Wells Fargo close to settlements over fraud accounts

Wells Fargo close to settlements over fraud accounts

Settlements would close the 2016 scandal that rocked the bank

Wells Fargo appears ready to agree to settlements with the federal government for abusing customers across several of its business units, according to the New York Times.

Settlements could be announced Friday, according to the Times, which cited unnamed sources.

How much the settlements would cost Wells Fargo was not immediately known. But the bank has set aside $3.1 billion to pay legal costs, according to the Times.

In 2016, bank officials admitted that employees opened millions of bank accounts in their customers’ names, charging other customers unnecessary fees for loans and selling others unwanted insurance products, according to the Times.

Last month, ex-Wells Fargo executives including the former chief executive, John G. Stumpf were hit with the largest fines ever assessed by bank regulators.

Source: Fox Business

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