February 12, 2009


Today, Congress requested that all servicers institute a moratorium on foreclosures until details of Secretary of Treasury Timothy Geithner’s foreclosure prevention plan are finalized and available – likely with in a couple of weeks.

Wells Fargo has agreed to follow this practice for all of the mortgage loans we own – in other words, those loans that do not require investor approval. We also are talking with investors in an effort to gain their agreement to follow this practice as well.

*    Within the next couple of weeks, Secretary of Treasury Geithner is expected to announce his foreclosure prevention plan.
*    Until that point, Wells Fargo will not proceed with foreclosure sales on any of the loans that we own (including Wachovia Pick-a-Payment loans).
*    As our CEO John Stumpf stated in his testimony today, the vast majority of the mortgage loans Wells Fargo services are owned by other investors (including Fannie Mae and Freddie Mac). Because we are bound by contractual agreements with these loans, we must work with the loan investors to determine how we will support the moratorium request.

Questions & Answers:
How will customers know if their loan qualifies for the moratorium?
Those borrowers who are scheduled to go to foreclosure sale will need to
contact the phone number on their statements to determine if their sale
can be stopped.

How long will the moratorium last? We do not have an exact end date for
this yet, as it is contingent on when the Secretary’s plan is announced and we can determine how to move forward. Advise customers scheduled for foreclosure sale to contact us once the Secretary’s announcement appears in the news, and we will provide additional guidance.

How long until we know if loan investors will support this initiative?
We are holding these discussions and hope to have an answer soon.

Does this apply to all customers, even if they have contacted us before?
It applies to all mortgage loans that we own that are scheduled for foreclosure sale. This includes customers who may have contacted Wells Fargo before.

Charles Vides
Home Mortgage Consultant
Wells Fargo Home Mortgage


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