Wells Fargo To Pay $575 Million To Settle With States
Wells Fargo has agreed to a $575 million settlement with 50 states in a lawsuit alleging unfair and deceptive trade practices.
North Carolina Attorney General Josh Stein said the state will receive $15.1 million. The lawsuit claimed that the bank violated state consumer protection laws like opening unauthorized accounts, improperly charging fees and failing to provide refunds.
“Wells Fargo prioritized making money over treating its customers fairly,” said Attorney General Josh Stein. “The way Wells mistreated its customers is unacceptable. In addition to providing necessary relief, this settlement is an important reminder that attorneys general will hold banks accountable and protect the people of our states.”
Wells Fargo CEO and President Tim Sloan said in a statement: "This agreement underscores our serious commitment to making things right in regard to past issues as we work to build a better bank."
Through the settlement, which includes all 50 states and the District of Columbia, Wells Fargo will also create a consumer redress review program through which consumers who have not been made whole through other restitution programs already in place can seek review of their inquiry or complaint by a bank escalation team for possible relief.
It is not yet clear how the $15.1 million designated for North Carolina will be spent.