Wells Fargo to pay $3.7B over consumer law violations

[BidenPresident]

WASHINGTON (AP) — Consumer banking giant Wells Fargo agreed to pay $3.7 billion to settle charges that it harmed customers by charging illegal fees and interest on auto loans and mortgages, as well as incorrectly applying overdraft fees against savings and checking accounts.

Wells was ordered to repay $2 billion to consumers by the Consumer Financial Protection Bureau, which also enacted a $1.7 billion penalty against the San Francisco bank Tuesday. It’s the largest fine ever leveled against a bank by the CFPB and the largest yet against Wells, which has spent years trying to rehabilitate its image after a series of scandals tied to its sales practices.

https://apnews.com/article/wells-fa...e&utm_medium=TopNews&utm_campaign=position_03

 

[evince]

Banks under Bush turned into crime syndicates


DeRegulation


The Republican dream for every industry

 

[Nordberg]

They pay it out of their profits. They always make more than the fines off cheating.

 

[Geeko Sportivo]

WASHINGTON (AP) — Consumer banking giant Wells Fargo agreed to pay $3.7 billion to settle charges that it harmed customers by charging illegal fees and interest on auto loans and mortgages, as well as incorrectly applying overdraft fees against savings and checking accounts.

Wells was ordered to repay $2 billion to consumers by the Consumer Financial Protection Bureau, which also enacted a $1.7 billion penalty against the San Francisco bank Tuesday. It’s the largest fine ever leveled against a bank by the CFPB and the largest yet against Wells, which has spent years trying to rehabilitate its image after a series of scandals tied to its sales practices.

https://apnews.com/article/wells-fa...e&utm_medium=TopNews&utm_campaign=position_03

Yep, Wells Fargo knows damn well that they are suppose to reject Debit card transactions when there are insufficient funds available. Now, if the transaction is an automatic monthly withdrawal previously arranged, and the funds are not covered, the bank is allowed to charge an over-draft fee for that. But they are not allowed to charge you an overdraft charge because your debit card was denied due to insufficient funds.

It is usually just one transaction that causes several other daisy chaining Over-draft fees to follow, that aren't discovered till you find out what caused the first overdraft fee. And because of the many overdraft fees themselves are what caused the other transactions to bounce causing the problem to perpetuate itself to the benefit of the bank.

This was all corrected in a Bank Regulations Bill passed back during the end of the Bank Crisis during the Biden Administration!

So Wells Fargo has no excuse! They intentionally broke the law!