Wells Fargo class action lawsuit overview:
- Who: Plaintiff Barbara Prado filed a class action lawsuit against Wells Fargo & Company and Wells Fargo Bank NA.
- Why: Wells Fargo allegedly sent vague letters and cashierโs checks to buy off affected consumers without explaining how an error affected their mortgage loan accounts.
- Where: The Wells Fargo class action lawsuit was filed in California federal court.
A new Wells Fargo class action lawsuit alleges the bank overcharged tens of thousands of consumers on their mortgage loan accounts and attempted to settle the issue by sending cashierโs checks without explaining the error.
Plaintiff Barbara Prado alleges she received a letter claiming a Wells Fargo error related to her mortgage loan may have occurred. The letter also reportedly included a $500 cashierโs check. Two days later, she says she received a similar letter with an additional cashierโs check in the amount of $690.65.
The Wells Fargo class action alleges the bank overcharged consumers in connection with certain modifications to their mortgage loan accounts but failed to disclose the error that allegedly led to the overcharge.
โIndeed, it is not even clear from Wells Fargo if the โerrorโ was an overcharge or some other servicing error,โ the lawsuit says.
Plaintiff says bank concealed Wells Fargo error and tried to buy off affected consumers
The Wells Fargo class action lawsuit says the bankโs โunscrupulous actionsโ were completely concealed until June 2024 when it began mailing cryptic letters with cashierโs checks to affected consumers.
The letters allegedly fail to provide any accounting or itemization to explain how the Wells Fargo error affected customersโ mortgage loan accounts.
โIt is therefore impossible for a consumer to determine the amount of their actual damages, including their out-of-pocket harm,โ the Wells Fargo class action lawsuit alleges.
Prado points to the bankโs โhistory of unscrupulous business practicesโ and says she believes the cashierโs checks are an attempt to buy off customers by paying them a nominal amount to compensate them for the Wells Fargo error.
โWells Fargo intentionally disseminated vague letters to discourage consumers from looking into the issue further and exercising their rights,โ the lawsuit states.
The Wells Fargo error class action lawsuit asserts claims for violations of Californiaโs Unfair Competition Law, California Penal Code, conversion and unjust enrichment.
Another recent Wells Fargo class action lawsuit claims the bank charged consumers a fee when they deposited checks that bounced.
Was your mortgage loan account affected by the Wells Fargo error? Tell us about your experience in the comments.
Prado is represented by Abbas Kazerounian, Ryan L. McBride and Jonathan Gil of Kazerouni Law Group APC and Theodore O. Bartholow III and Karen L. Kellett of Kellett & Bartholow PLLC.
The Wells Fargo error class action lawsuit is Barbara Prado v. Wells Fargo & Company, et al., Case No. 3:24-cv-05105, in the U.S. District Court for the Northern District of California.
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82 thoughts onWells Fargo class action claims bank wonโt disclose โerrorโ in mortgage loans
i had a reverse mortgage with wells fargo which they sold to another bank without telling me. Now I wrote to them to see if I am part of any settlement, they told me NO,BECAUSE I DID NOT HAVE A CHECKING ACCOUNT WITH THEM. WHAT THE HELL??? IRMGARD MEADER
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Wells Fargo overcharged me on my mortgage by asserting there was an increase in property tqaxes when there was no increase
We had a mortgage with Wells Fargo Nov 2015 in Feb 2017 we received a letter saying they sold our mortgage to another company we did receive 1 check for 300 but nothing else
Wells Fargo sent me a check for 585.00 for a mortgage I had with them. When they sold out to another company
Wells Fargo Foreclosed & Sold my home after a lengthy and multiple court battle, by misrepresentation to the Courts that they were the owners of my mortgage. I never did business with Wells Fargo and I persisted to request how did Wells Fargo claim to be the owners. I started to receive letters (6) from upper-level members from Wells Fargo, that they were not the Owners or Investors. The most recent letters claim that they could not identify that they were the Owners, Investors, Originators, Servicers or Acquired a mortgage on my property. The latest letter claims that they were not involved in a foreclosure, actually my mortgage was owned by another bank. I retained a NYS Licensed Private Investigator, and his report confirmed that, Wells Fargo had misrepresented to the Federal Bankruptcy Court that they were the owners. Recently, within the past two months Wells Fargo has sent me letters that they had no activity with the foreclosure that allowed them to sell my property. Lying to the court that is not nice Wells Fargo, I like this class action started by Barbara Prado.
I had mortgage with Wells Fargo from 2004 โ 8/2024. I was in the MERs mess and the government gave big banks for bailout money. My mortgage was diced up and sold to inedters as a bundled. Wells Fargo ribosomes docs etc. unfortunately the lawyers I hired didnโt do their jobs as good respentstion, I believe it was over their heads and I spent over 30,000 dollars in representation over the years and the judges didnโt even read the documents so I have a big deferred principal like 150,000 plus 130,000 principal just to stay in my home. Wells Fargo couldnโt prove they actual owned my mortgage. With what I have paid over the years my house should be free and clear. Now as of 8/2024 they have turned my mortgage over to Shellpoint. I did receive a letter with check attached saying they had found an error and the check was fir that. What they gave me is a joke fir what I have gone through just to stay in my home. I could g on and on.
I received a letter from Wells Fargo re: error on my โapproved and finalized loan modificationโ
along with a check in the amount of $806.31 on August 5. I still have the letter and the check.
The check is made out to two people, one of whom is now deceased. WF has agreed to
reissue check in my name only, but so far, I have not received it. I would like to join this lawsuit.
I live in Pennsylvania and Wells Fargo notified us in September or October 2023 that our mortgage had been sold. Our last payment to Wells Fargo was November and payment to the new company would be due in December 1, 2023. We were told we could contact the new company in mid- to late November for the new mortgage account number.
We had a mortgage with Wells Fargo several year ago. They refused to let us tag a late payment at the end after stating we could make arrangements for that. While we were waiting on them to send us that info so we could do that they foreclosed on our home. Since then we have not been able to get a home. Still renting like 10 year later. They also send us a check (s) not staying what it was for. 4800.00 does not cover the damage they done to us. Itโs not like we hadnโt made contact with them. All you could get from WF is itโs in review then bam you have 30 days to get out of your home. Will never recommend or deal with them again. Never received any letters or anything from them. Except the letter stating to vacate property by a certain date.
I had a Wells Fargo loan from June 2006 โ 2020
We had a mortgage with Wells Fargo in Columbus, Ohio from around 1998-2005. We moved to California some years later. In 2022, we received a couple of checks from Wells Fargo stating an error in their mortgage payments but with no explanation or detail. I even calle dthem and tried to understand better but they were very vague about it.
We first received a vague letter to call a customer service number. We called and within about 3 weeks, we received the check with no explanation on how the amount was calculated. We could cash the check or sign papers that we wanted to go to mediation.