Title Loans in North Carolina: Know Your Rights
October 24, 2025
Title Loans in North Carolina: Know Your Rights Key Takeaways Title loans are a fast way to get cash, but they can create a debt
info@carolinalaw.com
info@carolinalaw.com
Wells Fargo, a San Francisco, California-based bank, consistently ranks as one of the largest banks in the United States, with over 70 million customers worldwide. In recent years, it has also faced numerous accusations of unfair and potentially illegal banking practices under federal consumer regulations. If you believe Wells Fargo or another financial institution has violated your rights, contact Maginnis Howard today for a free consultation.
The Electronic Fund Transfer Act (EFTA) is a federal law that defines the rights, liabilities, and responsibilities of consumers and financial institutions when engaging in electronic fund transfers. It aims to protect consumers by establishing standards for error resolution, disclosures, and unauthorized transactions. Many common Wells Fargo customer complaints fall under the protections provided by the EFTA.
Customers have alleged online and in lawsuits EFTA violations, such as:
Customers must authorize any transactions between accounts or externally. When someone discovers illegal use of their accounts, it can be an alarming experience, and financial institutions must protect their customers.
Banks must investigate fraud claims for electronic fund transfers. Whether the fraudulent activity involved debt card transactions, wire transfers, or any other unauthorized transaction, the bank typically has 10 days to investigate the claim. Some customers allege Wells Fargo failed to properly investigate their claims or even initiate an investigation. The financial institution bears the burden of proof for denying fraud claims.
Complaints to the Consumer Financial Protection Bureau (CFPB) accuse Wells Fargo of failing to reimburse customers for legitimate fraud cases. In some instances, customers say the bank promised reimbursement and failed to deliver it.
The rise of electronic banking has brought a tidal wave of cybercrime. Unfortunately, brute force data breaches (involving “hacking” into accounts) are only one of many to watch out for. In 2023, a Wells Fargo employee transferred sensitive customer information to their own account. This type of internal leak also hit the popular Bitcoin marketplace Coinbase.
Social engineering scams, an elaborate scheme that the fraudster poses as your financial institution, have also increased. Consumers willingly move funds because they believe the bank is asking them to do so. Wells Fargo has a responsibility to prevent and rectify scams targeting its customers.
DID YOU KNOW?
The CFPB defines an Electronic Fund Transfer as:
“any transfer of funds that is initiated through an electronic terminal, telephone, computer, or magnetic tape for the purpose of ordering, instructing, or authorizing a financial institution to debit or credit a consumer’s account.”
External fraud is just one example of EFTA violations. Customers have also alleged innumerable instances of mishandling of their funds.
In 2013, a federal judge ordered Wells Fargo to pay $203 million to settle a class action lawsuit over alleged excessive overdraft fees. The suit claims the banking giant engaged in unfair business practices by stacking customers’ charges from largest to smallest, increasing the amount of fees it can collect. The court found that Wells Fargo misled its customers into believing the charges would post chronologically.
One of the most widely recognized Wells Fargo lawsuits involves bank employees artificially boosting their sales figures by covertly opening unauthorized accounts in customers’ names. The bank found its employees had ultimately opened more than two million fraudulent deposit and credit card accounts. This alarming violation of consumer rights is just one example of Wells Fargo misusing customer information for financial gain.
In 2023, Wells Fargo began alerting some customers via letter that they were enrolled in services erroneously as far back as 2008. Panicked consumers, believing this to be the result of identity theft, flocked to Reddit to verify the validity of the letters. Wells Fargo has since confirmed these brief letters were legitimate and included only the unauthorized subscriptions’ start and end dates. Charging customers for a product they did not request violates consumer rights, including the EFTA.
You have 60 days to alert your bank of the unauthorized or fraudulent charges. You should also check your other accounts for signs of identity theft.
Dispute by phone, email, or mail, providing your details and explaining why the charge is suspicious.
The bank must investigate within 45 days (90 days for accounts opened in the last 30 days) and usually will return the funds if the investigation exceeds 10 business days.
Your bank must inform you of the outcome and correct any errors. If the bank wrongfully denies your claim or fails to investigate the case, contact the consumer protection experts at Maginnis Howard for legal assistance.
Banks like Wells Fargo process billions of dollars in consumer funds daily, making it crucial to safeguard their customers’ financial well-being. The EFTA and other consumer regulations allow consumers to hold institutions accountable for unauthorized transactions. Compensation for damages can include reimbursement of lost funds and punitive damages ranging from $100 to $1,000. However, failure to notify the financial institution within 60 days may result in the customer being entirely responsible for the losses, preventing recovery or legal action. Some institutions, like Navy Federal Credit Union, have faced multiple lawsuits over unauthorized charges, often failing to refund consumers even after they reported the fraud. If you experience these issues with Wells Fargo or another bank, contact Maginnis Howard immediately for help.
An EFTA violation can have a ripple effect on a consumer’s life, but you don’t have to deal with it alone. Legal representation can alleviate some of the burden, whether you were the victim of identity theft, a social engineering scam, or lost money to unauthorized debit charges. Our attorneys accept EFTA cases on a contingency basis, so you don’t pay a fee unless we win. Contact us for a free consultation and case assessment.
The experienced consumer protection attorneys at Maginnis Howard have recovered millions from large corporations that have violated consumer rights. Contact us today for a free consultation with our skilled legal staff. We represent clients across the Carolinas from our Charlotte, Raleigh, and Fayetteville offices.
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