Home / Business / California wants to suspend or remove Wells Fargo's insurance license on sales

California wants to suspend or remove Wells Fargo's insurance license on sales



The California insurance regulator wants to suspend or withdraw the Wells Fargo insurance license for sales practices related to the bank's online referral program that says they were improper.

6 and initiated an internal review of those products. We have cooperated with the California Department of Insurance (DOI) in the course of this year. "

Last month, Wells said he would leave the personal and accident insurance business, but said the move was not related to the Insurance Department Investigation

The bank has been trying to recover from a much broader bogus accounts scandal that sparked high management turmoil last year, and Wells, based in San Francisco, paid $ 185 million in fines to federal regulators and the city of Los Angeles on the problem of false accounts discovered last year that affected 3.5 million customers.

Bank employees, under pressure to meet aggressive sales targets, opened accounts for unwanted credit cards or deposits on behalf of customers or enrolled in services that did not request scrutiny has been extended to mortgage companies and of cars in the bank.

Insurance sales through the referral program were mentioned in a footnote to a report on California insurance regulator said in accusations filed with the department last week that the unauthorized sales occurred between 2008 and 2016.

Wells said in his press release that the fake account scandal was published by the Wells board of directors in April.

on Wednesday, "We regret any damage this caused to our customers and we are doing things right for them as part of an ongoing remediation."

Wells Fargo's shares were little changed on Wednesday.


Source link

Leave a Reply

Your email address will not be published. Required fields are marked *