Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 1 of 20 Page ID #:789

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Nancy Duffy McCarron, CBN 164780 Law Office of Nancy Duffy McCarron 950 Roble Lane Santa Barbara, CA 93103 805-450-0450 fax 805-965-3492 nancyduffysb@yahoo.com Real Estate Broker Lic. 853086 Attorney for Plaintiff Carole S. Alles UNITED STATES DISTRICT COURT CENTRAL DISTRICT OF CALIFORNIA EASTERN DIVISION CAROLE S. ALLES Plaintiff, v. WELLS FARGO BANK, NA; WELLS FARGO HOME MORTGAGE, INC; CAL-WESTERN RECONVEYANCE CORPORATION; DOES 1-10 Defendants No. 5:12-cv-02095-MWF-DTB
filed 11/29/12

DECLARATION OF CAROLE S. ALLES SUPPORTING MOTION TO JOIN FHFA AS REAL PARTY IN INTEREST, MOTION FOR INJUNCTION, AND THE OPPOSITION TO CWRC 12(B)6 MOTION AND WELLS FARGO MOTION FOR JUDGMENT ON PLEADINGS Fed R Civ P 17, 19, 21 F.R.E. 201 Date: April 29, 2013 Time: 10:00 a.m. Ctrm: 1600 Hon. Michael W. Fitzgerald

DECLARATION OF CAROLE S. ALLES

I, CAROLE S. ALLES declare: 1. I am over 18 and plaintiff in this case. I make these statements supporting the above

captioned matters based on personal knowledge and can testify to them as a witness. On July 28, 2006 I executed a 30-year note with a promise to repay $230,000 at 7% interest in monthly installments of $1491.78 per month in favor of Wells Fargo Bank, NA 2. I thought Wells Fargo was the lender and servicer as the note and trust deed indicated. No one involved in the escrow ever told me that my loan had been pre-sold during my escrow to Freddie Mac, and/or would be conveyed into a REMIC trust after closing, to be transmuted into Collateral Debt Obligations to be sold by Wall St. brokers as investments -1Declaration of Carole S. Alles supporting motion to join FHFA as real party in interest, motion for injunction, and opposition to CWRC 12(b)6 motion and Wells Fargo motion for judgment on pleadings

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3.

I had committed to home loans during my past life, but each loan negotiated by the

bank was held in its own portfolio. I made monthly payments to the bank. I could talk to a bank manager about the loan at any time. For example, if I were unemployed or sick I would have been able to approach a local bank manager to ask for him to forebear for a few months, pay late fees or penalties and tack on a few missed payments to the tail end of my loan. The manager could have made a reasoned decision to forebear rather than foreclose on the home which would have resulted in significant legal and trustee fees. 4. I assumed this was the case with the Wells Fargo Bank NA loan closing 8/1/2006.

I was unaware that when my loan was pre-sold and conveyed into a REMIC trust, the loan servicer (Wells Fargo Bank, NA) would be bound by contract duties to parties in a Pooling & Servicing Agreement in the REMIC trust not modify or forbear on a pool loan. I was not privy to the P&S Agreement so I could not ask a party or trustee to forebear. If the true facts had been disclosed by anyone in escrow I would not have signed the note. I would have either continued to rent housing, or I would have located another Savings and Loan institution who could negotiate a loan and hold the loan in its own portfolio. I would have the flexibility to negotiate should unforeseen circumstances occur later. I had nearly an 800 credit rating so it would not have been difficult to get a portfolio loan. Because these facts were concealed from me I believe Wells did not act in good faith. 5. I believe Wells did not act in good faith throughout the life of this loan since 8/1/06.

After engaging counsel I discovered Wells had a statutory duty to notify me in writing when there was any change in beneficiary under 15 USC 1640. Wells never notified me. I discovered that on 12/7/12 CWRC recorded a purported assignment of my trust deed from Wells Fargo to Freddie Mac executed by Monica Gonzalez (a CWRC employee) as attorney in fact for Wells Fargo Bank, NA. (Exh. A herein). It was not mailed to me. My attorney said she discovered it in a report from FATCO. I did not understand why a second assignment would have been necessary because we have a printout from Freddie Mac website reciting that FM has owned my loan since 9/13/2006. (Exh. B herein). -2Declaration of Carole S. Alles supporting motion to join FHFA as real party in interest, motion for injunction, and opposition to CWRC 12(b)6 motion and Wells Fargo motion for judgment on pleadings

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6.

