Wells Fargo says it has discovered another 1.4 million accounts that its employees may have set up for customers without their knowledge, dating back as far as 2009. That brings the total number of potentially unauthorized accounts identified by the bank to 3.5 million.
Wells Fargo CEO Tim Sloan apologized for “unacceptable sales practices” that led employees to create additional accounts for customers without their knowledge. About 190,000 of the suspicious accounts incurred fees and charges.
The company said it is taking steps to make amends and already has paid more than $3.7 million in refunds and credits to customers who’ve gone through the bank’s complaint and mediation process. Victims may receive additional compensation from a $142 million class-action settlement, which was approved by a judge in July.
Over the next two months, the bank will work with a court-appointed claims administrator to reach customers who may be eligible. The settlement includes compensation for increased borrowing costs that may have resulted when customers’ credit scores were harmed.
Wells Fargo spokesman Jim Seitz said the bank is encouraging customers who think they may have been victims to go to one of its branches for help, or to call a special hotline toll-free at 877-924-8697.
Providing an account number and bank statements or other documents may make it easier to investigate a case, but bank officials will work with whatever information people are able to provide, Seitz said.
Discounts & Benefits
Next ArticleRead This