Published On: August 15, 2017
In an article published by Housingwire, author Ben Lane, Wells Fargo announced that it will pay $108 million to the federal government to settle allegations that the bank overcharged military veterans for refinance loans.
Specifically, the issue relates to a lawsuit from 2006 that claimed some Department of Veterans Affairs Interest Rate Reduction Refinance Loans originated by Wells Fargo should not have been eligible for VA guarantees due to the bank allegedly collecting unauthorized fees with the loans.
Wells Fargo agrees to pay $108 million dollars but denies any wrongdoing. REALLY? What nine-year old is going to believe, based on the revelations over the last year*, that Wells did nothing wrong?
Under the agreement, Wells Fargo denies the allegations in the lawsuit but will pay $108 million to the government to resolve the claims, the bank said in a statement issued Friday. Where exactly this penalty will be paid to, the VA or some other branch of the Federal government, is not yet clarified.
WHAT IS THE COST TO THOSE THAT WELLS FARGO CHEATED OR ROBBED?
Will Wells Fargo’s management ever pay? No – instead they get large bonuses for the increased income. If Wells must pay fines or penalties it comes out of the pockets of their investors (who had nothing to do with this fraud) and bank customers in higher fees.
What is the cost to those Wells Fargo cheated or robbed?
Their bad credit (created by Wells Fargo’s actions) will mean:
- their security clearance is affected
- they may lose their job or the opportunity for a new job
- they cannot buy a home or rent an apartment
- their insurance premiums increase
- interest rates increase so purchasing a vehicle is more expensive
But – the good news for Wells Fargo’s management – they received millions in bonuses.[/av_textblock] [/av_one_full] [av_one_full first min_height=” vertical_alignment=’av-align-top’ space=” margin=’0px’ margin_sync=’true’ row_boxshadow_color=” row_boxshadow_width=’10’ link=” linktarget=” link_hover=” padding=’20px’ padding_sync=’true’ highlight_size=’1.1′ border=’2′ border_color=’#003d00′ radius=’5px’ radius_sync=’true’ column_boxshadow=’aviaTBcolumn_boxshadow’ column_boxshadow_color=’#606060′ column_boxshadow_width=’10’ background=’bg_color’ background_color=” background_gradient_color1=” background_gradient_color2=” background_gradient_direction=’vertical’ src=’https://dianedrain.com/wp-content/uploads/2018/07/gray_jean-background.jpg’ attachment=’18701′ attachment_size=’full’ background_position=’top left’ background_repeat=’repeat’ animation=” mobile_breaking=” mobile_display=” av_uid=’av-juq0pgm0′ custom_class=”] [av_heading heading=’* FRAUD AND DECEIT – BELOW ARE JUST A FEW OF THE CONS WELLS FARGO HAS BEEN INVOLVED IN, THAT WE KNOW OF THUS FAR.’ tag=’h2′ link_apply=” link=’manually,http://’ link_target=” style=’blockquote classic-quote’ size=” subheading_active=” subheading_size=’15’ margin=’,,,’ padding=’0′ color=” custom_font=” av-medium-font-size-title=” av-small-font-size-title=” av-mini-font-size-title=” av-medium-font-size=” av-small-font-size=” av-mini-font-size=” av_uid=’av-juq0vh08′ custom_class=” admin_preview_bg=”][/av_heading] [av_textblock size=” font_color=” color=” av-medium-font-size=” av-small-font-size=” av-mini-font-size=” av_uid=’av-juq0n8kq’ custom_class=” admin_preview_bg=”]
The Wells Fargo Fake Account Scandal: A Timeline – Forbes
The Wells Fargo account fraud scandal is an ongoing controversy brought about by the creation of millions of fraudulent savings and checking accounts on …
Wells Fargo, Awash in Scandal, Faces Violations Over Car Insurance …
Aug 7, 2017 – Wells Fargo, the scandal-plagued bank, is facing new regulatory scrutiny for not refunding insurance money owed to people who paid off their …
How Wells Fargo’s Cutthroat Corporate Culture Allegedly Drove …
But with the major scandal unfolding at Wells Fargo, angry former employees illuminate the alarming pressure that allegedly led local bankers to defraud …
Wells Fargo Opened a Couple Million Fake Accounts – Bloomberg
Really that’s just one principle: You get what you measure, but only exactly what you measure. There’s no guarantee that you’ll get the more …
About the Author: Diane Drain
Diane is a well respected Arizona bankruptcy and foreclosure attorney. As a retired law professor, she believes in offering everyone, not just her clients, advice about bankruptcy and Arizona foreclosure laws. Diane is also a mentor to hundreds of Arizona attorneys.
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