"Wells Fargo back in the scandal spotlight following $250 million fine"

" \n Wells Fargo back in the scandal spotlight following $250 million fine \n \n\n \n So it seems that the unofficial rule of thumb is that if the U.S. financial regulators have a slow month, they just slap Wells Fargo with another fine, which is likely fair enough. \n \n\n \n The bank has been scrambling to rebuild its reputation over the past couple of years, tarnished by major scandals , but they keep coming back. As a matter of fact, \u201cWells Fargo scandals\u201d is on the top of search engine results. \n \n\n \n The Comptroller of Currency (OCC) has just \u00a0fined \u00a0the bank $250 million for unsafe or unsound practices related to its home lending business. \n \n\n \n The OCC imposed a penalty on the bank for misconduct \u201crelated to material deficiencies regarding the bank\u2019s loss mitigation activities\u201d and violations of a 2018 consent order issued by the agency. In other words, they haven\u2019t paid their customers back. \n \n\n \n Back in 2018, the bank agreed to a consent order with the OCC and paid a $1 billion fine after failing to make promised adjustments to customers\u2019 interest rates on mortgages and automobile loans. \n \n\n \n \u201cWells Fargo has not met the requirements of the OCC\u2019s 2018 action against the bank. This is unacceptable,\u201d said acting Comptroller of the Currency Michael J. Hsu in a statement. \n \n\n \n In addition to the penalty, OCC\u2019s issued a cease and desist order restricts the bank from acquiring certain third-party residential mortgage servicing. It also requires the bank to ensure that borrowers are not transferred out of the bank\u2019s loan portfolio until remediation is provided \u201c\u2026 today\u2019s action puts limits on the bank\u2019s future activities until existing problems in mortgage servicing are adequately addressed,\u201d OCC said in the statement. \n \n\n \n In its own press release, Wells Fargo acknowledged the OCC\u2019s regulatory action, saying that the disputed practices have ended. \n \n\n \n \u201cBuilding an appropriate risk and control infrastructure has been and remains Wells Fargo\u2019s top priority. The OCC\u2019s actions today point to work we must continue to do to address significant, longstanding deficiencies,\u201d said Charlie Scharf, Wells Fargo\u2019s CEO \n \n\n \n As a result of those \u201cdeficiencies\u201d, the bank has paid more than $5 billion in various penalties since 2016. \n \n\n \n The new fine comes three years after the Federal Reserve \u00a0imposed \u00a0an asset cap on the bank to limit its ability to grow its balance sheet until it addressed the improper accounts and practices. \n \n\n \n Read: World Bank values Ghana\u2019s agriculture sector at $12.1 billion \n \n\n \n Also in 2018, Wells Fargo was forced to pay the Consumer Financial Protection Bureau (CFPB) $1 billion in a \u00a0settlement \u00a0over charges that the bank had levied inappropriate fees on mortgage borrowers and forced loan customers to purchase auto insurance. \n \n\n \n The Department of Justice also imposed a hefty $2.09-billion fine on the bank for the sale of residential mortgage loans that contained misstated income information. \n \n\n \n The bank\u2019s most notorious scandal was the 2016 revelation that it had opened 3.5 million dummy accounts using the personal data of customers. Then if followed up by slapping phony charges on them to cushion the bottom line. \n \n\n \n Other than that, the bank was fined for several other irregular practices such as overcharging in multiple units, improperly repossessing the cars of members of the military, overcharging small business retailers, and charging people with car loans for insurance without their knowledge. \n \n\n \n In the latest bad PR move, the bank informed its customers in July that it is closing all existing personal lines of credit--for good. The bank admitted that the closure of the accounts may have an impact on the credit score. \n \n\n \n Wells Fargo said it was discontinuing the product in order to focus on personal loans and credit cards. \n \n\n \n However, after being criticized by the public and officials, including former presidential candidate Senator Elizabeth Warren--who said that customers shouldn\u2019t suffer \u201cjust because their bank is restructuring after years of scams and incompetence\u201d--Wells Fargo dropped its plans. \n "

"Wells Fargo back in the scandal spotlight following $250 million fine"

MTN Nigeria Now the Most Capitalized Stock in NigeriaAMP

Nigerian Stock Market Creates Largest Pool of Billion-Dollar Stocks in 2025AMP

OPEC+ Nears Decision Point on Next Oil Output HikeAMP

Europe’s Energy Future Hinges on Global PowersAMP

US Companies Cut Investments in China to Record Lows, Here’s WhyAMP

How AI is Rewriting and Enhancing Water Risk ManagementAMP

SheFarms Broiler Edition Kicks Off in Greater AccraAMP

PharmAccess Ghana, Healthcare Federation of Ghana sign SafeCare License Agreement; to use Newest ISQua-Certified Version 5AMP

Tanzania Sink Burkina Faso to Delight Home Crowd In TotalEnergies CHAN 2024 OpenerAMP

MTN Nigeria Now the Most Capitalized Stock in NigeriaAMP

Nigerian Stock Market Creates Largest Pool of Billion-Dollar Stocks in 2025AMP

OPEC+ Nears Decision Point on Next Oil Output HikeAMP

Europe’s Energy Future Hinges on Global PowersAMP

US Companies Cut Investments in China to Record Lows, Here’s WhyAMP