Wells Fargo Bank provided inaccurate monthly reports to investors regarding the level of delinquencies in loan pools it oversaw last year, according to a disclosure made by the bank inside a recent pooling and servicing agreement. Wells's disclosure will likely be the first in a number of such admissions as the Regulation AB servicer assessment and attestation reports become due, Fitch Ratings analysts said.

Based on Wells's disclosure, the number of monthly remittance reports that have errors is unclear. This comes at a time when home-equity loan investors are counting on remittance reports for an indication about where to sell, short or buy, making the need for accuracy particularly pressing, market participants said last week.

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