Wells Fargo Pays $70M for Failures in Foreclosure Accord

The Charlotte Observer (Bloomberg News) | May 25, 2016      Wells Fargo & Co. agreed to pay a $70 million penalty in ending the bank’s five-year fight to settle legal claims over foreclosure missteps after the 2008 credit crisis.

U.S. regulators announced the fine for the San Francisco- based bank on Wednesday as part of an agreement that also frees the nation’s biggest mortgage lender from loan-servicing restrictions imposed last year.

The Office of the Comptroller of the Currency had accused Wells Fargo of failing to move fast enough in fixing deficiencies outlined in a series of settlements overimproper activity including so-called robo-signing of foreclosure documents. The agency, which said the bank is now in compliance, had also identified more recent problems, including faulty payment-change notices filed in bankruptcy courts and faulty escrow calculations.

Wells Fargo said it was pleased that the regulator accepted its work on the settlement. The bank neither admitted nor denied wrongdoing in the OCC agreement.  Read more here.