I am in chapter 13 and Wells Fargo is my mortgage company. Will I receive a payment from a settlement?

Yes, it is possible.

In November 2015, Wells Fargo agreed to a settlement of a court case - In re Green, Case No. 11-33377, in the U.S. Bankruptcy Court for the District of Maryland. They agreed to pay over $81 million to settle charges that they had failed to timely send out Notice of Payment Change under Bankruptcy Rule 3002.1, or in some cases failed to timely perform escrow analyses on some loans.

If you are a homeowner and are in chapter 13 or have been recently, you may receive a payment or a credit to your mortgage loan account. The payments average $1254.00. If they are not credited to your loan by Wells Fargo, they may be sent to your chapter 13 trustee, we are not yet sure if the trustees will refund them to you, or apply them to your case.

Homeowners with questions should consult their attorneys, or can call Wells Fargo directly at 1-800-274-7025.