Wells Fargo Bank is once again facing penalties over accusations that the company schemed clients out of money. This time, The Security Exchange Commission says the bank took advantage of its brokerage clients holding market-linked investments.
That’s a type of bond meant to be held until maturity; however, investigators claim the bank improperly pushed clients to sell early, so it could collect extra fees.
Wells Fargo is now on the hook for a $4 million fine, plus returning the fees to clients.
In the past, the bank admitted to opening fake accounts, charging car buyers for insurance they didn’t need, and charging homebuyers for unnecessary mortgage fees.