Wells Fargo will pay out billions of dollars to injured customers

Wells Fargo has agreed to pay $3.7 billion to settle claims by the U.S. consumer protection organization.

The Consumer Financial Protection Bureau (CFPB) found large-scale irregularities in the bank’s auto, mortgage and deposit processes. Specifically, the bank illegally increased various fees.

Wells Fargo is one of the four largest U.S. banks, operating in 35 countries with more than 70 million customers.

The CFPB ordered Wells Fargo Bank to pay $1.7 billion in fines, and $2 billion in restitution to owners of more than 16 million accounts affected by the violations.

Wells Fargo said in a statement that the settlement would resolve the backlog, specifying that the necessary actions have been in place since 2020.

During President Joe Biden’s administration, the Consumer Financial Protection Bureau has become more aggressive. Its director, Rohit Chopra, said the bureau intends to hold big companies accountable for their violations.