Well, wouldja look at that: Everyone’s favorite big, shady bank is being fined $1B for selling unnecessary products to customers for years.
The settlement aims to punish Wells Fargo for forcing customers to purchase auto insurance policies they didn’t need while charging others for missing mortgage payment deadlines to ensure certain interest rates.
How do they keep getting away with this sh*t?
Wells Fargo has been under intense federal scrutiny since admitting in 2016 that it had opened millions of fake accounts that customers didn’t want since 2005 — resulting in a $185m fine.
But even then, these guys were no strangers to controversy: Since 2012, they’ve been hit with a bevy of student loan lawsuits, a mortgage fraud fine ($1.2B), and a fine for mortgage bias against black and Hispanic borrowers ($175m).
Now, at $1B, this most recent fine is among the largest ever levied by either the Consumer Financial Protection Bureau or the Office of the Comptroller of the Currency.
Bad dudes, still no sweat to be had
While the Federal Reserve did just lay down an unprecedented hammer to stifle the company from future expansion, the bank is going virtually unpunished yet again.
With more than $1T in assets, and their last quarter earnings of nearly $6B, a billion dollars is merely another drop in the bucket for the banking giant.
Get the 5-minute roundup you’ll actually read in your inbox
Business and tech news in 5 minutes or less