Wells Fargo charged with opening accounts without customers' permission

Brian in Mesa

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Wells Fargo charged with opening accounts without customers' permission

http://www.abc15.com/news/national/...opening-accounts-without-customers-permission

Wells Fargo is accused of opening up accounts and credit cards in customers' names without their authorization.

The accounts are being opened by Wells Fargo employees under pressure to meet unrealistic sales goals and quotas, according to the civil complaint filed by the Los Angeles City Attorney.

The fraud complaint charges that in order to meet sales quotas, the bank employees opened accounts without the authorization, sometimes transferring money from its customers authorized accounts to pay fees on the unauthorized accounts. Some customers were placed into collection when fees on unauthorized accounts went unpaid, while others had negative information placed on their credit reports as a result.

The complaint, filed in California Superior Court on Monday, seeks a $2,500 fine for every unauthorized account, and seeks to have all of the money taken from customers returned. It did not estimate how much those penalties could cost the bank.
 

Covert Rain

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This sounds like an isolated incident by a group of employees. This would be a much bigger lawsuit if it was company practice.
 
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