Computer Glitch at Wells Fargo Contributes to Hundreds of Foreclosures

[PineyCreek]

Disclaimer: This is related to a computer glitch, so I figured I'd post it in Tech News.  Mods, feel free to move to off-topic if required.

 

Original article: https://www.engadget.com/2018/08/05/wells-fargo-says-hundreds-lost-homes-to-computing-error/

 

Wells Fargo announced that a computer glitch had caused mortgage adjustments to fail in a select number of cases potentially contributing towards the foreclosure of several hundred customers' homes.

 

" An SEC filing from the bank has revealed that a "calculation error" in its mortgage loan modification underwriting tool led to about 625 customers either being denied loan changes or not receiving offers when they would have qualified. Roughly 400 of those customers eventually lost their homes to foreclosure, Wells Fargo said. The bank stressed in a statement to CNN Money that the bug didn't necessarily cause the foreclosures, but it certainly didn't help. "

 

This glitch occurred between 2010 and 2015.  The issue was fixed in October 2015.

 

Wells Fargo has been in the news a fair amount over the past few years, notably when some of its employees had been found opening new accounts for customers without permission or authorization.

 

It is ironic that one of their most recent campaigns (May 2018) to get back into the US public's good graces included the tagline, "Established 1852.  Re-established 2018 with a recommitment to you."

 

If you have a Wells Fargo mortgage in the US, it behooves you to check your statements between 2010 and 2015 for anything out of the ordinary.

[Syntaxvgm]

My prediction: Wells Fargo will fail some more, then eventually be simply renamed. 

[PineyCreek]

4 minutes ago, CUDAcores89 said:

Wells Fargo from what I have read is one of the worst banks out there. 

 

That being said, i'm still gonna try to churn wells Fargo's credit cards. Every time I open up their credit cards and collect a spending bonus then close the card, they lose money. And we want them to go bankrupt right .

Mmmm...that can kind of hurt you too though if you're concerned about your credit score.  I agree with the comment about WF being a terrible bank though.  I hated even going in the local branch when I had a car loan through them.

[Semper]

8 minutes ago, CUDAcores89 said:

And we want them to go bankrupt right .

The better statement here is "We want the poor decision-makers gone right?"
Any time a business goes under, it takes people just trying to do their job and feed their families with them. The larger the company, the higher the percentage of good people that go with it.
I don't like Wells Fargo, I don't use them. I don't like Bank of America because they've been nothing but a constant problem (genuinely, problems flow one to the next) for a family member who is with them, I don't use them either. I do not want either of them to fail, though, for the aforementioned reason.

[JuNex03]

Looks like Wells Fargo, isn't doing to well...

 

 

 

 

 

 

 

 

 

 

I mean that's all I got

[PineyCreek]

2 minutes ago, Semper said:

The better statement here is "We want the poor decision-makers gone right?"
Any time a business goes under, it takes people just trying to do their job and feed their families with them. The larger the company, the higher the percentage of good people that go with it.
I don't like Wells Fargo, I don't use them. I don't like Bank of America because they've been nothing but a constant problem (genuinely, problems flow one to the next) for a family member who is with them, I don't use them either. I do not want either of them to fail, though, for the aforementioned reason.

I can agree with that....but then you get into a corporate-culture oriented debate on how attached a facet of the culture is to the business itself, and then by extension the company.  It's always the people at the bottom that suffer the most though.

[PineyCreek]

1 minute ago, CUDAcores89 said:

Credit card churning is a hobby I do to save money on daily expenses. 

 

If you have 10+ credit cards with several years of history, then opening and closing accounts all the time hurts your score minimally because your Average-Age-Of-accounts still can stay high.

 

there's an entire cottage industry and portion of the internet filled with bloggers about how to churn credit cards. You can get large cash bonuses of $500+ or you can get things like a free first class round trip to anywhere in the world just by paying your rent or mortgage with a credit card. It's a really nice way to get 10-30% off everything you buy or be able to travel the world for free.

Huh...ok, learned something new.  I've always kept my CC count down really low though, so not an option for me.

[Semper]

18 minutes ago, PineyCreek said:

I can agree with that....but then you get into a corporate-culture oriented debate on how attached a facet of the culture is to the business itself, and then by extension the company.  It's always the people at the bottom that suffer the most though.

You could, yes. The direction more worth looking for is actively speaking out against leadership, particularly if you're a member of said organization, either in employment, or in customer. Voting with your wallet is a very valid method for voicing displeasure, but it is not your only avenue. One voice alone changes nothing, a hundred thousand of them, though, gets some attention. That "Questions, Comments? Call xxx-xxx-xxxx" number that they have? use it. that Customer Service feedback that they offer? submit it. The voice you have? Use it to voice your opinion on what's going on. Tell your friends, particularly why, and give them substantiated reason to understand your position. A hundred thousand people telling themselves that "it's just one voice, it means nothing" is a hundred thousand people collectively not changing the situation they're not happy with. Don't expect change overnight though. Overwhelmingly more often than not, you'll be disappointed.

I'm a NRA life member (for which I quite regularly get verbally assaulted for, in addition to physical threats - got some bad news for you if that upsets you; I'm also part of the GOA, the CRPA, regularly compete in IPSC, three-gun, cowboy action competitions, and own a CWP -  this is a different discussion however).
I do not like our management. Particularly Mr. LaPierre, and Mr. Cox. I'm not alone. Some have chosen to renounce their membership, for what good, I don't know. Others, like myself actively contest our leadership and promote change. Gears are shifting, and have begun to look less-than-fantastic for these two. Their cash cow days are limited unless things change on their end.

[ignaloidas]

10 hours ago, PineyCreek said:

This glitch occurred between 2010 and 2015.  The issue was fixed in October 2015.

Three years, seriously?! Many people had already thrown out their statements by now. You announce such things as soon as you fix them.