I did not understand why an assignment was not recorded on 9/13/2006, or why

Wells Fargo did not notify me that Freddie Mac (or a REMIC trust) had bought my loan. Neither Wells Fargo nor CWRC ever notified my that Freddie Mac was placed under a conservatorship by our government on September 7, 2008 or FHFA was the entity who had authority to order Freddie Mac to grant a loan modification. I applied through Wells Fargo Bank, NA because we believed Wells Fargo was the party who had the authority to grant or deny a modification. Wells staff never disclosed an inherent conflict in deciding on modification because Wells would gain substantially more profits ($6,000 or more) by foreclosing than it would gain be receiving a meager $1,000 stipend to modify my loan. 7. After the 2008 collapse of many banks, the recession hit the Palm Desert area with

a vengeance. Homes values dropped to half of the market value when I bought in 2006. The assessed value for my home for tax year 2012-2013 is $105,000. (Exh. C herein). I paid $330,000 in 2006. If my home is foreclosed I will lose my entire investment and have to return to renting. I will not qualify to buy a home as I have a bad credit rating because of the foreclosure. Wells Fargo acted in bad faith in promising to modify while also foreclosing at the same time. My attorney told me dual tracking violated a consent agreement Wells Fargo signed on April 4, 2012 and she found 22 additional violations. 8. When values dropped in half by 2009 I started calling Wells Fargo agents to ask for

a reduction in the 7% fixed interest rate. I had a history of timely making my payments. I have always had at least two tenants sharing my home to make my mortgage payments. I did not make a profit on rental income as 100% was used to pay the mortgage & taxes. By 2009 rents had dropped and I was forced to reduce rents in order to avoid vacancies. This caused me to have to infuse $300-$400 per month to make payments and pay taxes which caused me to deplete my savings account. If Wells had modified my loan to the 2% HAMP rate my payment would have dropped from $1491.78 to about $900 monthly. It would drop to $500 per month if I received a principal reduction on the HAMP plan. -3Declaration of Carole S. Alles supporting motion to join FHFA as real party in interest, motion for injunction, and opposition to CWRC 12(b)6 motion and Wells Fargo motion for judgment on pleadings

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9.

I could easily afford to stay in my home if Wells modified my loan as I rarely have

a vacancy on my rental spaces. My home is on the fairway and is a popular rental site. I enjoy having tenants as otherwise I would be completely alone in the residence. 10. I called every few months to inquire if I were eligible for modification as I watched interest rates drop from 7% down to 6%, then 5%, then 4%, and finally to the 3% range. Each time I called Wells agents would say that I was not eligible for any modification. By 2011 when I last called a Wells agent I was told that Wells only modified loans for owners who were in default and suggested that I stop making payments which would trigger a default rendering me eligible for a modification. The Wells agent said that so long as I made timely payments at a high fixed rate (7%) a modification would not work. 11. I relied on the advice of the Wells Fargo agent as I have no knowledge of financing. I stopped making payments. I believe the last payment I sent in was February of 2012. I thought I would automatically apply for a modification because I was 71 years old, unemployed and disabled with an incurable, inoperable lung disease causing coughing. 12. Wells filed a Notice of Default 8/2/2012 including a declaration under CC 2923.5 signed by a Deatrice Hemphill from Wells Fargo in Fort Hill, South Carolina. (Exh. D) The declaration recited that the beneficiary tried with due diligence but was unable to contact the borrower to discuss the borrowers financial situation and to explore options for the borrower to avoid foreclosureand more than 30 days has past. This was false. No beneficiary called me to discuss my financial situation. I have had the same cell phone number since I purchased the home in 2006 and still have that same number. I never received a message from any caller to discuss my financial situation or options. The last time I had called Wells myself was back in 2011. No agent called me in 2012. I certainly would have returned any call from a Wells Fargo agent to discuss my situation Deitrice Hemphill did not sign her declaration under oath and her statements are not true. My attorney later filed an application which I signed for a HAMP modification. Wells denied my application on 11/8/12 despite our own NPV report showing I was qualified. -4Declaration of Carole S. Alles supporting motion to join FHFA as real party in interest, motion for injunction, and opposition to CWRC 12(b)6 motion and Wells Fargo motion for judgment on pleadings

