Personal Finance

How Wells Fargo Stole One Man's House (Video)

100 Stories of What Wall Street Broke is an online effort to humanize the people who lost their homes after the Wall Street crash of 2008.

100 Stories of What Wall Street Broke was created by the Home Defender's League, which is collecting first-person accounts from homeowners around the country.

These true stories will accompany a petition to President Obama to prosecute Wall Street executives and to restore people's homes. Homeowners can submit their own stories here.

One of the contributors goes by the name of 'Steve,' who recalls how he was repeatedly lied to by Wells Fargo, which eventually foreclosed on his house and ruined his credit rating. In the video (below), Steve says: “It’s fraud. It’s clearly fraud. If I did that to anyone else, I’d be in jail.”

From 100 Stories of What Wall Street Broke, here is Steve's story:

When the economy crashed and his business slowed down, Wells Fargo offered to modify Steve’s loan to lower his payments. After making a series of trial payments, Wells Fargo notified Steve that his modification was on the way.

A few days later he received a letter stating that his modification had been denied. The Wells Fargo representative he spoke with reassured him that they had made a mistake and that he should keep making the payments, which he did for seven months.

Steve then started to receive foreclosure notices. Again, the bank representative assured him that the notices had been sent in error.

Then Steve checked his credit. Wells Fargo had reported him delinquent on his mortgage for the last six months. The reduced payments that Steve had agreed to pay for the previous months had been put into a separate trust by Wells Fargo, and they had not gone towards his mortgage.

Steve took the case to court but lost despite mountains of evidence in his favor. He lost his home and his business. Steve is fighting back with the help of the Colorado Progressive Coalition.

Source: 100 Stories of What Wall Street Broke

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