Articles Tagged with ''Fake Accounts''

Wells Fargo inks new $240 million settlement over execs’ knowledge of fake accounts

But this settlement will see the bank get paid
Well, it’s been about two months since Wells Fargo reached a nine-figure settlement over its recent scandals, and that means it must be time for another one. The bank revealed recently that it agreed to a new $240 million settlement over claims that its executives did not do enough to address the issues that led to the bank’s fake accounts scandal. But unlike the bank’s previous settlements over the fake accounts, this settlement will see the bank get the money instead of paying it out.
Read More

Court approves Wells Fargo’s $480 million settlement for allegedly lying about fake accounts

Shareholders accused bank of lying about “cross-selling” tactics
Wells Fargo will pay $480 million to a group of the bank’s shareholders as part of a class action settlement for allegedly lying about the sales practices that led to the bank’s massive fake accounts scandal. The shareholders claimed that the bank and its executives made “misrepresentations and omissions” about the bank’s “cross-selling” business model, where bank employees were rewarded for getting customers to open up multiple accounts.
Read More

More trouble for Wells Fargo? Top execs take “leave of absence” amid ongoing investigations

Chief administrative officer, chief auditor removed from bank’s operating committee
Wells Fargo’s troubles appear to be far from over. The once-impenetrable megabank announced Wednesday that two of its top executives are taking “leaves of absence” for an unspecified length of time and will no longer serve on the company’s operating committee. According to the bank, their leaves of absence are related to “previously disclosed ongoing reviews by regulatory agencies in connection with historical retail banking sales practices.”
Read More

Wells Fargo to pay $65 million for allegedly lying to investors about fake accounts

Reaches settlement with New York over millions of accounts opened without customer authorization
Wells Fargo's had a rough last few years, and it doesn't appear be getting any better. New York Attorney General Barbara Underwood announced Monday that the megabank has been ordered to pay a $65 million penalty, , following an investigation into the bank's controversial "cross-selling" tactics, which led to the bank opening millions of accounts in customers' names without their permission.
Read More

New Mexico sues Wells Fargo for opening up fake accounts

Attorney General Hector Balderas follows through on threat to sue bank
Back in November, New Mexico Attorney General Hector Balderas threatened to sue Wells Fargo over the bank allegedly opening up thousands of fake accounts in the state’s residents' names, and now, Balderas is following through on that threat.
Read More

Court finally approves Wells Fargo’s $142 million fake account class action settlement

It’s finally final
A federal court has finally given final approval to Wells Fargo’s $142 million class action settlement for the bank’s customers who had a fake account opened in their name. The final approval comes nearly a year after the settlement received preliminary approval by the judge overseeing the lawsuit, and more than a year after the settlement was first announced.
Read More

Wells Fargo agrees to pay $480 million to shareholders to settle fake accounts suit

Settlement reached in pending class action suit over bank’s sales practices
The fallout from Wells Fargo’s fake accounts scandal is not finished yet. The bank announced Friday afternoon that it reached a new settlement over its sales practices and will pay $480 million to a group of shareholders who accused the bank of making "certain misstatements and omissions" in the company’s disclosures about its sales practices.
Read More

Wells Fargo extends deadline to take part in $142 million fake account settlement

Deadline was February 3, new deadline is July 7
It’s been a busy day in the settlement department for Wells Fargo. Early Friday, the bank was fined $1 billion by the CFPB and the OCC for mortgage lending and auto insurance abuses. And late Friday afternoon, the bank notified customers that it is extending the deadline to participate in the bank’s $142 million fake account class action settlement.
Read More

Wells Fargo pays $3.25 billion in Q4 for mortgage regulatory investigations, sales practices

Mortgage banking creates pull on bank’s income
2017 has been quite a year for Wells Fargo, as it continued to face fallout from its massive fake accounts scandal. Now, the bank’s fourth quarter earnings show Wells Fargo paid a total of $3.25 billion in pre-tax expenses for litigation accruals on a variety of matters including mortgage-related regulatory investigations, sales practices and other consumer-related matters.
Read More