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13. In the denial letter dated 11/8/2012 Wells promised not to foreclose during a 30-day window while we appealed. (Exh. E) My attorney appealed immediately and filed an escalation complaint with Freddie Mac immediately. Despite Wells promise not to sell my home CWRC recorded a Notice of Sale for 12/19/12 the weekend before Christmas. A server mailed the NOS on my door the weekend before Thanksgiving. I went to visit my son over Thanksgiving after the NOS was posted. I could not enjoy the holidays with the threat of being homeless at Christmas despite Wells written promise not to sell. I believe Wells acted in bad faith. My attorney told me she called the escalation contact the next day to see if he had received my emailed escalation complaint, and said the agent (John) had told her my appeal had been denied the next day after they received it. No one ever told me, and my attorney said no one ever told her, that I could apply for a new Freddie Mac modification for borrowers who did not qualify for HAMP or HARP. I believe Wells acted in bad faith. I believe Wells had/has only one agenda--to foreclose. 14. Wells postponed my sale at the set sale location on 12/19/2012 to a new date of 12/29/2012 (we paid an agent to attend the sale and listen to auctioneer who arrived late). Wells failed to give us written notice of the postponement. Wells postponed again to January 2013, then to March 2013, and now again to April 30, 2013. Every time the sale was postponed again I had to return to an agitated limbo not knowing if it sold. This has resulted in even more stress. I believe Wells Fargo had acted in bad faith. 13. I read my complaint against Wells Fargo that my attorney submitted to the OIG, the Attorney General for California, the FHFA, and several federal and state agencies. I verify that the factual information related to me is true, and the statements my attorney made I believe those statements to be true based on the documents that I have reviewed.

-5Declaration of Carole S. Alles supporting motion to join FHFA as real party in interest, motion for injunction, and opposition to CWRC 12(b)6 motion and Wells Fargo motion for judgment on pleadings

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PAGE

I declare the above statements to be true under penalty o f perjury and the laws of the
United States. Executed in Palm Desert, California on the date entcred below.

CAROLE S. ALLES

-6Declaration of Carole $. Alles supporting motion to job FHFA as real party i n interest, motion for4 injunction, mid opposition to CWRC 12(b)6 motion and Wells Fargo motion for judgment on pleadings

Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 7 of 20 Page ID #:795

EXHIBIT A

Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 8 of 20 Page ID #:796

03Q0113 Page 37 of 39 Page ID #:677 Case 5:12-cv-02095-MWF-DTB Document 26 ~iled I DOC # 2042-06S7W 1~/07/2012 05:OO PM Fees: $18.00
Recording Requested By
And When Recorded Mail To:

Page 1 of 1 Recorded in Offidal Records County of Riverside Larry W. Ward Assessor, County Clerk & Recorder
T h i s document was electronically submitted to the County of Riversidefor recordingm Receiptedby: MRUIZ

WELLS FARGO BANK, Nh. 3436 STATEVTEW BLVD

FORT MILL SC 29715

T.S. NO.; 1367335-10

SPACE ABOVE TMS LINE FOR RECORDER'S USE

ASSIGNMENT OF DEEQ OF TRUST

FOR VALUE RECEIVED,the undersigned hereby grants, assignsand transfers to FEDERAL HOME LOAN MORTGAGE CORPORATION C/O 3476 STATEVIEW BLVD
FORT MILL SC 29715

1202.569 &9

all bendcia1 interest under that certain deed of trust dated July 28,3006, executed by CAROU ALLES, AN U N M A W D WOMAN AND NANCY DUFFY,AN UNMARR- WOMN, trustor, t o FlDELITY NATIONAL TITLE INSURANCECOMPANY,trustee, and recorded as Instmmcnt No. 20064566295 on August 02,2006 i n book NIA page N/A, of Official Records in tho County Recordor's oftic0 of RIVERSIDE C o u n t y ,CALlFORNIA describing land therein as COMPLETl5LY DESCRIBED I N SAlD DEED OF TRUST and all rights accmed or to accrue under said Deed o f Trust.
Dated:

12

HI
WELLS FARGO BAN& N.A. By Cal-Westem Reconveyance x o zin hct

'

&

V pb

S t a t e ofCALIFORNIA ) Coun of SAN DIEGO ) on 6 7012 beforeme, aN o t a r y Public, personally appeared

DEC -

Susan L. Meyers
I

si t W

factory evidence to be the persbn(s) whose name(s) Ware subscribed t o the within instrument and acknowledgedto me that Mshc/they exe&ted thc same in hidherMeirmhorimcd capacity('i), and that by Merltheir signature(s) on the insWment the p ' x ~ d s ) ,or the entity upon behalfof which the person(s) acted, executed the instrument. I certify under P&NALTY OF PERJURY undathe laws of the State of California that tho mrtproing pmgraph is true and correct,
(SQ~)

hmkubon # 18592~5 Notary PuMlc Catitornla

Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 9 of 20 Page ID #:797

EXHIBIT B

Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 10 of 20 Page ID #:798

'25112

Yes! Our remrds show that Freddie Mac is the owner of your mottgage. -Freddie Mac

Go straieht to content.

