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U.S. Department of Justice

Wells Fargo to pay $24.1 million for improper repossession of servicemembers' cars

Wells Fargo to pay $24.1 million for improper repossession of servicemembers' cars

The reputation of Wells Fargo & Co. took another blow Thursday when it agreed to pay $24 million for the improper repossession of cars owned by members of the U.S. military.

The bank agreed to pay $4.1 million to settle a Justice Department investigation into the repossession of 413 cars without the necessary court order from 2008 through the middle of last year in violation of a federal law designed to provide financial protections to active-duty military members. The bank also was fined $20 million by the Office of the Comptroller of the Currency for violations dating to 2006.

The Servicemembers Civil Relief Act requires a court order...

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