Frequently Asked Questions

  1. Why did I receive a notice?

    The Court authorized you to receive a notice because you have a right to know about the proposed Settlement of this class action lawsuit and about your options before the Court decided to give final approval to the Settlement. The notice explained the litigation, the Settlement, and your legal rights. Judge Andrew J. Guilford of the United States District Court for the Central District of California oversaw this case and has exclusive jurisdiction over the Settlement. This litigation is known as In Re Wells Fargo Collateral Protection Insurance Litigation, Case No., 8:17-ML-2797-AG-KES.

    Back To Top
  2. What was this lawsuit about?

    This lawsuit alleged that Defendants unlawfully placed duplicative, unnecessary, and overpriced CPI policies on Settlement Class Members' Wells Fargo automobile loan accounts during the period October 15, 2005 through September 30, 2016. CPI is a type of insurance provided by and through National General that Wells Fargo purchased to cover potential damage to vehicles it held an interest in that served as collateral to Wells Fargo Bank, N.A. auto loans. Plaintiffs allege that as a result of Defendants' CPI placements, Settlement Class Members suffered financial harm, including wrongful charges, fees, costs, and credit damage.

    Defendants deny each and all of the claims and allegations of wrongdoing made by Plaintiffs and deny that they have violated any law or duty that would give rise to liability.

    Back To Top
  3. Why was the lawsuit a class action?

    A class action lawsuit allows a large number of people with a common complaint to sue collectively while being represented by members of the group called the "Named Plaintiffs" or "Class Representatives." In this case, the Named Plaintiffs brought the suit on behalf of themselves and others with similar claims. Together, all the individuals with similar claims (with the exception of those who request exclusion) are referred to as "Settlement Class Members."

    Back To Top
  4. Why is there a settlement?

    The Court has not decided in favor of the Plaintiffs or Defendants. The parties to this litigation have agreed to the Settlement. By agreeing to the Settlement, the parties avoid the costs, delay, and uncertainty of further litigation, and Settlement Class Members receive the benefits as described in the Notice(PDF).

    As in any litigation, Plaintiffs and the Settlement Class would face an uncertain outcome if they did not agree to the Settlement, and the case could continue for a lengthy period of time. Continuation of the case could result in a judgment greater or lesser than this Settlement. Plaintiffs and Class Counsel believe that this Settlement is fair and reasonable to Settlement Class Members.

    Wells Fargo and National General deny any wrongdoing and the Settlement shall in no event be construed or deemed to be evidence or an admission or concession on the part of Wells Fargo or National General with respect to any claim or of any fault, liability, wrongdoing, or damage.

    Back To Top
  5. Who is included in the Settlement Class?

    If you received a copy of the Settlement Class Notice(PDF) by mail, you have been identified as a Settlement Class Member. If you did not receive a copy of the notice by mail, but believe that you are a Settlement Class Member, you can contact the Settlement Administrator, whose information is available on the Contact Us page of this website.

    The "Settlement Class" consists of:

    Wells Fargo Dealer Services ("WFDS") Customers who had a CPI Policy placed on their Account(s) that became effective at any time between October 15, 2005 and September 30, 2016 and Wells Fargo Auto Finance ("WFAF") Customers who had a CPI Policy placed on their Account(s) that became effective at any time between February 2, 2006 and September 1, 2011. The definition of "Class" and "Settlement Class" excludes Non-Compensable Flat Cancels.

