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Wells Fargo to Pay $3.7 Billion for Mistreating Customers
- Tally includes $1.7 billion fine, a record amount for CFPB
- The bank expects a pretax operating loss in the fourth quarter
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Wells Fargo & Co. reached a $3.7 billion settlement with federal regulators, including a record $1.7 billion fine, to cover allegations that for years it mistreated millions of customers, causing some to lose their cars or homes.
The agreement with the Consumer Financial Protection Bureau includes more than $2 billion in “redress to consumers,” the CFPB said in a statement Tuesday that cited “widespread mismanagement” of auto loans, mortgages and deposit accounts.