The Wells Fargo Bank settlement got court approval last year, the class members who have not excluded or objected to the settlement on or before 26 June 2024 must be waiting for the settlement payout.
As per the settlement website, the settlement administrator was scheduled to do the distribution of awards in October 2024. However, the class members are still waiting for the settlement payout from the $5 million settlement fund. The class members can check the expected Wells Fargo Bank settlement payout date here with other relevant details.
Wells Fargo Bank Settlement Details
The Superior Court of California State approved the Wells Fargo Bank settlement on 06 August 2024 in the final hearing. The settlement administrator was most likely to disburse the compensation award for the class members who had not done anything within 60 days of the first distribution.
The Wells Fargo Bank settlement class members who have not excluded or objected to the settlement before the deadline of 26 June 2024 can expect the payout from the net settlement fund that will come from a $5 million gross settlement after the administrator settles the awards and fees.
As per the Wells Fargo Bank settlement website, the administrator was supposed to start the distribution of cash awards through check in October 2024, the class members who were waiting for the payout can expect the payment soon either at the end of Jan or Feb 2025.
What’s the Wells Fargo Bank settlement about?
The Plaintiff, George W. Agak, filed a complaint against one of the largest financial institutions in the United States, Wells Fargo Bank, back in 2017. The plaintiff alleges that the bank has charged him fees without his consent for Credit Defence products of the bank that were connected to his credit card.
The plaintiff also claims that the other consumers were not asked about the fees for the credit defense product and charged the customers, which caused the customers to pay more than they should have. Wells Fargo Bank has denied the wrongdoing and the plaintiff’s allegations regarding the fees, but they have proposed to settle the class action lawsuit.
The bank and Agak have agreed to settle the lawsuit with a $5 million settlement fund under various terms. The court has not agreed on the defendants’ or plaintiffs’ claims, but granted to solve the class action lawsuit.
Who will receive the Wells Fargo Bank Settlement Payout?
The California residents who meet the below eligibility conditions are the class members of the Wells Fargo Bank settlement and will receive the settlement payout:
- You must be the Wells Fargo Credit Card customers who were living in California;
- You were charged with a Credit Defence fee without your consent during the class period, 01 March 2015 and 31 December 2018.
- The Wells Fargo Bank borrowers would have received the notice of the settlement if they were the class members of the settlement.
- If you have not excluded yourself or object to the settlement by submitting the form before 26 June 2024, you will be entitled to receive the settlement payout.
How much will you receive through the Wells Fargo Bank Settlement?
The class members of the Wells Fargo Bank settlement will receive the payout from the $5 million fund, where first the fund is used to cover the following expenses:
- Claims administration costs like notice cost, but it will not exceed the $460,000 expense;
- Attorney fees and costs as approved by the court;
- Class representatives award up to $20,000;
After the administrator settles the above expenses from the $5 million fund, the remaining net settlement fund will be used to provide compensation awards to the class members who were affected by the bank’s unlawful activities.
The settlement administrator will sanction the payout to the class members equally based on the net settlement fund. The settlement administrator has not estimated the payout amount for each class member as it depends on the number of claimants, exclusion, and remaining funds in the settlement fund.
How will you receive the Wells Fargo Bank Settlement payout?
The Wells Fargo Bank settlement for credit defense product charges will be sent to the eligible class members who have not been excluded from the settlement through a physical check when the first distribution of the settlement is effective.
The class members will receive the payout within 2 months of the first distribution of the settlement commenced, and the class members have to cash out the cheque within 180 days of the issuance. If the class members fail to do so, the check will become invalid and the class member will become ineligible for the payment.
After 20 days of the first distribution becoming void, the administrator will start the second distribution if there are remaining funds in the settlement. The remaining settlement fund will be equally distributed among the Wells Fargo settlement class members. The physical cheques of the second distribution will remain valid for 90 days so do check your mail from time to time.
The class members who have moved to another place must update their mailing addresses to the administrator to receive the settlement payout timely, whenever the administrator starts the payment. You can contact the settlement administrator, you can call 88 689 6097 toll-free number to ask questions regarding the reporting of a change in address.
The Wells Fargo Bank settlement for charging fees on Credit defense products to credit card customers will begin the payment distribution for the eligible class members soon, so the class members expecting payments should be ready to receive the payment through the mail.