    "Non-Compensable Flat Cancels.” means:

    1. Customers who provided proof of Duplicative Insurance Coverage for the entire CPI Placement Period, resulting in a cancellation of the policy in full before the scheduled CPI Billing Date;
    2. Customers who provided proof of Duplicative Insurance Coverage for the entire CPI Placement Period, resulting in a cancellation of the policy in full on or after the scheduled CPI Billing Date but before the payment due date reflected on the customer's first periodic statement reflecting any increased monthly payment amount due to the CPI premium; and
    3. Other customers who provided proof of Duplicative Insurance Coverage for the entire CPI Placement Period, resulting in a cancellation of the policy in full, and who did not pay a Duplicative CPI Premium or Duplicative CPI Interest, who were not Assessed Fees during the CPI Impact Period that were not waived at the time, and who did not experience any negative credit reporting as a result of CPI as set forth in Section III(G) of the Settlement Agreement.
    Back To Top
  6. What are the possible benefits of this Settlement?

    There are a number of possible benefits of this Settlement, including cash and non-cash compensation.

    Cash Compensation


    There is no cap to the total amount of cash payments that will be made under the Settlement. The payments are calculated based on the type of impact that CPI may have had on your account.

    Under the Settlement Allocation Plan:

    • If a duplicative CPI Policy was placed on your account, you may have received, or will receive, if applicable, cash compensation for the following items detailed in the Settlement Agreement:
      1. A refund of the fees assessed to your account during the time period when CPI impacted your account;
      2. A refund of the insurance premiums you were assessed for duplicative CPI;
      3. A refund of the interest charges you were assessed for duplicative CPI;
      4. A payment for the additional interest that accrued on your loan due to the duplicative CPI premiums and interest; and
      5. A payment to compensate you for your inability to use the above funds elsewhere.
    • If you resided in Arkansas, Michigan, Mississippi, Tennessee, or Washington when CPI was placed on your account, you may have received, or will receive, if applicable, cash compensation for the following items detailed in the Settlement Agreement:
      1. A refund of the fees assessed to your account during the time period when CPI impacted your account;
      2. A refund of the insurance premiums you were assessed for CPI;
      3. A refund of the interest charges you were assessed for CPI;
      4. A payment for the additional interest that accrued on your loan due to CPI premiums and interest; and
      5. A payment to compensate you for your inability to use the above funds elsewhere.
    • If you fall into either of the above categories and also experienced a vehicle repossession caused by CPI during the applicable time period, you also may have received, or will receive, if applicable the following items detailed in the Settlement Agreement:
      1. $4,000 as an estimate for the out-of-pocket transportation and non-transportation expenses you incurred due to the loss of your vehicle;
      2. A refund of the repossession costs you paid to Wells Fargo;
      3. A refund of the payments you made on your remaining auto loan balance after the proceeds from your vehicle's sale were applied to your loan (if applicable);
      4. A waiver for any remaining loan balance after the proceeds from the sale of your repossessed vehicle have been applied to your loan balance and/or Charge-Off Balance;
      5. The difference in price between what your vehicle sold for at auction and your vehicle's Kelley Blue Book Lender Value at the time of repossession, to the extent that value is greater than your outstanding loan balance (if applicable);
      6. A payment to provide a tax benefit if you previously had a deficiency balance waived and a 1099-C tax document was filed;
      7. A payment to compensate you for your inability to use the above funds elsewhere; and
      8. The option to participate in Wells Fargo's no-cost mediation program if you are not satisfied that the remediation provided is adequate to address your situation.

    Under the Settlement Distribution Plan:

    If you paid for a CPI Policy and do not qualify for compensation under any of the above categories as part of the Settlement Allocation Plan, you will receive a pro rata distribution under the Settlement Distribution Plan. $6.375 million will be distributed proportionally to Settlement Class Members who do not receive payment under the Settlement Allocation Plan if they paid for a CPI Policy placed on their account, which remained in effect, without reversal, for at least 120 days after the CPI Billing Date. $2.125 million will be distributed proportionally to all other Settlement Class Members who do not receive payment under the Settlement Allocation Plan if they paid for a CPI Policy placed on their account which remained in effect, without reversal, for less than 120 days after the CPI Billing Date.


