at least 35 percent, though the lender hopes to lower that to 30 percent soon, CEO Soukoulis said.

    The lender, which sells the mortgages to community banks, skips the examination of tax returns and pay stubs by using software to vet the income of a self-employed applicant. The technology turns information on their bank statements into data, and then analyzes what it says about their cash flow. The process boils down to “rational” old-school underwriting, Soukoulis said.

    The TD Bank unit, which mostly holds mortgages on its balance sheet, in April lowered the down-payment requirement for some loans to 3 percent from 5 percent. These mortgages don’t force borrowers to take out private or FHA insurance, a typical requirement for loans that account for more than 80 percent of a home’s value. The down payment can be covered by gifts from family, a government program or a nonprofit.

    There is “a reduced inventory of available and affordable homes for first-time and low-to-moderate income buyers, and this program increases the affordability of homeownership,” said Kathleen Toy, a TD Bank spokeswoman.

    Bank of the West, a San Francisco-based unit of BNP Paribas SA, is more often making exceptions to its guidelines for borrowers with credit dings caused by the recession that don’t accurately reflect their financial situations, Karen Mayfield, its mortgage banking national sales manager, said.

    The bank might accept a lower credit score caused by delinquencies after a job loss if a borrower has more than the typical minimum amount of required assets in their bank account, she said. To make the loans, the bank is using its portfolio and taking advantage of “extenuating circumstances” guidelines created by the FHA last year.

    “Whether it’s the private institutions or government-loan programs, we’re trying to do a better job of recognizing there were millions of people in this country that got bad marks in their credit that they wouldn’t have had, and shouldn’t have to pay life-long consequences,” Mayfield said.

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    Yesterday, the Consumer Financial Protection Bureau proposed qualified mortgage rules that would allow lenders to fix small mistakes retroactively, such as refunding fees that exceed the 3 percent fee cap. That will encourage lenders to make loans even if the costs approach the qualified mortgage limits, the CFPB said in a statement. The proposed rules “will help at the margins” to ease the credit crunch, according to the statement.

    Lenders are not bringing back the types of loans made during the housing boom that required no deposits, no documentation of income and had rates that could double after two years.

    Some of the largest lenders aren’t scaling back standards. JPMorgan, Bank of America Corp., the third-largest mortgage lender, and No. 5 Citigroup Inc. haven’t changed lending standards this year, according to their spokesmen.

    “The regulatory environment now is just so much stricter, there’s not much you can do,” said Brian Simon, chief operating officer of New Penn Financial, the lender owned by mortgage-bond pioneer Lewis Ranieri’s Shellpoint Partners LLC. “It’s generally not our game plan to chase volume by loosening up on quality.”

    Government-backed programs should be further modified to reduce lenders’ concerns about repurchases and encourage them to widen access to credit, said James Parrott, a former member of President Barack Obama’s National Economic Council and now a senior fellow at the Urban Institute.

    “It’s important not to mistake the claim that we should expand access to credit because many worthy borrowers remain locked out of the market, with one that we should return to the days of reckless and unsustainable lending,” he said. “The two are not the same.”

    By Gail Gandy, Senior Vice President of Business Real Estate Financing at Wells Fargo

    Whether you're making property improvements, expanding your business, or managing inventory, expenses come up all the time. The key to success is having the to cover expenditures and take advantage of unexpected opportunities.

    "Business Real Estate Financing (BREF) offers up to 0,0001 in real estate-secured loans and lines of credit designed for small business owners and real estate investors."

    Business Real Estate Financing (BREF) offers up to 0,0001 in real estate-secured loans and lines of credit designed for small business owners and commercial real estate investors. BREF provides financing with low closing costs2 — no application fee and no appraisal fee — just a low 1% origination fee,3 maximum ,000, due at closing. The funds can be used to purchase or refinance commercial property, or for working capital. And there are a variety of both owner-occupied and investor commercial properties that can be used to secure the financing, such as retail, office, warehouse, light industrial, mixed use, and multi-family residential with five or more units, to name a few.

