What are the recent class action lawsuits against Wells Fargo?

Wells Fargo has recently faced and resolved several major class action lawsuits and multi-million dollar settlements addressing securities, hiring practices, and consumer protection:

📊 Diversity Hiring & Securities Class Actions ($185M+ Total)

• Sham Diversity Hiring Derivative & Shareholder Suits: A federal judge granted final approval for an $85 million securities class action settlement resolving claims that Wells Fargo misled investors regarding its diverse hiring practices after reports emerged that the bank conducted "sham" or fake job interviews with minority and female candidates for positions that were already filled. Concurrently, a related settlement established a $100 million Borrower Assistance Fund aimed at expanding mortgage and homeownership access for low- to moderate-income communities.

💳 Consumer & Free Trial Subscription Scam Lawsuit ($33M)

• McNamara v. Wells Fargo & Co.: A $33 million global settlement resolved allegations that Wells Fargo knowingly aided and processed payments for "risk-free" trial subscription scams, which duped consumers into unauthorized, recurring monthly billing charges.

🏠 CARES Act & Mortgage Forbearance Lawsuits (~$58M)

• Forbearance Reporting Settlement: A $56.85 million settlement provided cash recovery to California mortgagors whose mortgage accounts were incorrectly or wrongfully reported to credit agencies as being "in forbearance" during the pandemic.
• COVID-19 Forbearance Program Terms: A separate $1.3 million settlement resolved claims regarding specific disclosures and program terms tied to Wells Fargo’s home mortgage COVID-19 relief.

🔎 Active Investigations & New Scrutiny

• Website Tracking & Privacy: Law firms are actively investigating potential class action and arbitration claims regarding Wells Fargo's alleged unauthorized sharing of confidential online banking communications and personal financial data via website-tracking pixels.

The amount you will receive depends entirely on which specific Wells Fargo settlement you qualify for, as the bank has resolved several major class-action lawsuits over the last few years.

Because the payouts are determined by the nature of the claim and the number of participants, individual amounts vary widely:

1. CARES Act Mortgage Credit Reporting Settlement ($56.85 Million)

• Who qualifies: California property owners who had a Wells Fargo mortgage that was current, but was incorrectly reported to credit bureaus as "in forbearance" during the COVID-19 pandemic.
• Estimated Payout: Class counsel previously estimated a payout of around $255 per person. The final amount is an equal split of the net fund after court fees.
• Status: The settlement was officially approved on June 10, 2026. Checks were scheduled to be mailed by the end of August 2026, though an exact final individual figure has not been publicly updated by the administrator.

2. 401(k) ESOP Over-Concentration Settlement ($84 Million)

• Who qualifies: Eligible Wells Fargo 401(k) plan participants who held company stock during the class period.
• Estimated Payout: Individual payouts vary based on your account balance and length of time stock was held, with some maximum amounts reaching up to $5,000.
• Status: This was distributed automatically. Funds were deposited or checks were mailed out on August 13, 2026. The deadline to cash these checks is February 9, 2027.

3. Subscription Billing / "Free Trial" Settlement ($33 Million)

• Who qualifies: Customers who were charged for unauthorized Wells Fargo add-on services, such as identity protection, linked to online free-trial scams.
• Estimated Payout: Up to $20 for those without proof of loss, or $45+ (a proportional share) if you submitted documentation like bank statements.
• Status: The final approval hearing took place on March 26, 2026. Payout timelines are currently processing based on valid claims submitted by the March 2026 deadline.

4. Unconsented COVID Mortgage Forbearance Settlement ($185 Million)

• Who qualifies: Homeowners whose Wells Fargo mortgages were placed into COVID-19 forbearance between March 1, 2020, and December 31, 2021, without their informed consent.
• Estimated Payout: A base fund of $69 million was allocated to be equally distributed among all class members. Co-borrowers received a single joint payout plus an additional $83.33.
• Status: Payments began rolling out in March 2025.

