Americans can claim a one-time payment from Wells Fargo after the Consumer Financial Protection Bureau (CFPB) ordered the bank to repay the consumers.
Wells Fargo Ordered To Repay the Consumers
Wells Fargo is now facing its largest fine and around 16 million Americans and customers are about to receive a one-time payment. This is after the Consumer Financial Protection Bureau ordered the bank to pay $3.7 billion in fines and refunds to its customers.
CFPB Director Rohit Chopra said, “Wells Fargo’s rinse-repeat cycle of violating the law has harmed millions of American families. The CFPB is ordering Wells Fargo to refund billions of dollars to consumers across the country. This is an important initial step for accountability and long-term reform of this repeat offender.”
According to a report published in The U.S. Sun, Wells Fargo committed multiple violations and these are the following:
- Multiple violations of consumer financial laws
- Illegal fees and interest on auto loans and mortgages
- Incorrectly applied overdraft fees for savings and checking accounts
Wells Fargo CEO Released a Statement
Wells Fargo CEO Charles Scharf said, “As we have said before, we and our regulators have identified a series of unacceptable practices that we have been working systematically to change and provide customer remediation where warranted.”
He also added, “This far-reaching agreement is an important milestone in our work to transform the operating practices at Wells Fargo and to put these issues behind us.”
Moreover, the CFPB recognized the efforts of Wells Fargo for working quickly to fix both previous and current issues. The bank has almost completed the required actions needed involving this most current settlement.