Waters Statement on Federal Reserve’s Approval to Reward Wells Fargo Executives
July 2, 2018
Tags: Federal Reserve
Today, in response to the Federal Reserve’s approval of Wells Fargo's capital plan to increase dividend payments by 10 percent and spend up to $24.5 billion on stock buybacks, Congresswoman Maxine Waters (D-CA), Ranking Member of the House Committee on Financial Services, made the following statement:
“I am troubled by the Federal Reserve’s recent decision to approve Wells Fargo’s capital plan to handsomely reward its shareholders, including the megabank’s senior executives, despite engaging in a never-ending list of illicit activities. In recent years, the bank has opened 3.5 million fraudulent credit card and deposit accounts; engaged in illegal student loan servicing practices; charged inappropriate checking account overdraft fees; conducted unlawful mortgage lending practices, including overcharging veterans for refinanced loans; charged customers for auto insurance policies they did not need, which resulted in some customers losing their vehicles; and improperly sold complex financial products to retail investors.
The Federal Reserve’s approval of Wells Fargo’s capital plan was conducted through the agency’s 2018 Comprehensive Capital Analysis and Review (CCAR).