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Old 07-02-2012, 09:39 AM
 
92 posts, read 390,674 times
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This will probably come across as the ranting of a paranoid first-time home owner.

I purchased a home in May, and my first mortgage payment is due this month (yesterday July 1). The loan is with Wells Fargo (not by choice, got the loan through a local broker, but it was then sold to Wells). I set up an automatic mortgage payment online, in which my payment is supposed to be automatically withdrawn from my Bank of America checking account on the first of each month. As of 10am today (July 2), the Wells Fargo site says the payment is completed, but my Bank of America checking account does not show any payment made.

Should I be concerned, or is this normal? I have heard some horror stories about Wells Fargo (and BOA mortgage for that matter) so I'm a little paranoid. I just don't want there to be any discrepancies with my payment history, especially just starting out.

Any advice or info is appreciated, even if its just "calm down"
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Old 07-02-2012, 09:59 AM
 
Location: Richardson, TX
11,427 posts, read 17,993,621 times
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I believe you are saying that you signed up with Wells Fargo for ACH (automatic clearing house) payments.

This means that Wells initiates the draft and marks your account as paid on your scheduled draft date (July 1st). They will submit an electronic file of all B of A drafts that evening. The next morning, B of A will receive the file from Wells (or an intermediary bank) and process those transactions. Since July 1st was a Sunday, the money may not come out of your B of A account until tomorrow, July 3rd.
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Old 07-02-2012, 10:14 AM
 
92 posts, read 390,674 times
Reputation: 84
That makes sense, I guess I'll just keep an eye on it over the next couple of days. I have a similar set up with my Fidelity IRA, and that was deducted from my checking account first thing this morning, but I guess Wells processes things a little different.

Thanks for the info, I guess I'm just paranoid about my first mortgage and want everything to go as smooth as possible.
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Old 07-02-2012, 10:32 AM
 
Location: Coastal New Jersey
59,581 posts, read 57,119,945 times
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Just FYI, I have a mortgage with Wells Fargo, too, first mortgage, about two years now, and I've had no problem with them.

I don't do automatic payments, though. I'd rather go in and do it manually once a month.
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Old 07-02-2012, 10:34 AM
 
Location: Texas
44,124 posts, read 54,206,506 times
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Quote:
Originally Posted by Mightyqueen801 View Post
Just FYI, I have a mortgage with Wells Fargo, too, first mortgage, about two years now, and I've had no problem with them.

I don't do automatic payments, though. I'd rather go in and do it manually once a month.
I agree...I auto pay certain things, but with the mortgage, I like writing that check and adding extra to principle right then and there. I feel like there could be too much room for confusion if I let them autodraft and then send them a second check. I have had just too much experience with people being stupid like that and just applying it to the next payment.
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Old 07-02-2012, 10:38 AM
 
Location: Richardson, TX
11,427 posts, read 17,993,621 times
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Quote:
Originally Posted by stan4 View Post
I agree...I auto pay certain things, but with the mortgage, I like writing that check and adding extra to principle right then and there. I feel like there could be too much room for confusion if I let them autodraft and then send them a second check. I have had just too much experience with people being stupid like that and just applying it to the next payment.
With all due respect, it's not people being stupid. I used to help answer the overflow customer service calls at our company, and I have been yelled at for being stupid for somebody's extra payment being applied as a principal reduction when it turned out that they wanted to be paid ahead. There are enough people that want to be paid ahead that we have to keep a list. They mostly do it because they see it as security in case of a job loss or other unexpected life event. Of course, I have also been called stupid when somebody's extra payment was posted as an installment rather than a principal reduction.

The payments come in and the cashier has to make a decision about what to do with the money. They can't stop and look up account histories and account comments on every single one. They are not mind readers and sometimes they make the wrong choice.
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Old 07-02-2012, 01:12 PM
 
Location: Texas
44,124 posts, read 54,206,506 times
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Quote:
Originally Posted by Debsi View Post
With all due respect, it's not people being stupid. I used to help answer the overflow customer service calls at our company, and I have been yelled at for being stupid for somebody's extra payment being applied as a principal reduction when it turned out that they wanted to be paid ahead. There are enough people that want to be paid ahead that we have to keep a list. They mostly do it because they see it as security in case of a job loss or other unexpected life event. Of course, I have also been called stupid when somebody's extra payment was posted as an installment rather than a principal reduction.

The payments come in and the cashier has to make a decision about what to do with the money. They can't stop and look up account histories and account comments on every single one. They are not mind readers and sometimes they make the wrong choice.
I don't see it as mind reading when I write APPLY TO PRINCIPLE in all caps in the memo section.
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Old 07-02-2012, 01:49 PM
 
Location: Richardson, TX
11,427 posts, read 17,993,621 times
Reputation: 29185
Quote:
Originally Posted by stan4 View Post
I don't see it as mind reading when I write APPLY TO PRINCIPLE in all caps in the memo section.
The memo section doesn't come through from all banks on online bill-pay.

If you're talking about the memo line of a check, then yes, it should be posted correctly. However our cashier, being human, does mess one of those up now and then. Of course I would have the payment reversed and reapplied if I found it was our mistake.
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Old 07-02-2012, 01:59 PM
 
Location: Richardson, TX
11,427 posts, read 17,993,621 times
Reputation: 29185
Two more suggestions for avoiding principal reductions being posted wrong:

1) Call customer service or log-in to mtg company's website after payment is posted each month that you made a reduction payment

2) Make sure your principal reduction amount does not match your monthly installment amount
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Old 12-18-2016, 01:24 AM
 
1 posts, read 2,613 times
Reputation: 10
This is a slightly different situation.

My husband and I set our mortgage payments on automatic withdrawals from our account in Chase bank. Last month my husband passed away and the mortgage company has skipped the draft after that. I'm waiting to see if they draft this next month now.
Any explanation anyone can think of for this?
The mortgage company is Capital Mortgage (not what we chose but the one that bought it immediately after we got the loan from another company)
They had drafted the money on time the previous months.
I don't understand.
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