5. Historic CFPB Consumer Protection Settlement ($3.7 Billion)

• Who qualifies: Over 16 million customers impacted by older system-wide violations involving auto loans, misapplied mortgage payments, and wrongful deposit account fees.
• Estimated Payout:
  • Auto loans: Average compensations vary, but individuals who experienced wrongful vehicle repossessions were slated for a minimum of $4,000.
  • Deposit accounts / Mortgages: Payouts vary based on the specific type of incorrect overdraft fees or interest charges assessed to your account.
• Status: Wells Fargo has been identifying and contacting affected consumers automatically to issue credits or checks.

Next Steps: If you believe you belong to one of these classes, you can search the official court-approved portal for your case (such as CARES Act Litigation or the Wells Fargo ESOP Settlement Portal) to check your eligibility status and address on file.

Individuals and businesses in California who received unannounced and unconsented recorded calls from The Credit Wholesale Company on behalf of Wells Fargo between October 22, 2014, and November 17, 2023, qualify for payouts up to $5,000.

Settlement Eligibility Details

• Location: You must have been physically located in California or operating a California-based business during the call.
• Timeframe: The calls must have occurred between October 22, 2014, and November 17, 2023.
• Customer Status: You do not strictly need to be a current or former Wells Fargo bank customer, as long as you received the targeted third-party vendor calls.
• Legal Basis: The $19.5 million class action (Aguilar Auto Repair et al. v. Wells Fargo Bank) resolved violations of the California Invasion of Privacy Act (CIPA).

Payout Information

• Per-Call Rate: Compensation is calculated at approximately $86 per qualifying call.
• Maximum Limit: Payouts are capped at a maximum of $5,000 per claimant for multiple recorded calls.
• Deadlines: The deadline to submit initial claims passed on April 11, 2025, and new claims are now closed. Approved claimants await distribution.

To find out if Wells Fargo owes you money from a settlement or unclaimed funds, you should check dedicated settlement administrators, contact bank support, or search state unclaimed property databases.

How to Check for Settlement Money

• Check specific settlement portals: Major class-action or regulatory settlements (such as the unauthorized accounts or forbearance settlements) often have dedicated administrator websites. For example, you can check the Wells Fargo Unauthorized Accounts Settlement site for distribution updates and contact options.
• Look for direct notifications: Wells Fargo or third-party settlement administrators typically mail checks or notifications directly to eligible class members identified in major regulatory actions (like the CFPB settlements).
• Search state unclaimed property: If a settlement check was previously sent but went uncashed, the funds may have been transferred ("escheated") to your state's treasury after a dormancy period. Search your name for free at MissingMoney.com or your specific state’s official unclaimed property office.

Who to Contact

• Wells Fargo Customer Service: Call general customer support at 1-800-869-3557 to ask about active remediation programs or account-related inquiries.
• Wells Fargo Unclaimed Property Department: Email [email protected] if you are inquiring about a closed account, uncashed cashier's check, or an old settlement payout transferred to the bank's unclaimed holdings.
• Consumer Financial Protection Bureau (CFPB): If you believe you were harmed by illegal fees, wrongful foreclosures, or unauthorized actions and the bank has not contacted you, you can Submit a Complaint to the CFPB.

Wells Fargo is no longer under major federal growth restrictions, as the Federal Reserve lifted its historic asset cap and officially terminated the enforcement action tied to the 2016 fake accounts scandal.

Current Status

• Asset Cap Lifted: The Federal Reserve removed the growth restriction that limited the bank's expansion for nearly a decade, allowing Wells Fargo to resume normal business and lending growth.
• Financial Health: The bank reports strong overall financial stability and profitability, with leadership noting robust conditions across consumer and business sectors.
• Past Legacy: While major federal sanctions have concluded, the bank continues to manage normal customer service complaints and the long-term reputational cleanup from billions in historical penalties.