Your lender has the right to repossess your car if you’re in default by not making your payments. Of course, before your lender can exercise their right to repossession, you have to actually be, you know, in default.
Apparently, Wells Fargo never got this memo. They repossessed a Tacoma, Washington woman’s 1999 Chrysler LHS even though she had paid the car off in full and had clear title to the vehicle. Only after the local news station’s investigative reporting team got involved, did Wells Fargo admit its mistake and return Newton’s car.
If you live in Minnesota and your car has been repossessed even though you’ve paid it in full, feel free to contact me for a free consultation.
The New York Times has an article detailing the alleged practices used by Wells Fargo to steer African-Americans into sub-prime mortgages. The article relies on the affidavit testimony of two former Wells Fargo loan officers from an ongoing discrimination lawsuit between the City of Baltimore and Wells Fargo. According to the affidavits quoted in the article, Wells Fargo employees commonly referred to sub-prime loans as “ghetto loans” and blacks were referred to as “mud people” and other derogatory racial slurs. The employees’ testimony also details the unfair and deceptive tactics used by Wells Fargo to place African-American loan applicants into sub-prime loans, even when the prospective borrower could have qualified for a prime loan. There is further testimony about how Wells Fargo targeted African-American church leaders to help steer their congregations to Wells Fargo mortgages and how Wells Fargo recruited African-American loan officers specifically to work with potential African-American borrowers. If you’re interested in reading the full text of the affidavits, the Consumerist has a link to them here.
Many observers have long suspected that minorities were unfairly targeted by sub-prime lenders. The affidavit testimony of these two former Wells Fargo employees strongly corroborates this suspicion. The alleged practices of Wells Fargo are appalling, and if proven to be true, Wells Fargo deserves the maximum penalty available.
(photo: Steve Rhodes)