Freddie Mac How to Get Help with Your Mortgage

Yes. Our records show that Freddie Mac is the owner of your mortgage and it was acquired on September 13,2006. This date is also referred to as the Freddie Mac settlement date.
What to Do Next
1 . For help with your mortgage, contact your lender and let them know you would like to pursue assistance through the federal Making Home Affordable (MHA)
]

program.
a. Your lender, the company to which you make your mortgage payments (also referred to as a mortgage servicer), can help you determine if you are ehgible fbr the options under MHA.

m rkin W
A m

If you are curre~lt on your mortgage payments, but have been unable to r e h c e because you have little or no equity in the home, the Home Affordable Refinance Program may help you obtain a lower interest rate or more stable mortgage.
m

1. See ifFreddie Mac Owns Your Loan 2. Learn More About HARP
3. r -C

HARP
4. Get Prepared and Call Your

Lender

5. : If you are behind m making your mortgage payments or believe you may soon fill behind, a Home Affordable Modification may help you obtain more a%rdable mortgage payments.

Participatiw Lender

Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 11 of 20 Page ID #:799

Yes! 0 ur remrds show that Freddie Mac I s the owner of your mortgage. -Freddie Mac

If it i s not realistic for you to keep your home, a short sale or "deed-in-lieu of foreclosure" m y help you transition to more
affordable housing. Freddie Mac is working with its lenders to offer these sohtions to ehgble borrowers wrth Freddie Macowned mortgages. Because Freddie Mac does not i l l need to work directly with consumers, you w work with your lender to determine your best fo~.eclosure prevention option.
b. If you are not eligible for MHA, don't give up! t o make your Ask your lender about payments more affordable or to avoid foreclosure. There are other options available for homeowners wrth Freddie Mac-owned mortgages that are available t h r o w your lender.

2. If you are unable to reach your lender, call a U . S . Department of Housing & Urban Development
@IUD)-certif~ed housing counselor at 1-800-569-4287 or visit the web site to find a housing counselor in your
area.

Housing counselors can help you contact and work with your lender to get he4 with your mortgage - fiee of charge

Support Information
Be informed Visit our Avoiding Foreclosure Resource Center for information and guidance on alternatives to fbreclosure, working with your lender, avoiding fiaud and more. Be patient and diligent, Lenders are working hard to get to every call and sometimes it takes longer than you expect. Get prepared. Before you call your lender, here's what youlIIneed for your conversatioq.

Learn more about the optmns available to you under MHA.

Thank you fbr contacting Freddie Mac. One of our top priorities is m a h g sure homeowners with Freddie Mac-owned mortgages are able to get proper help and understand a U options available to them during thts difficult time.
.tps:/hw3.fred&maecwnlmrpmtepmmowned.htmI?dt_ow ned=2006-09-13

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EXHIBIT C

Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 13 of 20 Page ID 3/22/13 W ~ l r b ~ ~ ~ Center a t i ~ n #:801
Friday, March 22,2013

Property Information Center

Property Information for the 2012-2013 tax year as of January 1, 2012

Property Information
637211004-0 43060 ILLINOIS AVE PALM DESERT CA 92211 Legal Dascriptlon: Lot 338 MB 0421082 TR 2283 PropeQ Type: SINGLE-FAMILY RESlDENTlAL Assesanent Description: N/A Year Built 1962 ..
Square Feet: Bedroom: Bath: Pool: Lot Size:
1280 2 1.75 Y N/A

Assessed Value Information

Land Structure Full Value Total Net Assessment Number: Tax Rate Area: Taxability Code: Base Year: 32,000 73,000 105.000 105,WO 637211004-0 015244

Parcel Nurnbec Properly A d d r e s

Assessment Information
0-00
2007

Parcel M ap

Sales Information
Last Recorded Document:08/2006 Recording Number: 0566294 Rq.i ...; ed y*roi3c::. 7 kf.r..;b..-.:$j$s.,,
City Sphere: Supervlmrial District: Landuse Designatlon: Agriculture Preserve:

