The OCC is telling wells fargo to stop just arbitrarily foreclosing on customers.
A bank is supposed to have a program to work out a program for payment. Wells does have a policy in place, but just like every other policy at this bank, anything that gets in the way of profit is run over.
Chainsaw got greedy.
The Office of the Comptroller of the Currency fines Wells Fargo (NYSE:WFC) $250M related to alleged deficiencies in its home lending loss mitigation program and violation of its 2018 compliance consent order.
This is a lot more serious than initially reported.
It means the bank got caught f0kin its customers again....in violation of its consent order.
No matter how much lipstick you put on it - this one is squarely on ole Chainsaw.
He can get away with fkin over the employees, cause no one bats an eye.
But customers?
Nope - thats the line in the sand. And they got caught doing it
AGAIN
The new penalties also restrict the bank from acquiring certain third-party residential mortgage servicing and require the bank to ensure that borrowers aren't transferred out of the bank’s loan servicing portfolio until remediation is provided, except as required by an investor pursuant to a contractual right.
The OCC also issued a cease and desist order to the bank for failing to establish an effective home lending loss mitigation program. The order requires Wells Fargo (WFC) "to take broad and comprehensive corrective actions to improve the execution, risk management, and oversight of the bank’s loss mitigation program."
OUCH
But hey - the board hired a crocodile to run the bank....how is unethical heartless behaviour not expected?
Mr chainsaw should be denutted by the board for this one.
Its a really really bad look for a bank that is already in the doghouse.
Wow.