    There are several Business Real Estate Financing options available. To find one solution that's right for you, it's important to understand the differences among the options.

    Purchase loans vs. refinance loans

    Purchase loans are designed for business owners and real estate investors looking to buy commercial property. Demand for purchase loans has grown significantly in the last few years as individuals regain the confidence to invest in commercial real estate. If you already own your business property, a refinance loan can help you take advantage of today's low interest rates.

    Equity loans vs. lines of credit

    Other options for commercial property owners include equity loans and . An equity loan provides a one-time distribution, so it's ideal for large business expenses, while a line of credit is good for ongoing expenses over a period of time.  

    For instance, if you need funds for a one-time expense, such as a parking lot resurfacing, an equity loan makes the most sense. An equity loan provides a lump sum distribution and repayments are made on a fixed schedule.

    On the other hand, if you need to fund routine or seasonal expenses, like purchasing additional inventory, consider an equity line of credit. An equity line of credit gives you revolving access to capital, and borrowers have the flexibility to take out money as needed and repay it as their business allows.

    When you apply for financing secured by commercial real estate, lenders traditionally look at five key criteria to . The first area of review is your business and personal credit ratings, which can indicate how you have handled your credit obligations in the past. Cash flow and the capital you have invested in the company are also taken into consideration. Lenders will also appraise the property being used to secure the financing to determine its current market value. And finally, internal and external economic factors will be considered to understand the effect they have on the ability of a business to repay a loan, as well as the intended use of a loan.

    There are a variety of  options available to you. Work with your banker to identify the one that aligns with your specific needs. Once you've made your decision, you can be on your way to realizing your business goals. 

    1 Financing from ,000 to 0,000 for purchase and refinance loans; and ,000 to 0,000 for equity loans and lines of credit.

    2 Based upon analysis of application, appraisal, and origination fees for competing U.S. lenders as compiled by an independent third party research firm on a quarterly basis, beginning April 2016.

    3 You will need to pay a nonrefundable deposit of up to ,000 when accepting the terms of any loan or line of credit. If environmental insurance is required, you will be responsible for this one-time fee. Your deposit will be credited toward the origination fee and the environmental insurance fee, if applicable, at closing. If your deposit exceeds the origination fee and environmental insurance fee, or if it is not required, you will be reimbursed for any overage. You will also be responsible for any mortgage or deed of trust filing cost imposed by a state or other taxing authority. For purchase loans, you will be responsible for title and escrow fees and need to provide proof of funds for the required down payment. In states that require attorney closings, you will be responsible for title-related costs and attorney title work that exceeds 5. All financing is subject to credit approval.

    Getting a new home is exciting. The mortgage process? Too complicated, most people think. But your home mortgage consultant will be there to guide you. And when you look at it, the mortgage process is really just 4 basic steps.

    Terms: The line of credit has a draw period of 10 years plus 1 month, after which you will no longer have access to borrow funds and will be required to repay the borrowed balance within a 20-year term. There is a required minimum monthly payment of 0. The account is subject to application, credit qualification, and income verification; additional evaluation and verification criteria may apply. Your actual APR will depend upon your credit transaction and credit history and will be determined when a credit decision is made. For questions, please contact us at 1-800-668-4730.

    APR and Fees: The APR for a Wells Fargo Home Equity Line of Credit is variable and based on the highest prime rate published in the Western edition of The Wall Street Journal "Money Rates" table (called the "Index9quot;) plus a margin. The index as of the last change date of March 16, 2017, is 4.00%. As of May 5, 2017, margins range from 4.750% to 0.000% for lines of credit from ,000 to 9,999 secured by owner-occupied properties with 70% combined loan-to-value. Corresponding variable APRs range from 8.750% to 4.00%. The minimum line of credit amount is ,000. Your minimum APR, including discounts can't go below the 1% floor rate. Your variable rate won't increase more than 2% per year based on your anniversary date and will never be more than 7% higher than where you started (maximum of 18%).

