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Wells Fargo faces lawsuit over auto insurance policies

Wells Fargo & Co. is facing a lawsuit accusing the bank of trying to "bilk millions of dollars from unsuspecting customers who were forced to pay for auto insurance they did not need or want."

The proposed class action, filed July 30 in the U.S. District Court of Northern District of California, was led by Paul Hancock, who was charged $598 for auto insurance.

On July 28, Wells Fargo announced that it is offering a total of $80 million in remediation to about 570,000 auto loan customers who were affected by faulty collateral protection insurance policies.