Wells Fargo faces grilling via Sen. Warren on bungled fee refunds

Sen. Elizabeth Warren, D-Mass., during a Senate Banking, Housing as well as also Urban Affairs Committee hearing on October 4, 2017.

Tom Williams | CQ Roll Call | Getty Images

Sen. Elizabeth Warren, D-Mass., during a Senate Banking, Housing as well as also Urban Affairs Committee hearing on October 4, 2017.

Wells Fargo again finds itself on the hotseat for mistakes the item made trying to repay customers hit by improper loan fees.

Sen. Elizabeth Warren, the Massachusetts Democrat who has been highly critical of the bank as well as also its management over numerous issues with customers, fired off a letter to Wells CEO Tim Sloan This specific week grilling him about botched refunds.

Warren accused Sloan of breaking his promise to customers since he took over as CEO in late 2016 after a fake accounts scandal burst into the headlines. that will scandal involved the bank’s employees opening accounts without customers’ knowledge in a bid to meet aggressive sales goals, an issue affecting millions.

Last August, Wells admitted the item charged nearly 0,000 customers for auto insurance they didn’t need. as well as also then the bank had to admit the item improperly charged 110,000 customers fees to extend their mortgage rate locks.

The Wall Street Journal has reported in recent days that will Wells has bungled its reimbursements to the auto loan as well as also mortgage rate lock customers, sending 38,000 incorrect letters to the auto loan customers as well as also forcing mortgage rate lock customers to agree to receive a refund in order to get one.

“Wells Fargo has stolen money via its customers,” Warren’s letter says. “the item has caused thousands of people to spend valuable time as well as also money trying to deal that has a problem Wells Fargo created. as well as also today the bank will be providing the customers the item harmed with inaccurate information or creating them jump through hoops just to get their money back.”

Her letter seeks answers to several questions by the end of the month, including why the item chose to impose an opt-in to get a refund, whether the item will admit to revising its refund process as well as also a detailed description of the refund process the item intends to use.

A spokeswoman for Wells Fargo issued the following statement in response to questions about the Warren letter:

“Wells Fargo remains focused on creating things right for our customers as well as also will be working with its regulators to ensure that will these ongoing auto as well as also mortgage remediations are completed accurately as well as also as quickly as possible. Our auto remediation will be underway as well as also we expect the item to be substantially completed by mid-year. We have also begun sending refunds to customers who previously contacted us to question their mortgage rate lock extension fees, as well as also continue to work with our regulators on plans for contacting the remaining customers who paid those fees as well as also invite them to request a refund if they believe that will they were charged fees inappropriately. We will address any questions Senator Warren or her colleagues on Capitol Hill have about these plans under way.”

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