    There is a annual fee, which is waived for the first year. Your annual fee may be waived thereafter; please talk to a banker for details. If you apply prior to 5/13/17, a 0 prepayment fee may apply if the account is closed within three years of account opening; if you apply on or after 5/13/17, a 0 prepayment fee may apply. Account opening fees, including applicable state or local mortgage taxes, may be paid to Wells Fargo, its affiliates or third parties and range from to ,000 depending on the property type, the state in which the property is located and the amount of credit extended. Hazard and, if applicable, flood insurance is required.

    Relationship discounts: If you don't have an eligible Portfolio by Wells Fargo® account at the time you open your home equity line of credit, other lesser discounts may be available to you and will require automatic payments from a qualified consumer deposit account. To find out which accounts qualify for a relationship discount, contact a Wells Fargo banker. Relationship discounts cannot be combined.

    Access checks are not available in Texas. ATM card access and the Enhanced Access® Visa® credit card are not available in Connecticut, New York, or Texas.

    There is no limit on the maximum amount of a fixed rate advance taken at origination (up to your credit limit). The minimum fixed rate advance amount is ,000. After account opening, additional fixed rate advances may not exceed 0,000 of the aggregate principal balance, or your credit limit, whichever is less. You may request up to 2 fixed rate advances each year with up to 3 fixed rate advances at one time. Fixed rate advances have a term of 1 to 20 years, depending on the amount advanced; except that for Texas homestead secured accounts, the term is 1 to10 years.

    Consult your tax advisor regarding deductibility of interest.

    Wells Fargo Home Mortgage is a division of Wells Fargo Bank, N.A.

    Home equity loan criteria Bloomberg

    Wells Fargo is once again setting sail on subprime mortgage waters, despite how choppy they were several years ago. The bank will consider mortgage applicants with credit scores as low as 600, announced Franklin Codel, a Wells Fargo mortgage executive. Previously, the minimum was 640, and this change applies to purchase mortgages to be guaranteed by the Federal Housing Administration.

    Lenders routinely re-evaluate their standards as consumer credit trends shift, and Wells Fargo considered applicants with credit scores in the low 600s as recently as the fourth quarter of 2011, said Tom Goyda, a Wells Fargo spokesman. In fact, that threshold was 500 in January 2011. The 640 benchmark had been in place since about November 2012, before the change to 600 last year.

    Credit Scores & Mortgages

    There are dozens of credit scoring models, but most lenders use the , and anything in the 600 to 649 bracket is considered poor, or subprime. Consumers in the next highest credit tier (650 to 699, aka near prime) enjoyed increased access to home loans over the last several quarters, according to data from Experian-Oliver Wyman Market Intelligence Reports and Experian’s IntelliView tool. (The tool uses the VantageScore model but breaks down borrowers into tiers like prime, near-prime, etc.)

    In the third quarter of 2013, the most recent data available from Experian, subprime borrowers made up 5% of new home loans, and that share has hovered between 3% and 5% for several quarters. It’s a bit different if you look at the near-prime borrowers: 21% of new home loans in the third quarter went to near-prime borrowers. A year earlier, they made up 16% of originations.

    Increasing Mortgage Access With Caution

    New mortgage regulations went into effect in January, so it remains to be seen how those impact consumers’ access to home loans. Borrowers must meet strict ability-to-repay requirements mandated by the Dodd-Frank Act. Credit scores are only part of the equation.

    For example, when Wells Fargo took applications from aspiring homeowners with credit scores of 500, Goyda said a lot of those people didn’t satisfy other criteria required for FHA loans, and this may be the case with applicants in the low-600s. Still, the idea is to open up loan products to consumers who have recently been underserved by the mortgage industry.