School District: Water Dishict Fema Flood Plan:

PALM DESERT John J. Benoit CIlY NOT IN AN AGRICULTURE PRESERVE DESERT SANDS UNIFIED CVWD FLOOD ZONE X

Tax b s 5 m e n t DistrictClTRUS PEST COKTROL 2 CrPT OF PALM DESERT COACHELLA VAL JT BLO HIGH COACHELLA VALLEY PUBLIC CEMETERY COACHELLA VALLEY REC AND PARK COACHELLA VALLEY RESOURCE CONSER COACHELLA VALLEY WATER DISTRICT COUNTY FREE LIBRARY COUNTY STRUCTURE FIRE PROTECTION CSA 152 CV MOSQ & VECTOR M)NTROL CWVD STORM WTR UNIT DESERl COMMUNrrY COLLEGE DESERT SANDS UNIFIED SCHOOL

ERAF RDV GENERAL GENERAL PURPOSE PALM DESERT RDV 4 RW CO REG PARK 8 OPEN SPACE RN. CO. OFFICE OF EDUCATION
Far more information please vlsit the following links

County of Riwrside

Assessor County Clerk - Recorder Clerk of the Board

Pay your Taxes Online

Riwrside County Board of Supedsorr

Change of Address

(~mpynpht 2005.2011 Rlvernde County All nghtsreewed.

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EXHIBIT D

Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 15 of 20 Page ID #:803 i Cgse 5:12-cv-02095-MWF-DTB Doc~~rnent 26 Filed 03120113 Page 32 of 39 Page ID #:672

DBCWURATION OF COMPLIANCE
fCW@rnia
Cad8~tur!wi 2923.%#

. W&FwB&N.A.
3476 Sccil~iow Rlvd
,&rt Mill, 8C 29715

Bmowcr : CAROIH ALLM

CoBcmw: UWW~

d 93m k ILLINOISAWNUE PALM DESERT CA 922) I

'fl~cum~dcdpcd rnoFtgagce, hleficiary dl authockl agent (collc&oly, L c l n m that [indicate YX" in tho applicable h a ] :

the %ndieiary")

mplollenta and

TIID B0nt:Cir:iaryliar contacted the brimto discuss the bcmwcr's finandel sitlrstion and Lu explore options for the borrower to avoid Gmchsslu\: in complialrce with Californh Civil Cade Section 2923.5. Thhty days w more have olapscd slecc the initial conha with the hmw.

The Benefioiary tried with &a diligence bui tvlur unabtc to cor~bct the b u w t o diaaws the bmver's f l l l f d d ~~tundCkl.* l 0 -8 Optiops h the WOWS tb nvoId ~brcc10gu~e BA iUired mifdb .: Coda StctIon 2923.5. T h t r t y Wsw mow havo clapscd sltm them due diligence cffoats rwre cmplded,

1
I

Tbc Jnortm&co,bwreflclruy or w t h o m agc~t cvns not required to comply rvilh Califmfa Civil Code Medktn
2923.9 bm'~~uarr:

The real pqWy h not "owne~uccupieP m i r I c l 9 n l ml pinplyas definedby the statubs.

The deed of trust wcrs not rrcordcd m
e n January 1,2003 and Dccomber 3 1,2007.

t!

The b u d o w has wncndcred tlte property as e M by either a h cadinning the wrcnda or deliverL ofthekeys 10 the pmparly & I tlw mortgagee, tnmtee, bemfidary o r authorhd agt
'L'ite borroner has contracted with nomeaPc whoso primwry bwintos & advising p p l e who hnve d a c W d lo Icaw tlioir hcMla~ on how b snteDd the foreclosureprpwos arsd avoid their loan obBpUons

?Ire borrowor has N e d fur Imnkn~ptcyundcr Choptar 7, 11.12 ot 13 of Title 14 of the Unital Slates Code, and Uw t>a&uptcy court has nut muted aa onkr closing or dinntksing the bankmpw casb or granting =lief fr<nn sMy.

