Nearly a year after news broke that Wells Fargo employees—under the pressure of meeting the bank’s cross-selling sales quotas—created 2.1 million fake accounts under the names of current customers, the bank has uncovered 1.4 million more fake accounts. The bank’s problems are now worse than previously thought.
Like many others who bank at Wells Fargo, a Baltimore schoolteacher wanted to design her bank card with something she felt was important. But when that “thing” turned out to be Black Lives Matter, the bank balked.
As Wells Fargo fights to come out from under a fake-account scandal that has forced its former CEO and chairman to retire, there is talk that branch closures may be in the near future.
Wells Fargo & Co. Chairman and CEO John Stumpf has informed the company’s board of directors that he will be stepping down from both positions effective immediately, the San Francisco-based bank said Wednesday. The bank’s board elected President and Chief Operating Officer Tim Sloan to replace Stumpf, the Charlotte…
Illinois State Treasurer Michael Frerichs said Monday that his office will suspend investment activity with Wells Fargo in light of the bank’s ongoing fraud scandal and investigation, USA Today reports.
Just when it looked as if things could not get worse for Wells Fargo, the bank took another beating Thursday when it agreed to pay $24 million for improperly repossessing cars it financed for members of the U.S. military, the Los Angeles Times reports.
“Mr. Stumpf, the Wells Fargo Vision and Values statement [pdf], which you frequently cite, says, quote, ‘We believe in values lived, not phrases memorized. If you want to find out how strong a company’s ethics are, don’t listen to what its people say; watch what they do.’ So, let’s do that.”
Wells Fargo is embroiled in a multimillion-dollar banking-fraud scandal stemming from its aggressive cross-selling tactics, and CEO John Stumpf blames low-level bank employees for the trouble.