    “We’ve done what we believe is an appropriate balance of access to credit—especially for first-time and low-income homebuyers—with responsible lending,” Goyda said. With the lending market flowing more toward purchase mortgages, as opposed to refinancing, Goyda said those consumer groups could use more support.

    Whether such a shift truly increases credit access, given the other changes to the mortgage application process, remains to be seen.

    Knowing your credit score is always a big part of the homebuying process, however. If your credit score is lower than you’d like it to be, consider allowing yourself time to improve it before filling out . It isn’t the only thing lenders consider, so it’s also necessary to organize the documentation needed to get a home loan, but a good credit score can be the gateway to homeownership.

    Using a free tool like the Credit.com Credit Report Card, you can see two of your credit scores and analyze which behaviors are helping or hurting those scores. If you’re worried about having a good enough credit score to get a home loan, it’s smart to see where you stand now and use that information to help you raise your scores going forward.

    This article originally appeared on Credit.com.

    More From Credit.com:

    In July of 2003 My wife and I purchased our home with a fixed 30 year mortgage through Washington Mutual. Our down payment (approximately 12%) was less than 20% required to avoid PMI on the loan. Our interest rate was 5.3% with the PMI wrapped into the interest rate in something called .Advantage 90.. Once we were at an 80% loan to value ratio the PMI was supposed to be dropped off making our new rate 4.75%. With the PMI removed, our monthly payment will decrease approximately 0.00.

    In August 2005 I called Washington Mutual to find out what I needed to do to get the PMI removed. Without looking at any information, the customer service representative told me I needed an appraisal and said she would send the paperwork to me. I then received the August 26, 2005 letter from Washington Mutual (Exhibit 1) listing a few criteria (no late payments, etc.) telling me to call an appraisal company (LSI Appraisal). It did not list anywhere on the letter that we could not have a Home Equity Line on the property.

    I was told by LSI Appraisal the appraisal would be more than 0.

    Paying 0 for an appraisal didn't seem like a bad investment to get the PMI taken off. However, at this point I did not know any of the exact numbers. For all I knew, removing the PMI might only save me per month. Or worse, maybe I would pay for the appraisal and Washington Mutual would refuse to take the PMI off for any number of other reasons. So I decided to call Washington Mutual to get some clarification on how much PMI was costing me and if there were any other reasons they might not take it off my loan. The first representative told me that in I did not have PMI on my loan. At this point I had only a vague recollection of a decreased interest rate once we had the 20% equity in the home. I explained this to the customer service representative. She continued to tell me that I did not have PMI. I was pretty certain that I did. So called back and got another representative, who told me the same thing, that I did not have PMI. I continued to insist that I did. At this point I started to get passed around. I was transferred from one department to another and everyone kept telling me that I did not have PMI. I did my best to explain what I remembered. I was given phone numbers that went to voice mail with no one ever returning my calls. I eventually gave up figuring that maybe my memory was wrong. (Exhibit 2 has three (3) additional phone numbers so I know I made at least five (5) phone calls to Washington Mutual in which I was told I did not have PMI on my loan).

    Around December 2006 My wife and I decided to do a major remodel to the house. I called Washington Mutual again, only this time I talked to a loan officer .Shawn. about getting a home equity line to pay for the remodel. I asked him about the PMI and he immediately told me that I did in fact have PMI and that it was wrapped into my interest rate. He gave me the exact numbers, the original rate of 5.3% which would be changed to 4.75% saving me around 0 per month. I found it very suspicious that the person trying to sell me a home equity line was the only person at Washington Mutual who could explain this to me. (My notes are attached as Exhibit 3)

    I then called LSI Appraisal who came out in January 2007. The appraisal came back as expected; we met the equity requirement to have PMI removed. That same week I received a letter from Washington Mutual saying that effective February 1st my loan would be transferred to Wells Fargo. I knew this would cause problems so I immediately called Washington Mutual. They claimed they had not received the appraisal, but assured me the transition would be smooth and Wells Fargo would honor the request to have PMI removed and honor the appraisal done by LSI. I called Washington Mutual several times to see if they had received the appraisal. They continued to claim that they had not received it. I called the appraisal company and they claimed that they had sent it to Washington Mutual.