    Non-Cash Compensation


    In addition to the cash compensation described above, you may have received, or may be eligible to receive, certain credit report adjustments if: (1) either a duplicative CPI Policy was placed on your account or you resided in Arkansas, Michigan, Mississippi, Tennessee, or Washington when CPI was placed on your account, (2) at least one episode of delinquency (defined as account being over 30 days past due) occurred during the period the Settlement Class Member was charged for CPI, and (3) the delinquency was reported to Experian, TransUnion or Equifax.

    Back To Top
  7. What can I do if I believe my cash payment was not calculated properly?

    If you believe that your payment was improperly calculated, you can contact the Settlement Administrator by phone at 1-877-641-8815 or email info@WellsFargoCPISettlement.com and provide your relevant insurance information. If the Settlement Administrator or Wells Fargo determines that your payment was improperly calculated, your payment will be updated and a new check will be issued.

    Additionally, if you are a Settlement Class Member who experienced a CPI-related repossession caused by a Duplicative CPI Policy or a policy issued in Arkansas, Michigan, Mississippi, Tennessee, or Washington when CPI was placed on your account, you may be eligible to participate in no-cost mediation with Wells Fargo, in accordance with Section III(F) of the Settlement Agreement, if you are not satisfied with the compensation you receive. To request no-cost mediation, you can contact the Settlement Administrator by phone at 1-877-641-8815 or email info@WellsFargoCPISettlement.com, or you can contact Wells Fargo's mediation program directly at 1-877-241-6571.

    Back To Top
  8. When will I receive my cash payment?

    Wells Fargo already has made some payments to Settlement Class Members. Wells Fargo contemplates that fully effectuating its obligations under the Settlement, including compensation, may take until early 2020, although some payments may take longer to process.

    Back To Top
  9. Do I need to contact anyone to receive a payment?

    If you have not received the Notice but believe you are a Settlement Class Member, you can contact the Settlement Administrator by phone at 1-877-641-8815 or info@WellsFargoCPISettlement.com and provide your relevant insurance information. If the Settlement Administrator determines that you are a Settlement Class Member, you will receive the benefits of the Settlement described in FAQ 6.

    Back To Top
  10. Can I get out of the Settlement?

    No. The deadline to exclude yourself from the Settlement was October 7, 2019. You may no longer request exclusion.

    Back To Top
  11. If I did not request exclusion, can I sue Defendants for the same claims later?

    No. Unless you excluded yourself from the Settlement, you have given up any rights you may potentially have to sue the Defendants for the claims that this Settlement resolves. However, eligible Settlement Class Members will retain their rights to participate in no-cost mediation.

    Back To Top
  12. If I excluded myself, may I still receive compensation?

    No. If you excluded yourself, you lost your legal right to enforce the terms of the Settlement Agreement and are ineligible to receive payment from the Settlement Allocation and Settlement Distribution Plans. If you excluded yourself, you are not obligated to return payments you may have already received pursuant to Wells Fargo’s CPI Customer Remediation Program (including the mediation program for eligible customers) or impact your eligibility to receive future payments under that program.

    Back To Top
  13. Can I tell the Court I do not like the Settlement?

    No. The deadline to submit an objection to the proposed Settlement has passed. All objections must have been postmarked no later than October 7, 2019 to be considered by the Court.

    Back To Top
  14. What is the difference between excluding and objecting?

    Objecting is notifying the Court that you think something about the Settlement is unfair, unreasonable, or inadequate. You could only object to the Settlement if you were a Settlement Class Member. Excluding yourself told the Court that you did not want to be paid and did not want to release your claims against the Defendants. If you excluded yourself, you could not object to the Settlement because it no longer affected you.

    Back To Top
  15. Do I have a lawyer in this case?

