$185M Wells Fargo Mortgage Forbearance Settlement

Unsplash | Published: November 2, 2024

Claim Form Deadline: January 10, 2025

Payout: $185 million

Proof required: Yes

What's the $185M Wells Fargo Mortgage Forbearance Settlement?

Wells Fargo has agreed to a $185 million class action settlement over allegations that they improperly moved some of their customers into what is known as "mortgage forbearance".

This class action lawsuit, known as In re Wells Fargo COVID Forbearance Settlement Litigation, alleges that Wells Fargo placed customers into mortgage forbearance without their informed consent during the COVID-19 pandemic. The class action lawsuit claims that Wells Fargo provided mortgage forbearances to certain customers who had made an inquiry or expressed hardship but had not explicitly requested a forbearance.

The class action lawsuit alleged that Wells Fargo harmed certain customers by causing delays in refinancing, increased refinancing costs, denial or reduction of personal credit lines, inability to access existing lines of credit, lost income, and other damages.

What is the Total Settlement Amount?

The total Wells Fargo settlement amount is $185 million.

How Do I Qualify For a Payout?

To potentially qualify for a payment, you must have had a mortgage serviced by Wells Fargo that was placed into a COVID mortgage forbearance without adequate informed consent between March 1, 2020, and December 31, 2021.

There are some exclusions, such as that you must not have been a debtor or the co-borrower of a debtor in a Chapter 13 bankruptcy case on the date that the mortgage was placed into the forbearance.

How Do I Find Class Action Settlements?

Find all the latest class actions you can qualify for by getting notified of new lawsuits as soon as they are open to claims:

How Much Can I Get Paid?

The settlement provides for two types of payments:

• Automatic Payment: The first $69 million will be distributed equally as automatic payments to class action claimants who do not exclude themselves from the Settlement, pro rata based upon the number of mortgages placed into an "At Issue Forbearance". Co-borrowers on a mortgage that received this may be able to receive an additional $83.33 automatically.

• Supplemental Payment: Class action claimants can also submit a claim form requesting additional compensation for damages proximately caused by the at-issue forbearance, such as delayed refinancing, increased refinancing costs, denial or reduction of personal credit lines, inability to access existing lines of credit, lost income, and other damages.

How Do I File a Claim?

To file a claim, you can submit the claim form online using a Unique ID you may have already been supplied in a class action notice via postcard or email, or you can download a copy of the claim form and mail it in. The deadline is to file the claim form, postmarked or submitted online on or before Friday, January 10, 2025.

Do I Need Proof to File a Claim?

Yes, you may need to provide supporting documentation for all the information provided in each section of the claim form. This may include proof of the damages you suffered, such as delayed refinancing, increased refinancing costs, denial or reduction of personal credit lines, inability to access existing lines of credit, lost income, and other damages.

Claim Form Website: Wells Fargo Settlement Site

Submit Claim

Filing Class Action Settlement Claims

Please note that your claim form will be rejected if you submit a settlement claim for payout with any fraudulent information. By providing this information and your sworn statement of its veracity, you agree to do so under the penalty of perjury. You would also be harming others that actually qualify for the class action settlement. If you are not sure whether or not you qualify for this class action settlement, visit the class action administrator's website below. OpenClassActions.com is only providing information and is not a class action administrator or a law firm. OpenClassActions is a participant in the Amazon affiliate advertising program and this post may contain affiliate links, which means we may earn a commission or fees if you make a purchase via those links.

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