Wells Fargo To Pay 200M In Overdraft Fee Case
Question: What happens when a bank uses slight of hand to routinely turn single overdrafts into multiple overdrafts, exponentially increasing fees? Answer: A $203 million judgment for restitution. Wells Fargo had a nefarious habit of manipulating overdraft fees by using a “bookkeeping device” that would turn one instance of overdrawing into many more, up to 10. This in part allowed the bank to collect $1.8 billion in overdraft fees from 2005 to 2007....