Jessy Edwards  |  December 21, 2022

Category: Consumer News

Top Class Actions’s website and social media posts use affiliate links. If you make a purchase using such links, we may receive a commission, but it will not result in any additional charges to you. Please review our Affiliate Link Disclosure for more information.

Close up of Wells Fargo signage.
(Photo Credit: George Sheldon/Shutterstock)

Wells Fargo fees overview: 

  • Who: The Consumer Financial Protection Bureau ordered Wells Fargo Bank to pay $3.7 billion in compensation and penalties. 
  • Why: The bureau says the bank illegally charged fees and interest on auto and mortgage loans and consumer accounts.
  • Where: The fine is active in the United States.

The Consumer Financial Protection Bureau (CFPB) ordered Wells Fargo Bank to pay $3.7 billion in compensation and penalties for charging illegal fees and interest on auto and mortgage loans.

The CFPB issued the consent order Dec. 20, stating that it identified multiple violations of the law in regards to Wells Fargo’s auto loan servicing.

According to the order, the bank incorrectly applied loan payments, “erroneously imposed certain fees and charges,” incorrectly repossessed customers’ vehicles and failed to refund certain unearned fees of debt cancellation products.

With respect to home mortgage servicing, Wells Fargo also violated the law, the CFPB says.

“Respondent incorrectly denied mortgage loan modifications to certain qualified borrowers,” the order states.

Wells Fargo also allegedly improperly froze or closed customer deposit accounts, improperly charged certain overdraft fees and did not always waive monthly account service fees consistent with its disclosures, according to the order. 

Wells Fargo to pay $2 billion to more than 16 million accounts

Under the terms of the order, Wells Fargo must pay $2 billion to more than 16 million affected consumer accounts. The other $1.7 billion will go to the CFPB’s Civil Penalty Fund to provide relief to victims of consumer financial law violations, the order states.

“Wells Fargo’s rinse-repeat cycle of violating the law has harmed millions of American families,” CFPB Director Rohit Chopra says in a statement. “This is an important initial step for accountability and long-term reform of this repeat offender.”

Meanwhile, the U.S. Securities and Exchange Commission (SEC) and the U.S. Department of Justice (DOJ) are investigating the hiring practices at Wells Fargo.

Wells Fargo reportedly indicated in its quarterly SEC filing that the federal agencies are investigating its diversity hiring practices. The DOJ allegedly launched its investigation a few months ago, and the SEC launched its investigation more recently.

What do you think of the penalties the SEC imposed on Wells Fargo in this order? Let us know in the comments! 


Don’t Miss Out!

Check out our list of Class Action Lawsuits and Class Action Settlements you may qualify to join!


Read About More Class Action Lawsuits & Class Action Settlements:

We tell you about cash you can claim EVERY WEEK! Sign up for our free newsletter.

800 thoughts onWells Fargo to pay $3.7B for charging illegal fees, interest on loans, accounts

  1. Diane Paquette says:

    I’ve had the same issues with Wells Fargo account. No one would explain it to me.

  2. Barbara Shea says:

    How do I join this lawsuit against Wells Fargo?

    1. Michelle L Artz says:

      Wondering the same thing 🤔

  3. Barbara Shea says:

    I had a mortgage with Wells Fargo. They stopped cashing my checks and imposed late fees. Then, because the late fees were fraudulent, I refused to pay them. I tried modification, which went on for 3 years. My paperwork was always lost, and I was forced to begin the modification process over and over. I was forced to file for bankruptcy. After the bankruptcy period ended, my home was foreclosed upon and auctioned off. The auctioned price of my home was less than the sale price that I agreed to. My family of myself, 2 teenage daughters and my husband who had terminal cancer, were forced out of our home during the Christmas week of 2016. My husband passed away. My daughters and I have not recovered emotionally from the cruelty of Wells Fargo. Wells Fargo has victimized people through their fraudulent practices. My daughters and I want our home back that was illegally foreclosed upon by Wells Fargo and their unscrupulous practices! Is there an attorney out there who is not afraid to stand up to Wells Fargo and help my daughters and I? I would love to have Wells Fargo pay to move the family who is living in my house to another home, and be forced to give me my house and the title. My daughters and I miss our home.

    1. Michelle Artz says:

      We are pretty much going through the same thing. Wells Fargo is the worst mortgage company ever. I told my kids right out dont ever go with Wells Fargo when they bought there houses. They said definitely not we know what yous went through and are still going through.

  4. Kyle James says:

    Started receiving text messages referring to an account that I never opened.

  5. Ronika Arceneaux says:

    Add Me I have account I didn’t request

    1. Kyle James says:

      Started receiving text messages
      about some accounts that I had with them although I know I didn’t open an account recently with Wells Fargo.

  6. Leslie A Gregory says:

    Wells Fargo Has misused my money and set up account I did not request.

  7. Bryan Morris says:

    N/A

  8. Doris Thomas says:

    Wells Fargo opened a mortgage in my name and my property was foreclosed on in 2006! They acquired my information and researched my property and never gave me my restitution for a wrongful foreclosure!

  9. Christopher Wilkins says:

    I have a mortgage since 2010. I have been in foreclosure since 2013. From 2011- to this very day I have been through at least 5 trial modifications. Made payment on every one only to have to be told to reapply. Over and over. The last mod the banks attorney would not accept my 5th trial payment. I don’t even know where to start. There is so much more and it’s gotten worse it is unbelievable. Please add me to this

    1. Misty Staker says:

      Add me

    2. Julie French says:

      To Christopher Wilkins
      We had same problem with Wells Fargo. Was 30 days from auction for foreclosure, and not our doing. We had to file a bankruptcy to save our house from them vulchers. Then we received a check for 3500 from them. That’s what we had to pay almost to attorney for bankrupt 3000. So maybe that you should look into. Loan modifications they will jerk you around until they foreclose on your home, trust me.

1 62 63 64

Leave a Reply

Your email address will not be published. By submitting your comment and contact information, you agree to receive marketing emails from Top Class Actions regarding this and/or similar lawsuits or settlements, and/or to be contacted by an attorney or law firm to discuss the details of your potential case at no charge to you if you qualify. Required fields are marked *

Please note: Top Class Actions is not a settlement administrator or law firm. Top Class Actions is a legal news source that reports on class action lawsuits, class action settlements, drug injury lawsuits and product liability lawsuits. Top Class Actions does not process claims and we cannot advise you on the status of any class action settlement claim. You must contact the settlement administrator or your attorney for any updates regarding your claim status, claim form or questions about when payments are expected to be mailed out.