Wells Fargo agrees to pay $3.7bn over illegal fees and interest
Consumer Financial Protection Bureau orders bank to repay $2bn to consumers and a $1.7bn penalty
Consumer banking giant Wells Fargo agreed to pay $3.7bn to settle a laundry list of charges that it harmed consumers by charging illegal fees and interest on auto loans and mortgages, as well as incorrectly applied overdraft fees against savings and checking accounts.
The Consumer Financial Protection Bureau (CFPB) on Tuesday ordered Wells to repay $2bn to consumers and enacted a $1.7bn penalty against the bank. It’s the largest fine to date against any bank by the CFPB and the largest fine against Wells, which has spent years trying to rehabilitate itself after a series of scandals tied to its sales practices.
