One of America’s largest banks has again paid billions in fines for illegally treating its customers.

Amid the heated news flow over the FTX drama, Ripple CEO Brad Garlinghouse tried to bring another case about the evils of traditional finance to the public’s attention. A $3.7 billion fine for mismanagement at Wells Fargo Bank was treated as, in Garlinghouse’s words, “barely a bright spot on the radar.”

Ripple’s CEO expressed concern about the lack of publicity surrounding the Wells Fargo case in his December 21 tweet:

On Dec. 20, the U.S. Consumer Financial Protection Bureau (CFPB) ordered Wells Fargo to pay more than $2 billion in consumer compensation and a $1.7 billion civil penalty. According to the CFPB, the bank’s conduct caused billions of dollars in financial damage to its customers, costing thousands of customers their vehicles and homes.

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For several years, Wells Fargo has consistently charged customers inappropriate fees and interest on auto and mortgage loans, inappropriate overdraft fees, and inappropriate fees on checking and savings accounts. In this case, there are 16 million customers affected.

In his statement, CFPB Director Rohit Chopra said:

“Wells Fargo’s illegal cycle of repeat flushing has harmed millions of American families. The CFPB is ordering Wells Fargo to refund billions of dollars to consumers across the country. This is a important first step in the long-term accountability and reformation of this repeat offender.”
It wasn’t the first time one of the largest banks in the United States had broken the law and harmed its customers. In 2016, Well Fargo – with a market capitalization of $156.6 billion – was fined $185 million by the CFPB for creating millions of fraudulent savings accounts in the name of its customers without their consent. consent. In 2020, Wells Fargo agreed to pay $3 billion to resolve its potential criminal and civil liability for this activity.

Source: CoinTelegraph