Drivers in Mississippi and across the US are asserting class action lawsuits against big bank Wells Fargo for an auto insurance scheme which cost people money and sometimes led to repossession of their vehicles. These lawsuits allege that Wells Fargo used an insurance and lending tactic called "forced placing" insurance on vehicles which the bank financed for customers. However, many of these customers already had insurance on their vehicle. Nonetheless, Wells Fargo force placed insurance policies on vehicles. Not surprisingly, the force placed policies appeared to all have been policies sold by Wells Fargo.
Many consumers were unaware of the force placed insurance charge until they received the bill, or if it wasn't paid, until their cars were repossessed. Now, class action lawsuits against Wells Fargo are fighting to recoup these wrongfully taken insurance premiums. Reports indicate that Wells Fargo may pay between $80 million and $130 million in damages.
Insurance companies and big banks often look out for their bottom line rather than the well being of their customers. If you have a dispute with an insurance company, contact Gulf South Law.