    Yes. The Court has appointed the following law firms to represent the Settlement Class as "Class Counsel." You can contact Class Counsel via email at WellsFargoCPIClassCounsel@baronbudd.com. They are:

    Class Council List
    Co-Lead Counsel for Plaintiffs and the Settlement Class Plaintiffs’ Liaison Counsel Plaintiffs’ Steering Committee
    Roland Tellis
    David Fernandes, Jr.
    BARON & BUDD, P.C.
    15910 Ventura Boulevard
    Suite 1600
    Encino, CA 91436
    Telephone: 1-818-839-2333

    Roman Silberfeld, David Martinez, Aaron Sheanin,
    Kellie Lerner, and Benjamin Steinberg
    ROBINS KAPLAN LLP
    2049 Century Park East
    Suite 3400
    Los Angeles, CA 90067
    Telephone: 1-310-552-0130
    David S. Casey, Jr. (SBN 060768)
    CASEY GERRY SCHENK FRANCAVILLA BLATT & PENFIELD, LLP
    110 Laurel Street
    San Diego, CA
    Telephone: 1-619-238-1811
    Facsimile: 1-619-544-9232
    Eric H. Gibbs
    GIBBS LAW GROUP LLP
    505 14th Street
    Suite 1110
    Oakland, CA 94612
    Telephone: (510)-350-9700

    Charles E. Schaffer
    LEVIN SEDRAN & BERMAN
    510 Walnut Street
    Suite 500
    Philadelphia, PA 19106
    Telephone: 1-215-592 1500

    Paul F. Novak
    WEITZ & LUXENBERG, P.C.
    Chrysler House
    719 Griswold
    Suite 620
    Detroit, MI 48226
    Telephone: 1-313-800-4170

    You will not be charged for contacting these lawyers. If you want to be represented by a different lawyer, you may hire one at your own expense.

    Back To Top
  16. Do I need to hire my own lawyer?

    You do not need to hire your own lawyer because Class Counsel is working on your behalf. But, if you want your own lawyer, you may hire one at your own cost.

    Back To Top
  17. How will the lawyers be paid for their services?

    Class Counsel's attorneys' fees and litigation expenses incurred in connection with prosecuting this lawsuit will be paid by Defendants, as awarded by the Court. The amount awarded by the Court for Class Counsel's attorneys' fees and expenses will not be paid out of any settlement funds and will not affect the amount of compensation you receive.

    Fees and expenses were approved by the Court on November 20, 2019. The Court approved an award of $34 million for attorneys’ fees and $483,489.04 for litigation costs.

    Back To Top
  18. Will class representatives receive service awards?

    The Class Representatives sought reimbursement for reasonable costs and expenses directly relating to the representation of the Class equal to $7,500 per representative. This amount was approved by the Court on November 20, 2019.

    Back To Top
  19. When did the Court decide whether to grant final approval to the Settlement?

    The Final Approval Hearing was held on October 28, 2019. The Court issued its order granting final approval of the Settlement on November 20, 2019.

    Back To Top
  20. Did I have to attend the Hearing?

    No. Attending the hearing was not required, but you were welcome to attend at your own expense. Class Members were not required to appear at the hearing or take any other action to indicate their approval.

    Back To Top
  21. How can I request an address or name update?

    If you would like to request a name change or address update, please contact the Settlement Administrator by calling 1-877-641-8815 or emailing info@WellsFargoCPISettlement.com. When contacting the Settlement Administrator, please provide your full name and Tracking Number, if available.

    Back To Top
  22. Where can I get more information?

    If you have additional questions regarding this Settlement, or if you did not receive a Notice of Proposed Settlement of Class Action in the mail and believe that you may be a member of the Settlement Class, you should contact the Settlement Administrator by calling 1-877-641-8815 or emailing info@WellsFargoCPISettlement.com for more information, or you may communicate directly with Class Counsel by using the contact information provided in the FAQ "Do I have a lawyer in this case?."

    If you wish to obtain more detailed information, you may review the Settlement Agreement(PDF), which contains the complete terms of the Settlement. The Settlement Agreement, along with other documents filed in the lawsuit, are available on the Documents page of this website.

    Back To Top