Are you among those who have taken a mortgage (home loan) from Wells Fargo, and was it put on COVID forbearance without your consent? If yes, you may have received a payout from the $185M Wells Fargo COVID forbearance class action settlement.
Here, we have shared everything you need to know about the Wells Fargo COVID forbearance settlement. Read this article thoroughly to check who got this payout, how much the payout was, what the payment date was, and much more.
$185M Wells Fargo COVID Forbearance Settlement
From March 1, 2020, to Dec 31, 2021, Wells Fargo put the mortgages of many people into COVID forbearance without asking. After that, between 2022 and 2023, many borrowers filed lawsuits against the bank by alleging that it hurt their credit and refinancing.
In early 2024, the cases were merged into a big class action lawsuit in the federal court. After months-long legal proceedings, the company agreed to a settlement of $185 million without accepting any wrongdoing, and the settlement got preliminary approval.
What was the payment date?
The deadline to opt out (exclude yourself) and object to the settlement was November 12, 2024, and it got final approval on the 10th of December of the same year. Out of the total fund, $69 million was already sent out on a pro rata basis on March 17, 2025.
Note that the remaining $83.33 million was also received by co-borrowers who claimed by January 10, 2025. If you are among those who have claimed by the due date or among the class members, note that you will surely have received the settlement payment.
Who got the payment?
The payment from the $185M Wells Fargo COVID forbearance class action settlement was received only by those individuals who were among the class members and submitted the claim form by the official deadline.
Note that only those individuals who were included as class members, whose mortgage was serviced by Wells Fargo, and who were placed into COVID-19 forbearance between March 1, 2020, and December 31, 2021, without consent were included.
What is the payout amount?
Each class member who was placed in COVID forbearance by Wells Fargo without permission received an automatic payment from the $69 million fund. Estimated at 500,000 people, each person received approximately $138.
Each co-borrower (two people on one loan) received an additional $83.33. It means two people could receive approximately $221. It was received automatically; no settlement claim form was required.
Those who suffered greater losses, such as higher refinancing costs or credit damage, received additional payments by submitting a claim form. The total amount depended on each individual’s situation and losses.
What if you haven’t received it?
If you haven’t yet received your payment from the Wells Fargo COVID forbearance settlement, first, know that if you were a class member and didn’t file any additional claims, the funds were automatically sent.
If you filed a claim form for additional losses, the funds will be sent after processing. If there were any errors or incomplete information on the settlement claim form, this may be delayed.
You can call 888-204-8399 or visit https://wellsfargocovidforbearancelitigation.com/ to know about your payout. They will tell you if the funds were sent or if there was a problem.
Can I check the claim form status?
Yes, you can check your settlement claim form status. To do this, contact the settlement administrator. You’ll find the “Check Claim Status” option there.
Enter your information, such as your name, loan number, or claim number. The system will indicate whether your claim has been processed or is pending and whether the funds have been disbursed.
If you can’t find the status online, you can also inquire by phone. The number is 888-204-8399. You can also check your claim status and any issues there.