Were You a Wells Fargo Customer Over Last Decade? You Could Be Entitled to Thousands in Damages
More than 16 million people are owed some serious cash from Wells Fargo. If you happened to be a customer of the banking institution during the period of 2011 to 2022, this could apply to you, according to CNBC.
The Consumer Financial Protection Bureau filed proceedings against the financial giant for “breaking federal consumer protection laws that apply to financial products,” and the bank has now finalized a settlement to the tune of $3.7 billion. In addition to $1.7 billion that will go towards a victims’ relief fund, per the CFPB, that leaves $2 billion that is owed in direct payments to the bank’s customers who may have been subject to erroneous overdraft checking account fees, misapplied payments and foreclosures in regards to mortgages and auto loans.
According to the CFPB, one in three American households were customers of Wells Fargo during this time period and the organization has provided more information on who may be affected and how to recoup the financial restitution.
Wells Fargo Checking Account Customers
Any customer who was charged incorrect fees may be eligible for the damages payment. This includes anyone who had a “surprise” overdraft fee for debit card purchases, checks or ATM withdrawals when their account had enough funds to cover the transaction. It also includes anyone who had a monthly fee that shouldn’t have been applied. Banking clients may receive up to $100 in damages.
Wells Fargo Auto Loan Holders
This provision applies to those with auto loans where payments were “not applied correctly” and might have resulted in higher interest or late fees, as well as “wrongful repossessions.” It also applies to those that paid for GAP coverage (covering the full loan after accidents or theft) when Wells Fargo didn’t refund money in some cases, as in when the loan was paid ahead of time. Auto loan holders are owed “at least” $4,000 as part of the settlement.
Wells Fargo Mortgage Customers
The CFPB has also gone after the financial institution for wrongful practices with mortgages. That includes customers who were charged fees when they shouldn’t have been or loan holders that were “unfairly turned down when they requested modifications to their loan to avoid foreclosure.”
Those with mismanaged mortgages are owed more than $24,000.
As part of the settlement, Wells Fargo is required to notify customers and act swiftly on providing payments. “You don’t need to take any action to receive your payment. Some customers have already received their payments,” says the CFPB. If you think you are owed and have not received notification yet, the group advises customers to call Wells Fargo at 844-484-5089, Monday through Friday, from 9:00 a.m. to 6:00 p.m. ET, or file a complaint at consumerfinance.gov.
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