    On February 1, 2007 I began calling Wells Fargo. They also claimed they had not received the appraisal from Washington Mutual. Again, I called Washington Mutual who continued to claim they never received the appraisal. On February 19th Wells Fargo sent two (2) letters, the first informed me of how to remove the PMI (Exhibit 4), the second informed me that they had not received the appraisal (Exhibit 5). The appraisal company was adamant they had sent the appraisal twice to Washington Mutual who should have forwarded it to Wells Fargo. Finally, on February 23, after several phone calls to Wells Fargo and talking with several different people, I was transferred to a Wells Fargo's customer service representative supervisor, Pamela Miller. She informed me I could fax the appraisal in myself. Why no one told me this earlier, I have no idea. I had wasted nearly a month and if someone had told me to fax it in earlier, I obviously would have. One interesting note, each time I called Wells Fargo and explained that I was trying to have the PMI removed, I was told that I did not have PMI on my loan. In fact, before talking with Pamela Miller I talked with someone named .Kachet. who told me this exact thing (See my notes on conversations with Pamela and Kachet, attached as Exhibit 6). After I explained that I was sure I did and demanded to talk with a supervisor, Pamela Miller did admit that I did in fact have PMI. So with each phone call I wasn't getting any resolution and was forced to jump through hoops for 15-20 minutes while I explained the situation again and again.

    On February 27th My wife faxed the appraisal to Wells Fargo (Fax confirmation attached as Exhibit 7).

    In early 2007 we decided to get a home equity line from Bank of America to remodel our house. Due to the fact that we had plenty of equity in our home, Bank of America approved the home equity line in February 2007.

    Wells Fargo sent us a letter dated February 28th stating they had received our appraisal and would review our request for PMI deletion (Exhibit 8).

    In a letter dated March 15th Wells Fargo stated the PMI was no longer a requirement for our home loan (Exhibit 9).

    In a letter dated March 16th Wells Fargo stated we had to submit in writing a request to remove the PMI (Exhibit 10).

    On March 27th Wells Fargo sent us a letter (Exhibit 11) and a check for .60 (Exhibit 12). The letter basically said the check was for the unused portion of the PMI. Since we also received a letter on March 16th, I think I called Wells Fargo and asked them what was going on. On Exhibit 11 I have underlined the phone number and written down what looks like a name, .Wil Wiscousin.. My memory is vague here, but I think I called them and they told me that I just needed to give them verbal communication that I did indeed want the PMI deleted, which I gave them. I.m not sure when, but at some point I called Wells Fargo and asked them what was going on, and someone told me I had to give them permission to remove the PMI. I think it was at this point.

    In a letter dated March 30th (Exhibit 13) Wells Fargo sent me another exact copy of the March 16th letter (Exhibit 10) except it was signed be a different customer service rep, Stephanie Guy.

    On April 30th I called Stephanie Guy and she told me that she .had been trying to contact me. and that I needed to give her written permission to remove the PMI. She gave me her email address and I immediately emailed her telling her I wanted the PMI removed (Exhibit 14).

    From here on out I realized that Wells Fargo was giving us the run-around so I carefully took notes each time I talked with them. All the notes are hand scrawled but I do have them if needed.

    On May 16th someone at Wells Fargo called me and said they could not remove the PMI because of the home equity line. Construction on our remodel started in late April, so by the time Wells Fargo called to say that they would not remove the PMI, literally 1/3 of our house had been demolished and we had started to make payments to the contractor.

