Wells Fargo Could Have to Pay a $1 Billion Penalty

Wells Fargo may soon have to shell out a cool $1 billion as a penalty for alleged wrong doings which include forcing its customers to buy auto insurance policies they didn’t even need.

People brief on the regulatory action have said that the expected penalty could be announced on Friday and is levied by the Consumer Financial Protection Bureau as well as the Office of the Comptroller of the Currency.

President Trump had tweeted last December, “Fines and penalties against Wells Fargo Bank for their bad acts against their customers and others will not be dropped, as has incorrectly been reported, but will be pursued and, if anything, substantially increased. I will cut Regs but make penalties severe when caught cheating!”

The Consumer Financial Protection Bureau’s portion of the $1 billion penalty could be the largest fine the agency has ever levied in its history.

Disclaimer: We have no position in Wells Fargo & Co. (NYSE: WFC) and have not been compensated for this article.