Wells Fargo Lending Discrimination Class Action Compensation

In March 2011, a jury returned a verdict of more than $3.5 million against Wells Fargo Bank in a class action lawsuit accusing the bank of discrimination in its lending practices. On Oct. 13, 2015, a judge approved the distribution plan which will provide monetary benefits to eligible Class Members.

If you obtained a home loan from a Wells Fargo located in a minority community in Los Angeles between May 1, 2002 and December 2005, you may be entitled to payment.

The Wells Fargo class action lawsuit was initially filed in August 2005. The plaintiffs accused the bank of discriminating against borrowers who applied for home loans through minority branch locations. According to the Wells Fargo class action lawsuit, loan officers at some of these minority branch locations were precluded from using the Loan Economics computer program, which could discount a loan.

Wells Fargo appealed the judgment, but the judgment was affirmed on Feb. 17, 2015. After the judgment was affirmed, the plan of distribution was determined and a judge approved the final distribution plan on Oct. 13, 2015.

Eligible Class Members should have received notification of the distribution by mail. If you received a notice of the distribution, you do not need to take any action to obtain benefits. If you did not receive notice of the Wells Fargo distribution, you must file a Claim Form by Dec. 26, 2015 to be considered.

UPDATE: On Mar. 28, 2016, according to the settlement website, the court has approved distribution to eligible Class Members and payments were mailed out on Mar. 21, 2016. Keep checking your mailbox, because checks are on the way! 

Who’s Eligible

Class Members of the Wells Fargo class action lawsuit include all borrowers who:

1. Obtained a first trust deed-secured home loan from Wells Fargo Bank and/or Wells Fargo Home Mortgage in an amount in excess of $150,000; and

2. Who applied for the loan through a Wells Fargo branch and/or office located in a certain part of Los Angeles County (click here for a map of the covered area); and

3. Whose loan was funded between May 1, 2002 and December 2005.

According to the Class Notice, “The geographic area referred to in the Class definition is roughly described as follows: (1) having its northern boundary defined by the I-10 freeway from the Pacific Ocean to its juncture with California Highway 60, and from there eastward by California Highway 60; (2) having its east and southeast boundary defined by the Los Angeles County line where it meets with San Bernardino and Orange Counties; and (3) having its western and southern boundary being bordered by the Pacific Ocean.”

Potential Award

The funds will be distributed equally among all Class Members who received a notice or file a valid Claim Form by Dec. 26, 2015.

NOTE: If you received a notice in the mail and you do not wish to receive benefits, you must file an exclusion request by Dec. 26, 2015.

Proof of Purchase

N/A

Claim Form

CLICK HERE TO FILE A CLAIM »

Claim Form Deadline

12/26/2015

Case Name

Opal Jones, et al. v. Wells Fargo Bank NA, et al., Case No. BC337821, in the Superior Court of the State of California, County of Los Angeles

Final Hearing

N/A. A settlement was not reached, so no final hearing will be held. The court approved the parties’ plan of distribution on Oct. 13, 2015.

Settlement Website

www.WellsFargoLoanEconomicsClassAction.com

Claims Administrator

Wells Fargo Loan Economics Class Action
c/o Dahl Administration
P.O. Box 3614
Minneapolis, MN 55403-0614
1-866-949-5174
WFLoanEconomics@DahlAdministration.com

Class Counsel

CAPPELLO & NOEL LLP

Defense Counsel

SKADDEN ARPS SLATE MEAGHER & FLOM LLP