    On May 16th I called Wells Fargo to follow up with the phone call I received that morning. I talked with .Dion.. He again told me I did not have PMI. I insisted I did. He finally admitted that I did have PMI and said it was going to be removed. I asked him for some exact numbers. For some reason he could not figure out the new numbers. I then asked to speak to a supervisor. Dion transferred me to Amy Delacerea (her direct line at Wells Fargo is 414-214-4585). Amy told me the confusion with my PMI was because I actually had something called .Advantage 90. which allowed the PMI to be rolled into the interest rate. This was the first time anyone ever told me this. She said what I was actually trying to get was an .interest rate deduction.. I explained my entire story to Amy and she agreed that it did seem unfair.

    In a letter dated May 15th Wells Fargo again said that the PMI would be deleted and actually gave us a new interest rate and monthly total effective June 1st (Exhibit 15). We signed and notarized the letter and immediately sent it back.

    On May 18th Amy called to say that in order to have the PMI removed we would have to cancel our home equity line. I did not think this was possible, as the construction had already begun. She also mentioned that if we refinanced the whole loan we might not need PMI since we now had so much equity in the house. We had a very good interest rate of 5.3% so refinancing would have dramatically increased our overall payment, even given the fact we no longer needed the PMI.

    On May 19th I went to Bank of America to ask how feasible it would be to pay off the home equity line, have the Wells Fargo PMI removed, and then reinstate the loan. I was told it would be a simple process. However, since demolition had begun, removing 1/3 of the entire house, we would probably not qualify for the same equity line amount. If I cancelled the home equity line at this point, we would not be able to complete our remodel.

    On May 21st I called Amy to explain that we could not, at this late date, remove the home equity line. She said she would talk with her supervisor.

    On May 24th .Raven. left me a message saying that I only had two options, either refinance or drop the home equity line. Raven left no contact information. I immediately called Amy. She and I had already discussed these options so I really didn.t understand why they would call me to mention them, when they were clearly not options. Amy said she would take the case to a supervisor.

    On May 30th Amy called me and left a message saying that they were discussing an exception for my loan to remove the PMI.

    Around June 1st I talked with Amy and she said that some group was having a meeting to figure out if they could either make an exception for me or simply remove it as a requirement for all loans. I never heard anything back.

    On July 23rd I called Amy and left her another message asking what was going on with my PMI removal. She never called me back.

    On September 4th I called Amy and she said that someone should have called me (no one ever did) to tell me they could not remove the PMI from my loan unless I got rid of the home equity line.

    If Wells Fargo had processed our request to remove PMI in a timely manner they would have notified us that the home equity line needed to be dropped before PMI could be removed, while we were still in a position to remove the home equity line. Construction on our remodel did not start until April 22nd, 2007, and in fact the home equity line balance remained at zero until April 26th, when we wrote the first check to the contractor. Wells Fargo did not tell us that removing the home equity line was a requirement until mid- May, when it was far too late to remove the home equity line.

    Wells Fargo took over the loan on February 1st 2007. I had already gotten the appraisal done in January. Everything was ready before they even got the loan. I can understand that it might take some amount of time, but for the first month (all of February) they simply stalled and gave me the run around. Then in March they sent me letters telling me that in fact the PMI would be removed. Then in May when they reversed their decision to remove the PMI, it was too late for me to remove the home equity line.

    If in February, instead of giving me the run around, they had told me that they could not remove my PMI until I dropped the home equity line, I could have easily dropped it.

    If in March, instead of sending me letters telling me they were going to remove the PMI, they had told me that they could not remove the PMI until I dropped the home equity line, I could have easily dropped it.

    It appears to me that Wells Fargo implements several lines of defense to try and prevent people from removing the PMI. First, they don.t train their customer service reps well enough so that the entire process is slowed down to a near crawl. They make customers jump through hoops. And then once I.ve jumped through the hoops they send out letters indicating that everything is all right, when meanwhile all they.re doing is stalling in order to find another reason that that they shouldn.t remove the PMI.

    When you connect with us, you'll be one step closer to owning a home.  A mortgage consultant will be in touch soon to answer your questions about getting prequalified and discuss your home financing needs.  You can also call us at .

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