The movie is about a car salesman who, desperate for money, arranges the kidnapping of his wife for a ransom, which he expects his father-in-law to pay, to be split with the kidnappers.
Things go awry; tragically, his wife and father-in-law are killed by the two dim-witted kidnappers one of whom buries most of the ransom money beside the highway in a snow-covered wilderness on discovering the briefcase contains much more than had been demanded/agreed. He, in turn, is killed and dismembered by his accomplice and fed into a woodchipper.
Fargo was filmed during winter 1995… [and the story unfolds against a never-changing backdrop of snow and ice in the towns of Fargo and Brainerd .] Due to unusually low snowfall totals in central and southern Minnesota, scenes requiring snow-covered landscapes were shot in northern Minnesota and northeastern North Dakota, away from Fargo and Brainerd.
The film opens with the following text:
“This is a true story. The events depicted in this film took place in Minnesota in 1987. At the request of the survivors, the names have been changed. Out of respect for the dead, the rest has been told exactly as it occurred.”
The Coen brothers said that they based their script on an actual criminal event but wrote a fictional story around it. "We weren't interested in that kind of fidelity," said Joel Coen. "The basic events are the same as in the real case but the characterizations are fully imagined ... If an audience believes that something's based on a real event, it gives you permission to do things they might otherwise not accept."
In a 1998 article on the film's "true story" claim, the fact-checking website Snopes concluded that it was the sort of prank the Coen brothers often inserted in their films, without "a word of truth to it." Snopes said that doubters should note that a fictitious persons disclaimer , used in works of fiction, is at the end of the film.
It might be urban myth and legend but the film supposedly led to the death of a Japanese girl who believed the story was true because of the movie's opening text and searched for the buried ransom money in the frozen terrain.