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.
Wells Fargo is violating state and federal laws regulating repossessed vehicles, a class action lawsuit alleges.
The plaintiffs say they were making loan payments to Wells Fargo when their vehicles were repossessed starting in 2014. During this process, they claim they weren’t properly notified by Wells Fargo, had “unfair” fees attached to the outstanding balance and were not given a fair chance to redeem the seized vehicle.
“Plaintiffs challenge Defendant’s concealed wrongdoings including…Defendant’s systematic ending of statutorily non-compliant [repossession notices] which failed to inform the debtor of the intended method of disposition, their redemption rights, and fees which resulted in an inaccurate redemption amount,” according to the Wells Fargo class action lawsuit.
During the repossession notice process, plaintiffs say Wells Fargo violated the federal Uniform Commercial Code and Pennsylvania’s Motor Vehicle Sales Finance Act .
“Repossessors of vehicles; such as Wells Fargo, are required to comply with both the UCC and MVSFA,” the plaintiffs said.
The repossession notice from Wells Fargo “failed to state that the borrower had the absolute right to redeem the vehicle up until the date of the sale,” according to the class action lawsuit. Instead, plaintiffs claim, the notice “improperly” limited the amount of time to redeem.
Additionally, plaintiffs claim the repossession notice sent by Wells Fargo provided “conflicting” statements regarding the money owed to get their vehicles returned, which was “especially confusing” and against Pennsylvania’s motor vehicles finance law regarding a description of liability.
Plaintiffs point to the language Wells Fargo used in the repossession notice. At first, according to the class action lawsuit, the repossession notice said paying “full amounts owed” would reinstate the loan, but the consequent messaging gave an option of “paying the full amount owed or by paying the past due payments.”
The repossession notice sent by Wells Fargo to plaintiffs also uses the term “reinstate” and “redeem” interchangeably when “these are separate terms and processes,” according to the lawsuit, and adds to plaintiff confusion.
In addition, the repossessed vehicles were taken to auction prior to a required 15-day redemption period, plaintiffs said.
According to the class action lawsuit, Wells Fargo led plaintiffs to believe their vehicles would be sold in a private auction, but were instead listed publicly.
“Wells Fargo systematically failed to inform the Public Auction Class Members that their vehicles were being sold at a public sale, and the date and time of that sale, as required,” plaintiffs said.
The repossessed vehicles were being handled by unlicensed repossession brokers, according to the class action lawsuit, something required by both the MVSFA and UCC. Specifically, plaintiffs point to the use by Wells Fargo of Victory Recovery Services.
“Victory is a company incorporated in Georgia that is neither registered to conduct business in Pennsylvania nor licensed as a repossession broker in the Commonwealth.”
These third party brokers were allowed to charge additional fees not allowed by law, according to the class action lawsuit. The repossession notice also failed to disclose the entirety of the fees.
“Wells Fargo (or its broker) had arrangements with the repossessor, repossession broker, and/or auction permitting the assessment of a Storage Fee, Redemption Fee, Reinstatement Fee, Administrative Fee, and/or Personal Property Fee that would be required to be paid by the borrower to these third parties in addition to the reinstatement and redemption amounts stated in the Notice of Repossession,” according to the Wells Fargo class action lawsuit.
Plaintiffs claim the amounts owed were not accurately detailed in the repossession notice. These fees are “not actual, necessary, or reasonable expenses as they were not expenses incurred by Wells Fargo,” according to the class action lawsuit.
Plaintiffs Joseph and Tammy Yerty says they reinstated their loan with Wells Fargo after getting a repossession notice but were surprised to see they owed even more when they traveled to the repossessor (a subcontractor of Victory recovery services).
“This deceptive and unfair practice had the effect of imposing a non-consensual lien on the personal property owned by Class Members which neither Wells Fargo nor any third party had a right to assert,” plaintiffs said.
Additionally, plaintiffs claim Wells Fargo failed to send “post sale” notices via certified mail after the vehicle was auctioned off.
The case, filed initially in Pennsylvania state court, has been removed to the U.S. District Court for the Eastern District of Pennsylvania.
Have you received a repossession notice from Wells Fargo? Let us know in the comments below.
Richard Shenkan of Shenkan Injury Lawyers LLC is representing the plaintiffs in this class action lawsuit.
The Wells Fargo Repossession Notice Class Action Lawsuit is Vincent Sorace, et al. v. Wells Fargo Bank NA, Case No. 2:20-cv-04318, in the U.S. District Court for the Eastern District of Pennsylvania.
Read About More Class Action Lawsuits & Class Action Settlements:
Wells Fargo COVID-19 Mortgage Forbearance Policy Sparks Suit
Exxon and PBF Energy Reach $4.4M California Wage and Hour Settlement
Wells Fargo Home Loan Class Action Filed Over Date ‘Corrections’
206 thoughts onWells Fargo Unfairly Repossesses Vehicles, Class Action Lawsuit Says
I am starting to think our own Government is running wells Fargo bank
I’ve spent years trying to help people as an ER RN. I’ve never seen this kind of nefarious management and arrogance in policies. My 2006 VW beetle convertible was repossessed and sold for pennies on the dollar at auction. I paid over 30,000.00 for the automobile and with interest on the loan over 34,000.00, WF sent me a check for approximately 16,000.00. They owe me at a minimum an additional 14,000.00 if not 18,000.00 and that doesn’t begin to cover the pain and suffering of being humiliated to my children that dad can’t pay bills and created anxiety for them of feeling insecure. They lost their mom to breast cancer, and now they lost the family car in what appeared to be dad’s fault. It was the greed offspring of a female dog that stole our car, our peace of mind, and freedom, not to mention the damage that the repossession/”surrender” did to my credit score that had been in the 780 range. Has anyone made an additional complaint and received additional monies for this gross wrongdoing and criminal activity?
