PAY UP: Denies Claims, Pays $175 Million
West Des Moines-based Wells Fargo Home Mortgage is as big as they come in the industry. The Department of Justice found the company made African-Americans and Hispanics pay more for loans than whites. Wells Fargo denies it. But the company is paying $175 million because it claims doing that would be better for customers and investors, according to this story in CNN.
I have a message into the company to see if you are eligible for any part of the settlement. I’ll update later with whatever I find out.
(UPDATE: Here is the response from the company.)
– Over the next 45 days, the DOJ will begin its process of identifying the individuals who may have been adversely impacted under the claims in the settlement. This addresses the $125 million in the agreement.
– Regarding the downpayment assistance programs and homebuyer educations programs that will be funded by the $50 million in the deal, details about those efforts will be forthcoming in the coming months. But they will be modeled after our “NeighborhoodLIFT” program, which has been providing such programs to cities across the country.