Wells Fargo to pay $575 million in settlement with U.S

Wells Fargo CEO Tim Sloan

Wells Fargo CEO Tim Sloan

The deal ends investigations that began after federal regulators revealed in September 2016 that Wells Fargo employees had for years opened millions of unauthorized bank accounts in customers' names.

The agreement comes after NY reached a separate, $65 million settlement with Wells Fargo in October over the sham accounts, and after the bank paid $1 billion in April to settle federal charges related to its handling of mortgages and auto loans. Under the new agreement announced on Friday, the bank will also create teams to review and respond to customer complaints about its banking and sales practices.

"Instead of safeguarding its customers Wells Fargo exploited them", California Attorney General Xavier Becerra said in a statement.

AG Andy Beshear and the states allege the bank imposed aggressive and unrealistic sales goals on bank employees, and implemented an incentive compensation program where employees could qualify for credit by selling certain products to customers.

Kim Kardashian insists daughter North 'picked' red lipstick to wear to party
Many commenters gushed over how cute North looked in her Prada outfit and full glam, writing, "North for the win!" and "North straight slayinngggggg".

Authorities say Wells Fargo also improperly referred customers for enrollment in third-party renters' and life insurance policies and improperly charged auto loan customers for force-placed and collateral protection insurance. As a result, Wells Fargo has agreed to provide remediation of more than $385 million to approximately 850,000 auto finance customers.

According to the states, Wells Fargo also failed to provide proper refunds to auto finance customers who had purchased Guaranteed Asset Protection insurance policies, created to address situations in which a car buyer/borrower ends up owing more than a vehicle's value. Additional information on the redress review program, including Wells Fargo escalation phone numbers and the Wells Fargo dedicated website address for the program will be available on or before February 26, 2019. The bank has identified and contacted affected consumers and has refunded or agreed to refund over $100 million of such fees.

Arizona will receive $37.1 million from Wells Fargo & Co. under a 50-state $575 million settlement to resolve claims that the bank violated state consumer protection laws.

The Consumer Financial Protection Bureau and the Office of the Comptroller of the Currency announced in June that Wells Fargo had agreed to pay a $1 billion fine as part of a settlement after the bank allegedly forced an auto loan insurance program onto hundreds of thousands of consumers who did not need it and mischarged consumers for certain mortgage interest rate lock extension products.

Recommended News

  • Subaru WRX STI S209 Teased Again

    Subaru WRX STI S209 Teased Again

    At the auto show in Tokyo, which will begin on 11 January, the company Subaru plans to present two concept vehicle . Although Subaru hasn't announced details, it's likely the S209 is a limited-edition model like its predecessors.
    Christmas ‘miracle’ as boy survives French Alps avalanche

    Christmas ‘miracle’ as boy survives French Alps avalanche

    Police explained that the boy was able to survive because his airways were not blocked by the snow, ABC News reported. The 12-year-old boy was on an off-piste section with his parents at the La Plagne resort when he was swept away.
    MLB Rumors: Harper, Machado not interested in Phillies?

    MLB Rumors: Harper, Machado not interested in Phillies?

    According to Joel Sherman of the New York Post , Harper and Machado aren't warming up to the idea of signing with Philadelphia. Stay tuned to YES Network for all the latest Yankees news and updates as baseball's offseason unfolds into 2019.
  • Iggy Azalea's Backup Dancer Suffers a Seizure Mid-Concert

    Iggy Azalea's Backup Dancer Suffers a Seizure Mid-Concert

    She went on to say she's shaken up by the incident but is thankful the dancer is recovering. Could we be a little kinder to each other?' "She is backstage feeling much better ".
    UN Official Wants Assessment Access After Border Patrol Child Deaths

    UN Official Wants Assessment Access After Border Patrol Child Deaths

    Nielsen is also scheduled to meet with emergency medical technicians and medical professionals, as well as local officials. That includes more than 68,000 families and 13,981 children who were not with their father, mother or family members.
    Egypt's two former presidents appear in a Cairo court

    Egypt's two former presidents appear in a Cairo court

    They are accused of storming prisons during the 2011 uprising that toppled Mr Mubarak. Mubarak was freed last year, ending almost six year of legal proceedings against him.
  • Sears may be down to its last 24 hours

    Sears may be down to its last 24 hours

    The company has been losing money and closing stores for years, and many employees blame its former CEO turned chairman, Lampert. However, as of Thursday afternoon, Lampert had not submitted his bid for failure to raise the cash, insiders say.
    Dow Has Biggest Point Gain In History

    Dow Has Biggest Point Gain In History

    CNBC noted, "Retailers were among the best performers on Wednesday, with the SPDR S&P Retail ETF (XRT) jumping 4.4 percent". The Dow Jones Industrial Average slumped 400 points in late-afternoon trading after dropping as much as 611 points earlier.
    Angelina Jolie not ruling out political career

    Angelina Jolie not ruling out political career

    U.S. actress and United Nations High Commissioner for Refugees special envoy Angelina Jolie . She added that "for now", she would stay quiet.
  • Ex-China spymaster Ma Jian jailed for life over graft

    Ex-China spymaster Ma Jian jailed for life over graft

    Ma Jian, once one of the top secret police officials in China, was jailed for life by a court in Liaoning province on Thursday. Guo, who was repeatedly named in the court's statement, is now a fugitive living in NY since he fled China in 2014.
    How to Watch Pinstripe Bowl: Miami vs

    How to Watch Pinstripe Bowl: Miami vs

    Rosier replaces N'Kosi Perry, who started the past three games, including victories over Virginia Tech and Pittsburgh. Duke (8-5), which entered the game having lost two in a row, held Temple without a point in the final 34 minutes.
    Festive cheer for motorists as petrol to drop by R1.22 on Wednesday

    Festive cheer for motorists as petrol to drop by R1.22 on Wednesday

    The cost of fuel will decrease by more than R1 per litre with effect from January 2, due to lower worldwide petroleum prices. In New Delhi, petrol was retailing at Rs 69.55/ litre while diesel was at Rs 63.62/ litre.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.