I recently had my 2018 f150 raptor repossessed by Wells Fargo. I wa given the option to reinstate the loan but before I could come up with the funds the truck was already on the move to be sold at auction. I received a call from Wells Fargo stated that the truck was sold and I would need to pay the left over money amount owed on the truck.
I had got this truck in 2021 with a trade in of my 2017 f150 king ranch. The interest rates were super high and I didn’t pay much attention at the time because I was excited getting in my dream truck- also I was making great money to afford the payments, there were even instances where I paid in advance in hopes to put money towards the principle on the truck but when I looked at the money owed it did not reflect that.
Wow do these stories hit home…..repossession was last week…got my car back today….problems with Wells Fargo being truthfully of phone numbers, who had my car, no notification until after the fact, the list goes on & on. It makes my blood boil that they can get away with their actions. I plan on taking my case further!
Wells Fargo repossessed my father’s car in 2009 for assuming he didn’t have vehicle insurance on the vehicle and was very unclear as to what he would be able to do to recover his vehicle. Never gave him a heads up that the vehicle was going to be taken. Tow company charged him to get his belongings out the vehicle. My dad had insurance on the car. That totally humiliated my father after that happened his credit was totally destroyed by wells Fargo’s negligence of how they handled that matter. My father went into total depression which put so much emotional distress on my mother and I to see him going through that. He passed away the following year in 2010. I saw they had a class action and filled a claim out and wells Fargo sent a check in his name i deposited in my chase account because I became his representative after my mom passed and I showed chase the affidavit but they will not release the funds and have had them for 2 years now. I have lost my vehicle due to them doing that to me. I contacted wells Fargo and asked them to reissue me the check but they said Chase has it the check cashed. I dont even want it anymore I want to go after wells Fargo on my own for what they did to my dad and my family for no reason at all simply not doing their jobs as supposed to be done. Wells Fargo thought they could get away with sending him a check for $2.65 then they realized that my dad did have auto insurance after I told them the companies they found out and sent another check thinking it would be sufficient but no its not I want them to pay for everything they caused my dad to lose and more and the emotional pain depression, lack of life they caused all of us to suffer . They need to know they cant just keep doing people like anyway they want to. And since they wasnt willing to reissue the check when a they had to do was claim it from chase I want to go after them for a much bigger cause.
WF refuses to release my possessions from my vehicle they repossessed 2 weeks ago.
I had the funds to pay the loan off in full after they repossessed it, but because the loan is in my deceased husband’s name, they will not talk with me. They mailed collections to my old address in NY and picked up the car where I live in PA. So, I did not have a chance to borrow money to catch up.
They are insisting I need a court order stating I am the executor of his estate. I can’t afford that process.
I gave them proof that the car is mine and a letter from my husband that if anything happens to him the car becomes mine.
I feel something underhanded is going on here.
I couldn’t afford the full monthly payment so made smaller payments. I missed a few sporadically and the last payment I made was in November.
My garage remote and remote to my community is in the car along with other miscellaneous items that they refuse to release to me.
I learned of the lawsuit and believe I fall in the category of unlawful repossession.
I paid my car note and woke the next day to go to work and my car was gone I thought someone had stole my car then my neighbor said it was towed after doing some research I realized wells fargo had repossed my vehicle after I already paid my car note all they could say was were sorry even though you made the payment thru already took the vehicle and you have to pay to get the vehicle back I was mortified. I had to not only borrow the money to get my car back but also get a ride to work for those I didn’t have a vehicle.
I went threw this as well i believe paid my loan Friday before bank closed my van was repoed on sunday it was aweful 3 kids and two jobs the towed with no warning no paperwork they wanted an ungodly amount to get it back and towed so far they wanted 900$ for just the tow. this affected us terribly as we had to ride bicycles to and from it was one of the hardest things i ever did with three kids ! I thought i was the only one and i though it was because the collector didnt like me.
netly
Would like to know more due to repossessed vehicle class settlement.My vehicle was taken in the year of 2007 and we paid off the balance of the vehicle after.Never got any notice about the vehicle of what so ever and during that time my brother is the co buyer and was in Military active duty.Car was repo twice the first time we got it back and second time we couldn’t my brother was station in Iraq.He did paid off the balance to zero and that was it.Never got the car back and my brother left it at that.Would like to know if anyone can help us to know more about it.
Wells Fargo repoed my minivan I wasn’t behind on my payments I even made extra loan payments 2 months prior to them repoing my van. They said I didn’t have enough insurance on my car when I was going through American family insurance. I got no notice they were repoing my car and a week after they did that they told me they were selling my car I didn’t even have a chance to go get it or look for it they left me without a car to take care of my kids and family. I had been with Wells Fargo since 1987 with a checking and savings account that’s why I chose Wells Fargo dealership. Now I have a bad credit due to that loan as a charge off and it wasn’t even my fault.