Hundreds of Wells Fargo Customers Lost Homes due to Computer Glitch
Hundreds of Wells Fargo customers had lost their homes, as the bank foreclosed on loans due to what has been described as a computer glitch. Basically, Wells Fargo’s software automatically (so they claim) denied customers mortgage modifications, and an untold number of customers ended up with their homes foreclosed. This troubling story was revealed after Wells Fargo’s regulatory fillings this week, which read that the bank has already put aside $8,000,000 to compensate affected customers for their loss due to the software/computer glitch.
A number of accounts were affected (as in undergoing the foreclosure process) by the error between April 2010 and October 2015, when the issue was discovered and finally corrected. Wells Fargo is currently facing “formal or informal inquiries or investigations” from the feds with regard to how it purchased federal low-income housing tax credits, as per a CNN report.
“It was a computer glitch”, said the computer’s owner and interest-conflicted mortgage holder in an appreciating housing market. I mean, yeah, sure it was. The bank is apparently insured against bad loans, so would apparently make as many as mathematically possible. I consider it insurance fraud, in my private interpretation. Maybe, it is within the letter of the law. Maybe not, I don’t know.
The only just compensation is to return them their homes, to compensate the wrongful buyer who they actually lured in by negligence or criminality, and to financially reimburse both parties for the inconveniences caused and all losses costs they incurred. Totally. Otherwise it will still prove to have been a profit making racket for them and their industry .They must come out losing exactly all of the costs and losses they caused to the community of innocents.
The legitimate use of credit, if any, is when you have cash or the written promise of cash or valuable collateral, at least matching the price of the loan. Prices can never be competitive, when a market is flooded with 50 reprobates to every 1 self-conscious person, and I am talking about NINJA Loans.
They didn’t ‘earn’ anything, any more than the fake bank, or any other fake industry that caters, primarily, to misfits for corporate welfare subsidies.