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EXHIBIT E

Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 17 of 20 Page ID #:805 Page 1 of 3
WELLS FARGO HOME MORTGAGE RETURN MAIL OPERARONS
PO BOX 10368 DES MOINES /A 50306-0368

wellsfargo.cam (866) 278-1 179 (800) 416-1472 m m ~ l ~ m 1 l m t l ~ ~ ~ ~ 1 1 l 1 s ~ ~ 1 ~ I ~ I I I ~ ~ I I I I ~ I ~ ~ I l ~ ~ ~ l ~ l ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ 1 PO ~ ~ Box ~ ~ 10335 l~~ Des Moines, IA 50306 1MB 01840/001840/0033420012 3 AGPS7UHP601 708 ours of Operation: Mon - Fri, 8 AM - 11 PM Sat, 9 AM 3 PM CT CAROLE ALLES 43060 ILLINOIS AVENUE PALM DESERT, CA 92211-7551 Loan Number: 0154270391

Account Information

Property Address:

43060 Illinois Avenue Palm Desert CA 92211

Subject: Your request for mortgage payment assistance Note: We service your mortgage on behalf of your investor, Federal Home Loan Mortgage Corp Freddie Mac. Dear Carole Alles:

We're responding to your request for mortgage assistance and the options that may be available to help you. We realize that the process can take some time, and we appreciate your patience while we' review your options. Here's what we found We carefully reviewed the information you sent us and explored a number of mortgage assistance options. At this time, you do not meet the requirements of the program because: Based on your documented monthly income, we are unable to create an affordable payment that meets the requirements of the program. Please note: the information above is the primary reason that you are not eligible for mortgage assistance, however there may be other reasons related to the decision. If you have any questions about our decision, please call your Home Preservation Specialist at the number listed at the bottom of this letter.
What you need to do if you want to appeal this decision You have the right to request an appeal of the above-noted decision. If you want to appeal the decision, please follow these important steps: 1. Carefully review this letter and the reason you do not meet the requirement of the program. 2. If you have a reason to believe our determination was incorrect and want to appeal the decision, call your home preservation specialist right away at the number listed at the bottom of this letter. We will discuss what documents you are required to submit to support your appeal. You must ensure that we receive all the information requested before 30 calendar days from the date of this letter. If we do not receive all required documentation from you by the deadline, we cannot move forward with your appeal. Mail all required documents (and include your loan number) to:

Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 18 of 20 Page PageID 2 of 3 #:806
r

Account Information
Loan Number:

0154270391
Palm Desert CA 92211

Property Address: 43060 Illinois Avenue

1000 Blue Gentian Road Suite 30Q.MAC X9999-01N Eagan, MN 55121 Or fax all required documents to your home preservation specialist at the fax number listed at the bottom of this letter (and include your loan number). 3. After we receive your documentation, you will receive an acknowledgement letter outlining next steps in the appeals process. 4. Your home will not be sold in a foreclosure sale during the appeal period.

Your important next steps There may be other mortgage assistance options available to help you avoid a foreclosure sale. Please contact us to learn about the options listed below: If you're interested in staying in your home, you may be eligible for help through a different mortgage assistance program. s If you cannot or prefer not to stay in your home: o If the present value of your home is higher than your mortgage balance, you can try to sellyour home before the foreclosure sale takes place. o If your mortgage balance is higher than the present value of your home, you may want to consider what is known as a "short sale". This allows you to sell your home privately for an agreed-upon amount that is less than what you owe on your mortgage. To start the short sale process, it's important for you to work with us in advance to set the selling price. o The remaining option is a deed in lieu of foreclosure. You can voluntarily deed your property to Wells Fargo, transferring ownership of your home to us.
What you need to know about foreclosure We will continue to work with you to help you avoid a foreclosure sale. Please note the following: If your mortgage has been or will be referred to foreclosure, that process moves forward at the same time. During the appeal period (within 30 days of the date of this letter), a foreclosure sale of your home will not bs held. As part of the foreclosure process, you may see steps being taken in proceedings or receive notices from a third-party attorney delivered by mail. Call us now We must hear from you. In order for us to help you, it's critical that you contact us immediately to discuss your options. Please call the phone number listed below. Sincerely,

Carmen Saldana Home Preservation Specialist Wells Fargo Home Mortgage

Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 19 of 20 Page ID #:807

Page 3 of 3

r-------I
Loan Number:

Account Information
0154270391

Property Address: 43060 Illinois Avenue Palm Desert CA 92211

Ph: 1-877-242-5052 ext. 29489 Fax:I-866-590-8910

b g g l i n gwith other expenses? Help is available.

