Sumary of Wells Fargo fined $250M for breach of deal:
- EMBATTLED BANK In this file photo taken on May 15, 2020, a security guard wearing mask and gloves walks outside a branch of the Wells Fargo bank amid the novel coronavirus pandemic in West Hollywood, California.
- : US bank Wells Fargo on Thursday (Friday in Manila) was hit with a new fine – $250 million for failing to meet requirements in an agreement to pay previously harmed customers.
- “Wells Fargo has not met the requirements of the OCC’s 2018 action against the bank.
- Wells Fargo admitted to opening 3.5 million fake accounts between 2002 and 2017, allowing its employees to earn bonuses related to the sale of new products and charge unnecessary insurance premiums to more than half a million customers on their car loans.
- In 2018, the OCC and the Consumer Financial Protection Bureau fined the California bank $1 billion and ordered it to reimburse the harmed customers the amounts improperly taken, and to strengthen the bank’s risk management program.
- In addition to the penalty, Wells Fargo will face “limits on the bank’s future activities until existing problems in mortgage servicing are adequately addressed,” Hsu said.