Ethics At Wells Fargo

[DGoddessChardonnay]

Not surprised at all by these recent revelations. It's only going to get worse for them before they finally plunge to the bottom of the ocean like the Titanic.

From what my Mom has been hearing, people are pulling their money out of WF. As well they should - plenty of other banking options to choose from now.

[eltf177]

I can only hope that other banks are looking at this and making sure their houses are in order...

[Nunavut Pants]

I honestly see Wells Fargo being broken up and sold off in pieces in the near future...

Too bad it's not Stumpf who is being broken up and sold in pieces.

[eltf177]

And things don't get much better...

https://consumerist.com/2016/10/26/n...ith-employees/

New CEO apologizes to employees for what they had to do. Read the article, it doesn't sound like much will change - it's just a lot of buzzwords, platitudes and empty promises...

https://consumerist.com/2016/10/25/r...-of-customers/

"As Wells Fargo continues to grapple with the consequences of its potentially decade-long fake account fiasco, we’re beginning to see what the future might hold for the banking giant: a large loss both financially and in its customer base."

The projection is a 30% loss of customers. And I think that's an serious understatement...

[notalwaysright]

I just want to say whenever I see the name Wells Fargo, I think of the song. Also, I just spent too long looking for the version that I remember from when I was a kid, and I can't find it! I really don't like the movie version at all, I wonder where my elementary school got their version. (we sang various older songs for our grade's end of year performance)

[Ironclad Alibi]

I just want to say whenever I see the name Wells Fargo, I think of the song. Also, I just spent too long looking for the version that I remember from when I was a kid, and I can't find it! I really don't like the movie version at all, I wonder where my elementary school got their version. (we sang various older songs for our grade's end of year performance)

I wonder if the version you want is from the Broadway play (1957). It is a little different from the movie (1962).

Wells Fargo Wagon (Broadway version)

[eltf177]

And it's far from over...

https://consumerist.com/2016/11/03/w...les-practices/

"...The Wall Street Journal reported yesterday that the SEC is looking into whether or not Wells misled investors by promoting the financial benefits of its cross-selling policies (i.e., getting employees to sell lines of credit to checking account customers, mortgages to credit card customers, etc.) while failing to properly disclose that it was aware of employees who had gamed this system by opening fraudulent, unauthorized accounts in customers’ names."

I don't see any way the new CEO's going to spin his way out of this mess...

The article also says:

"Speaking of whistleblowers, the SEC probe may also be looking into allegations that the bank dismissed or retaliated against employees who tried to shine a spotlight on Wells staff that were opening these bogus accounts."

These people were treated horribly and deserve compensation...

[notalwaysright]

I wonder if the version you want is from the Broadway play (1957). It is a little different from the movie (1962).

Wells Fargo Wagon (Broadway version)

Nope. Now that I think about it, I bet that the school just had the music, with no singing. And we sang it simpler. For example, when the crowd sings "yes it could be, yes you're right it surely could be" our class was silent, and there was just a pretty flute. So the Broadway version sounds... cluttered.

Oh, the weather app on my phone showed me an ad banner for Wells Fargo. It was sad like "we're making changes for the better" or something similar.

[It's me]

Apparently they weren't above using dirty tricks to keep employees in line:

http://www.npr.org/sections/money/20...rm-wells-fargo

[eltf177]

I just listened to that, It's me, and that is just about the most underhanded thing EVER!

I really hope these employees send Wells Fargo into the bankruptcy it deserves!

[wolfie]

This would be a great way for another bank to pick up good staff, but since it would require both work and sticking their necks out by top brass, it will never happen.

Wells Fargo is documented as having put false "red flags" on the U5 forms of people who reported the fraud as retaliation. Therefore, any "red flags" put on U5 forms by Wells Fargo during the past few years are suspect. If everything else about the person checks out, hire them, but put them under additional scrutiny (and tell them about it - this is because of the "red flag", and the only reason they were hired is that it's known that Wells Fargo was abusing the U5 system).

[eltf177]

Excellent points, Wolfie. And as a follow-up:

https://consumerist.com/2016/11/04/l...ccount-fiasco/

"Under federal law, when brokers or other registered representatives leave a position with a banking institution, that company is required to notify the Financial Industry Regulatory Authority (FINRA) with a form that includes a field that describes why the worker was leaving. It’s those filings that lawmakers are pointing to now, claiming that Wells Fargo knew well in advance that its employees were taking part in the now infamous fake account fiasco."

And:

"Wells Fargo’s forms, according to the senators, don’t just show that Wells Fargo knew about the fraudulent activities, but that it may have used that information against employees who attempted to bring the issues to light."

Lawyers representing those who were fired are going to have a field day with this, and I hope management heads roll aplenty for what they did to employees who tried to do the honorable thing.

The new CEO had better do something quick, while he still has a company to run...

[eltf177]

And for those who wondered how bad the fallout from all this would be:

https://consumerist.com/2016/11/18/n...ccount-fiasco/

"Since Wells Fargo’s decade-long fake account fiasco came to light in September, analysts have warned that revelations about bank staffers opening millions of unauthorized accounts would result in consumers shying away from Wells. Those analysts may be right, with the bank confirming that new customer accounts fell dramatically during October.

Bloomberg reports that customers opened 44% fewer new accounts last month than they did a year ago, representing a 27% decrease from September’s new account opening level."

The article also mentions credit card applications have dropped by one-half. I am very curious to know just how many clients were lost after this all came to light.

The only question now is can Wells Fargo survive and, if so, for how long.

[Deserted]

I wouldn't have used them before this fiasco anyway.

[Ironclad Alibi]

I wonder how much of that drop is due to fake accounts not being opened?

They say 44% fewer accounts are being opened, but are they including the fake accounts in the 100% for last year?