Sometimes customers have trouble keeping up with their monthly expenses, other than their mortgage payments. If this is happening to you, help is available at no cost from a HLiD-approved, non-profit credit counseling agency. Simply call a counselor who will work closely with you tG Cower your other monthly payments, take your financial circumstances into consideration, and create a budget plan to work for you. To find an agency in your neighborhood, call 1-800-569-4287 or call the HOPE Hotline at 1-888-995-HOPE.

Be sure you avoid anyone who asks for a fee for counseling or a loan modification, or asks you to sign over the deed to your home, or to make your mortgage payments to anyone other than Wells Fargo Home Mortgage. -

This communication is an attempt to collect a debt and any information obtained will be used for that purpose. However, if you have received a discharge of this debt in bankruptcy or are currently in a bankruptcy case, this notice is not intended as an attempt to cdlect a debt, and we have a security interest in the property and will only exercise our rights as against the propew. With respect to thoseloans located in the State of California, the state Rosenthal Fair Debt Collection Practices Act and the federal Fair Debt Cdlectim Practices Act require that, except under unusual circumstances, collectors may not contact you before 8 a.m. or afta 9 p.m. They may not harass you by using threats of violence or arrest or by using obscene language. Collectors may not use false or misleading statements or call you at work if they know w have reason to know that you may nat receive personal calls at work. For the most part, cdlectors may not tell another person, other than your attorney w spouse, about your debt. Cdlectors may contact another person to confirm your location or enforce a judgment. For more information about debt collection activities. you may contact the Federal Trade Commission at 1-877-FTC-HELP or w.ftc.gov.

The federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national ofigin, sex or marital status, or age (provided the applicant has the capacity to enter into a binding contract): because all or part of the applicant's income derives from any public assistance program; or because the applicant has in good faith exercised any right under the Consumer Credit Protection Act. The federal agency that administers compliance wth th~s law concerning this creditor is Office of the Comptroller of the Currency, Customer Assistance Group. 1301 McKinney Street. Suite 3450. Houston, TX 77010-9050.
s a division of Wells Fargo Bank. N. A. O 2012 Wells Fargo Bank. N. A. All rights resewed. Equal Housing Lender. Wells Fargo Home Mortgage i
NMLSR ID 399801

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Case 5:12-cv-02095-MWF-DTB Document 33-1 Filed 04/01/13 Page 20 of 20 Page ID #:808

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28
Dated: 4-1-2013

PROOF OF SERVICE STATE OF CALIFORNIA, COUNTY OF SANTA BARBARA At the time of service I was over 18 years of age and not a party to this action. I am attorney for plaintiff. My address is: 950 Roble Lane, Santa Barbara, CA 93103. On April 1, 2013 I served true copies of the following document(s) MOTION TO JOIN DIRECTOR OF FHFA AS CONSERVATOR FOR FREDDIE MAC with Declarations of Nancy McCarron & Carole S. Alles, RJN, Notice of Lodging Order, with pdf copy of proposed order [ Doc & pdf format proposed order sent to Judge by email to: mwf_chambers@cacd.uscourts.gov]. The documents were served to:
Adam S. Hamburg, Atty for Wells Fargo Prenovost, Normandin, Bergh & Dawe Broadway, Suite 200 Santa Ana, CA 92706-2614 714-547-2444 fax 714-835-2889 ahamburg@pnbd.com Helen Cayton, Atty for CWRC Wright, Finlay & Zak LLP2122 No. 4664 MacArthur Court, Suite 200 Newport Beach, CA 92660
949-477-5050 ext.1024 fax 949-608-9142 hcayton@wrightlegal.net

Courtesy copy sent by email to: Director@fhfa.gov; DeputyDirector-enterprises@fhfa.gov;

GeneralCounsel@fhfa.gov; Ombudsmen@fhfa.gov

BY CM/ECF NOTICE OF ELECTRONIC FILING: I electronically filed the document(s) with the Clerk of the Court by using the CM/ECF system. Participants in the case who are registered CM/ECF users will be served by the CM/ECF system. Participants in the case who are not registered with CM/ECF users will be served by mail or by any other means permitted by the court rules, and/or agreed by the parties. I declare under penalty of perjury under the laws of the United States of America that the foregoing is true and correct and that I am a member of the bar of the Court at whose direction the service was made. Executed on April 1, 2013 at Santa Barbara, CA.

- 23 Motion to Join Real Party in Interest FHFA as Conservator for Freddie Mac, Alleged Beneficiary