Idaho officials say Wells Fargo Bank will pay $575 million to all 50 states and the District of Columbia as part of a settlement to resolve claims that the company violated state consumer protection laws.
State Attorney General Lawrence Wasden says Idaho’s portion of the settlement totals $5.27 million, which will be deposited into the state’s Consumer Protection Fund.
Wasden says Wells Fargo set aggressive and unrealistic sales goals for its employees and incentivized them to inflate their results. By doing so, the AG says the company created an impetus for its workers to play fast and loose with the rules.
The settlement, along with prior federal agency orders, seeks to hold the company accountable for its actions.
The bank has been under a cloud since 2015 when it acknowledged that employees had opened millions of fake bank accounts for customers in order to meet sales goals. It has also said that it sold insurance and other financial products to customers who didn’t need them.
Wells Fargo has already been ordered to pay more than $1.2 billion in penalties and faced stricter regulations. (KTVB)
