Regulators Hit Wells Fargo, With Massive Fine for, Consumer Law Violations.
On December 20, regulators in the United States
ordered consumer banking giant Wells Fargo to
pay $3.7 billion in fines and refunds to customers.
On December 20, regulators in the United States
ordered consumer banking giant Wells Fargo to
pay $3.7 billion in fines and refunds to customers.
ABC reports that it is the largest fine to date
against Wells Fargo, which has spent years
trying to recover from a series of scandals. .
ABC reports that it is the largest fine to date
against Wells Fargo, which has spent years
trying to recover from a series of scandals. .
In 2018, the bank was ordered to
pay $1 billion to cover widespread
consumer law violations.
Now, the Consumer Financial Protection Bureau
ordered Wells to pay $2 billion to consumers in
addition to a $1.7 billion penalty against the bank.
Now, the Consumer Financial Protection Bureau
ordered Wells to pay $2 billion to consumers in
addition to a $1.7 billion penalty against the bank.
The regulator listed a number of consumer
financial law violations, including illegal
fees and interest on auto loans and mortgages. .
The violations also included
incorrectly applied overdraft fees
on savings and checking accounts.
According to the bureau,
the violations impacted
over 16 million customers.
ABC reports that Wells Fargo has repeatedly been the
target of U.S. regulators since 2016, when Wells employees
were found to have opened millions of accounts illegally.
ABC reports that Wells Fargo has repeatedly been the
target of U.S. regulators since 2016, when Wells employees
were found to have opened millions of accounts illegally.
Despite efforts to repair their reputation,
the bank has repeatedly been fined for
additional violations of consumer protection law.
ABC reports that the bank remains under a Federal Reserve
order banning the company from growing until regulators
deem that corporate culture problems have been resolved.