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Wells Fargo Says Hundreds of Customers Lost Homes After Computer Glitch (cnn.com)
Hundreds of people had their homes foreclosed on after software used by Wells Fargo incorrectly denied them mortgage modifications. From a report: The embattled bank revealed the issue in a regulatory filing this week and said it has set aside $8 million to compensate customers affected by the glitch. [...] Wells Fargo said the computer error affected "certain accounts" that were undergoing the foreclosure process between April 2010 and October 2015, when the issue was corrected. About 625 customers were incorrectly denied a loan modification or were not offered one even though they were qualified, according to the filing. In about 400 cases, the customers were ultimately foreclosed upon.
They say there is no such thing as bad publicity, but damn. We never should have bailed them out.
Nothing can prevent the fall of Wells-Fargo...
bug?? or did some people fix it to make there numbers look better?
Almost like it's intentional.....
"hundreds" of affected home owners, assume minimum 200. That's just $40k each.
const int one = 65536; (Silvermoon, Texture.cs)
SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
Not enough. Add a zero. The emotional toll of foreclosure on a family is much worse than the financial toll.
No. No amount of babysitting, handholding, or mindreading by a software compiler will fix the basic failure here of "garbage in, garbage out".
Nope, rhis isn't a buffer overflow, which doesn't happen in Rust, Perl, PHP, JavaScript, C++, or most other languages.
Rust fanbois touting that is like if Ford touted having a spare tire like it's a big deal. Few languages have bugger overflows. Like most languages, Rust doesn't - just like most cars come with a spare tire.
Wells Fargo is full of shit. It was assuredly not a "computer glitch" which made those people lose their homes; it was the fact that Wells Fargo didn't want to deal with people who hit economic hard times and could not pay their mortgages every month. It's well known that, during the foreclosure crisis of the early 2010s, banks made it as difficult as they could for people to change the terms of their mortgages, because the banks could make more money foreclosing and selling the houses.
It's funny how these large-scale "computer glitches" seem to favor the bank and not the consumer.
They lost homes, and now Wells Fargo is required to pay them each $20,000. If Wells Fargo accidentally put money into my account, do you think they'd settle for me returning dimes on the dollar?
You are welcome on my lawn.
Here is $20,000 opps my bad.... less if all 625 customers get a cut...doesn’t seem enough to compensate for all the hassles of loosing a house
>Whatâ(TM)s with the extraneous âoeonâ? Donâ(TM)t you know basic grammar or what âoeforecloseâ means?
And I feel like I'm reading Indonesian...
Seems better than the average level of customer service people should expect from this fine banking institution. At least those people didn't find themselves with new bank accounts and new mortgage applications opened on their names without consent. What's the complaint again?
You do not qualify for modification if you are behind. I suspect this was part of the way that banks were using to skip out on modifications. Banks would usually ignore the application for as long as they could hoping you would get behind and therefore not qualified...and then there was the tried and true insurance method where they would wait a long time and then demand that you resubmit the whole application again because some of the documentation was incomplete or whatever. Getting a modification was next to impossible because of the stalling techniques and zero oversight.
I object to power without constructive purpose. --Spock
I think its difficult to say this glitch was the only reason many lost their homes. Many people were so underwater that nobody could really help them. CNN is typically trying to write in facts where they do not exist. The statics were many re writes failed and people lost their homes anyway. Not defending Well Fargo, but clearly CNN is making a sketchy case and assuming a lot.
Hah, hah, hah. You actually think this was a "bug" and not designed that way? LOL!
The real "Libtards" are the Libertarians!
I don't doubt that there was a "computer glitch", but doing what a (do I have to say this?) potentially buggy piece of software tells you to do without question was a business decision.'
Sure, some programmer made a mistake, because programmers like all humans are fallible. But bank management had a totally wrong-headed approach to doing their jobs.
Post may contain irony: discontinue use if experiencing mood swings, nausea or elevated blood pressure.
Banks hate foreclosures.
It costs them money to administer, creates lots of bad will, and they rarely get all their money back anyway.
Much better if the customer pulls through, pays lots of interest, and eventually takes out a second mortgage.
But how is the computer overriding people? A foreclosure is a big event, handled by moderately senior people, not bank tellers. These people would have reviewed the situation. And yet, Computer Says NO.
How did they become so bureaucratic that a crappy computer program written by some enterprise IT department can automatically override the judgement of human experts dealing with individual cases.
That is the real story here.
Anytime a company gets caught doing something unethical, they always seem to have their scapegoat ready to go.
This scapegoat is more powerful than an entire ARMY of lawyers can ever hope to be.
It's effectively their " Get out of Jail " free card.
Ever notice how:
It's always a " glitch ", " computer error ", " junior programmer " or " hackers ".
It's never, EVER the fault of the company. It's always something else.
No one goes to jail. The penalty is basically a slap on the wrist, the upper level executives are allowed to leave with
their golden parachutes and the whole thing quietly fades away to a memory mostly forgotten a few years later.
It's a sad, sad state of affairs really.
There was a time when bank robbers went to jail.
I was not late on my mortgage payments. WF actually removed 4 payments I made to throw my home in foreclosure. Glitch ... no! They tried to right out steal my house.
What's with the extraneous symbols? Don't you know how to use a proper computer rather than an iPhone? I feel like I'm reading corrupted text files, with random symbols placed in unexpected locations.
-=This sig has nothing to do with my comment. Move along now=-
You're assuming Wells Fargo is a well-run bank with competent bankers; the evidence suggests otherwise.
My guess is that they focused a bit too much on the 'pays lots of interest' to remember that modifications can help ensure they get their money back in the first place...and then didn't want to own up to the glitch existing and not being noticed and/or fixed for so long.
So, basically? My guess is that it's the kind of conspiracy that happens when you've got a bunch of people who are just competent enough to realize and try to cover up the obvious evidence of their incompetence.
Not even a blockchain?
Confucius say, "Find worm in apple - bad. Find half a worm - worse."
In Soviet America. bank rob you.
I doubt this was a true glitch, but rather a programming error, that could have been caught with a complete test suite.
This is by far not the first time Wells Fargo has used software to harm their customers. They do it constantly. Their software developers should be in prison for conspiracy along with management who called for certain software features and configuration. None of these things happen at this scale without intentionally malicious software. There just aren't enough crooked managers across the business units to pull it off.
2012 - Racism - charging various shades of brown people higher interest automagically
https://www.reuters.com/article/us-wells-lending-settlement/wells-fargo-to-pay-175-million-in-race-discrimination-probe-idUSBRE86B0V220120712
2016 - Shoddy underwriting - again, you have to rig your software to let this kind of thing through
https://www.justice.gov/opa/pr/wells-fargo-bank-agrees-pay-12-billion-improper-mortgage-lending-practices
2017 - Repo'ing service members' cars - again, disproportionately strikes minorities and similar low incomes
https://money.cnn.com/2017/11/14/investing/wells-fargo-repossess-cars-military/index.html?iid=EL
2018 - More Racism against brown people
https://money.cnn.com/2018/02/27/investing/wells-fargo-sacramento-lawsuit-discriminatory-lending/index.html
In which case you use the magic words, "walk away" and they'll fall all over themselves trying to get you that modified loan.
Voice of experience.
~REZ~ #43301. Who'd fake being me anyway?