Wells Fargo Facing New Mortgage Accusations

 

By David Koen

A pair of related suits have been filed against Wells Fargo Bank, N.A., charging the third-largest bank in the United States with improperly overcharging for mortgage loans.

In one suit, a class action, Wells Fargo is alleged to have delayed loans to bilk customers into paying fees to keep their agreed-upon interest rate. Muniz v. Wells Fargo & Co., No. 17-4995 (N.D. Cal.). An investigation into the practices contributed to the bank “part[ing] ways with a handful of mortgage executives, including its former national sales manager and regional managers in California, Oregon and Nevada.” http://www.latimes.com/business/la-fi-wells-fargo-rate-lock-20170829-story.html.

In the other suit, a Wells Fargo employee claims he was fired after blowing the whistle on allegedly improper rate-lock practices by the bank. That case is Alaniz v Wells Fargo Bank, N.A., No. 17-5066 (C.D. Cal.).

David Koen is a staff attorney at Legal Aid Services of Oregon

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