Wells Fargo to compensate car loan customers compelled to buy auto insurance

Wells Fargo said on Thursday that it would compensate around 570,000 customers with car loans who were harmed by being compelled to buy auto insurance.

The bank estimated the total cost at around $80 million.

Auto-loan contracts require customers to have comprehensive insurance for potential harm, and the bank was permitted under the contracts to buy that coverage and pass on the cost if there was no evidence it had been purchased elsewhere, Wells Fargo noted in the statement on Thursday. Continue reading Wells Fargo to compensate car loan customers coerced to buy auto insurance