Wells Fargo COVID Forbearance Settlement Litigation

A proposed $185 million settlement has been reached in the class action lawsuit In re Wells Fargo COVID Forbearance Settlement Litigation, pending in the United States District Court for the Southern District of Ohio.

Plaintiffs allege that Wells Fargo (“Defendant”), placed customers into forbearance without informed consent. In the earliest days of the COVID-19 pandemic, Plaintiffs allege that Wells Fargo decided to provide mortgage forbearances to certain customers who had made an inquiry or expressed hardship but had not explicitly requested a forbearance. A forbearance temporarily suspends a customer’s obligation to make payments on their mortgage. However, the lawsuit alleges that some of the customers who received payment forbearances did not want them. Wells Fargo denies any wrongdoing. Both sides agreed to a settlement. The Court still has to decide whether to approve the Settlement.

This website explains important legal rights you may have. Your legal rights are affected whether you act or do not act. Please read this website carefully.

Your Legal Rights and Options in This Lawsuit

Do Nothing and Receive a Settlement Check	If you do nothing, you will be included in the Settlement, and you will receive an Automatic Payment from the Settlement Fund and have an opportunity to receive a Supplemental Payment. If the Settlement is granted final approval by the Court, then you will release the claims in this litigation.
Submit a Claim for Additional Compensation	You may request Additional Compensation if you feel that being placed into forbearance without informed consent caused your credit applications to be denied or delayed or caused other harm. You must complete and return the Claim Form, postmarked on or before Friday, January 10, 2025. If the Settlement is granted final approval by the Court, then you will release the claims in this litigation.
Exclude Yourself from the Settlement	If you want to exclude yourself or “opt out” from the Settlement, you must submit a Request to Opt Out to the Settlement Administrator, postmarked on or before Tuesday, November 12, 2024. If so, you will not receive any money from the Settlement Fund and you will not release your claims in the lawsuit. If the Settlement is granted final approval by the Court and you did not timely “opt out” of the Settlement, then you will release the claims in this litigation.
Object to the Settlement	If you remain in the Settlement and want to object because you believe the Settlement is unfair or inadequate, you may file a written objection to the Settlement with the Court, on or before Tuesday, November 12, 2024.
Go to the Final Approval Hearing	If you file an objection and also want to speak at the Final Approval Hearing, you must file a written Notice of Intention to Appear, which must be filed and postmarked on or before Tuesday, November 12, 2024.

These rights and options—and the deadlines to exercise them—are further explained in the Notice and on the Frequently Asked Questions (FAQ) page of this website.