Wells Fargo faces lawsuits over mortgage and auto loans

From Reuters - November 3, 2017

(Reuters) - Wells Fargo & Co is facing litigation over previously disclosed sales problems related to its auto lending and mortgage businesses, the bank disclosed in a regulatory filing on Friday.

The lawsuits include two class action cases alleging violations of federal and state consumer fraud laws, as well as claims brought by former employees who said they were fired for raising concerns over problematic sales practices. Wells Fargo disclosed the litigation in its third-quarter financial filing with the U.S. Securities and Exchange Commission.

The disclosures included in our filing today reflect the companys continued commitment to transparency. Our top priority is to rebuild trust, and we remain focused on making things right for our customers, team members, community partners and shareholders, a company spokesman wrote via email.

The third-largest U.S. lender has spent more than a year trying to rebuild its reputation following a sales scandal that led to the departure of its CEO and a companywide overhaul of its business practices. The company says it is continuing to review all its businesses to root out bad practices.


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