Senator Elizabeth Warren wants Wells Fargo to explain the bank’s policies for charging overdraft fees on transactions in accounts its customers believed to be closed, costing them hundreds or even thousands of dollars. She asked how much money the bank had collected over the past five years charging overdraft fees on empty accounts past the dates on which accounts were supposedly closed.
Should the bank disclose how much it has made by collecting overdraft fees on closed accounts? What are your thoughts? nyti.ms/33LisTj
Elizabeth Warren Wants Wells Fargo to Explain Fees on Closed Accounts
nytimes.com
The senator from Massachusetts wrote to the bank, asking for information on its account closure practices and overdraft fees as described in a New York Times article.
Would a better question be. Why are people paying for things out of an account that they closed? Isn't that a form of fraud? Why do we as a society continue to remove accountability from people and always place blame on others.
Well the profits posted by Wells Fargo should give an idea of how much income they've earned by overdraft fees
It has nothing to do with the bank and has a lot to do about how we train our front line as a first line of defense.
I agree with Elizabeth Warren?! Someone send Satan a sweater - its getting chilly!
Works like this: Fake account opened to meet high pressure sales goal. $0 balance on it 2 months later: minimum balance not met -$12 1 week later: fee accessed for not bringing back to $0, excessive negative balance fee -$35 Now the account is -$47 Next week another excessive negative balance fee accessed, and the next week as well. Next month, another minimum balance fee accessed. It’s a snowball!
It has nothing to do with the bank and has a lot to do about how we train our front line as a first line of defense.
A little midweek humor. 😅
Do you get pushback when you want to use your vacation days or request time off?
Mine have been ignored too. I finally just send a calendar invitation and they get accepted!
I submitted my vacation time but allegedly she said it was never “submitted”
Liz Cardenas 🤔
Yes
Miguel Cortes
Layla Albo
This week, nearly 200 CEOs, including Jamie Dimon from Chase, tried to redefine the role of business in society — and how companies are received poorly by an increasingly skeptical public. They argued that companies should no longer prioritize only the interests of shareholders, and stop pushing aside the interests of customers, employees and communities.
This sounds like a step in the right direction, but do you think we'll really see changes at these huge corporations? #BetterBanks nyti.ms/2Hh3Np1
How Shareholder Democracy Failed the People
nytimes.com
Shareholder democracy seemed like a good idea at the time. What we got was shareholder supremacy.
They will hide it as some sort of incentive or change the wording.
This is merely an acknowledgment that markets are not stable, fundamentals matter less than they did a decade ago, and customers will ultimately decide the fate of major corporations when they come to realize their collective power. ✊🏽 But be mindful, shareholders have rights and will use them if they don't get the returns they expect to see.
It has been publically stated and he'd be chastised forever if never falling through. Let's see what actions they put into place; he and the other 199 CEOs.
Wells Fargo closed all 13 of a customer's checking accounts it provided his roofing company, for a reason it called “confidential.” The letter said the accounts would be closed on June 27, but the accounts did not close on that date. The accounts stayed active for weeks after all of his money was withdrawn and by mid-July, he owed the bank nearly $1,500. Bank employees have complained, saying this happens all of the time because of the way Wells Fargo’s computer system handles closed accounts. An account the customer believes is closed can stay open and each time an automatic transaction is processed for an overdrawn account, Wells Fargo tacks on a fee. One worker had collected an estimated $100,000 as a result of the practice!
Have you heard about this happening to your customers? Shouldn't the bank take action if both customers and employees are concerned about this practice? What are your thoughts? nyti.ms/2zaii9I
Wells Fargo Closed Their Accounts, but the Fees Continued to Mount
nytimes.com
When the bank closes customers’ accounts, it doesn’t always mean money stops going out. That can leave customers with hefty overdraft charges.
I worked at TD Bank on the east coast ten years ago and saw this happen numerous times. Accounts were closed (commercial and personal) yet continued to rack up fees due to automatic payments continuing to hit the account after closure. Fortunately, not all banks work this way. I had to close an account with my local bank last month due to relocation and it was done by the end of business the same day with no need for me to cancel any automatic payments I had set up.
This isn't exclusive to Wells Fargo. The compliance dept. can close your account and not tell you why. When they come into the branch we tell them to make sure they stop auto pays and deposits. The account will not close if it has a negative balance. This is true for retail accounts and I would think it would work the same for what would be commercial accounts. I have seen accounts get closed because they flagged one spouse and not the other-so any acct with the one name gets closed and the rest stay open. I would LOVE to work in that dept. My curiousity was always piqued when accts get closed by compliance. Some of these customers banked there for decades too.
Agreed , I've seen this happen all the time , and the fault is equally shared by both the customer and the bank , but mainly the bank should take majority of the responsibility as they should maintain a process to check to ensure that the account is in fact closed the next business day , if not reach out to the customer to address it right away, and that's called taking ownership of the clients need and ensuring the best for the clients, regardless whether they're opening an account or closing one
If this is a business customer there could be a lot of things wrong. More than likely he was on analyzed accounts. The banker should have noted this and closed out the analysis when the account was closed or put a waiver on the account so it won’t analyze. If fees hit the accounts cannot close because there is probably a negative balance. Either the banker was negligent or not trained properly.
This has to do with BSA usually if a business is depositing large cash dollar amounts it can get flagged as a money service business and get shut down, there is a 90 day grace period the bank doesn’t tell you about because the intention when sending the letter is that you go in and shut your account down before the system closes it.
My thoughts? Don't bank with #wellsfargo. I regret opening a furniture card they underwrite for Bedmart stores. They charged me a late fee, and tried to charge interest on their fee, because I paid my bill too early. (I'm in a promotional period where they don't get interest.) I get paid monthly so all my bills get paid right after the 1st. Can't pay before the 8th they said. Definitely not banking with them.
Client of mine had same issue
Where as that’s ridiculous amount of fees. Banks are not responsible for ACH payments which come out automatically. It’s up to the consumer to ensure nothing is coming out nor pending on the account before fully disregarding the account. Most consumer are made aware that it will take the rest of the business day for it to finalize and its up to them to be certain nothing else goes in or out of the account while the process is finalizing. Consumers often disregard or don’t listen to that statement though.
That's when bankers close the account and leave a penny in their so it won't fully close and wont mess up their sales
This is common. These accounts go to a pending status and it is on the customers to ensure auto drafts don’t come out. But they never listen when told this.
Wells Fargo will be cutting 400 jobs in its customer service center in Shoreview, MN, beginning as early as November.
Will you or someone you know be affected by these cuts? Have you heard of any other massive layoffs at the bank? #BetterBanks cbsloc.al/2KOdlc9
Wells Fargo Cutting Hundreds Of Jobs At Shoreview Operations Center
minnesota.cbslocal.com
Wells Fargo is reportedly cutting hundreds of jobs in the northeast metro.
I'm not surprised. With all the trouble they are in they are closing branches and cutting jobs so the big bosses pockets can get bigger.
That's awful !
Genesis Cooper