Turn on thread page Beta

What do you think about the Wells Fargo scandal?. watch

    • Thread Starter
    Offline

    20
    ReputationRep:
    LOL
    Offline

    0
    ReputationRep:
    People had to pay fees for those fake bank accounts.

    htp://money.cnn.com/2016/09/08/investing/wells-fargo-created-phony-accounts-bank-fees/
    Offline

    0
    ReputationRep:
    It's sad they had to retort to such tactics.
    It tarnished their reputation as one of the best banks in the USA.
    Offline

    0
    ReputationRep:
    I am qouting from the Wikipedia about this scandal :
    "In September 2016, Wells Fargo was issued a combined total of $185 million in fines for creating over 1.5 million checking and savings accounts and 500,000 credit cards that its customers never authorized.
    The scandal was caused by an incentive-compensation program for employees to create new accounts. It led to the firing of nearly 5,300 employees and $5 million being set aside for customer refunds on fees for accounts the customers never wanted."
    Offline

    20
    ReputationRep:
    Proves employee incentive schemes work... just not always in the way expected.

    You have to be really careful about setting up employee incentive systems - presumably the managers thought they were rewarding good salesmanship.
    Offline

    0
    ReputationRep:
    (Original post by Joinedup)
    Proves employee incentive schemes work... just not always in the way expected.

    You have to be really careful about setting up employee incentive systems - presumably the managers thought they were rewarding good salesmanship.
    Yes, it's sad really.
    The emoyees were under immense pressure to open new accounts.

    What is sad and unjust is that the CEO recieved a "retirement package of 124 million dollars " while 5000 emoloyees were fired with nothing.
    Offline

    0
    ReputationRep:
    If you ask me it's sad that such a large and respected bank with such a long history behaved like that.

    It's something i'd expect if a small bank, not the 3rd largest bank in the USA with 50,000 employees and thousands of branches, that was founded in 1854.
    Offline

    20
    ReputationRep:
    (Original post by Waspee)
    If you ask me it's sad that such a large and respected bank with such a long history behaved like that.

    It's something i'd expect if a small bank, not the 3rd largest bank in the USA with 50,000 employees and thousands of branches, that was founded in 1854.
    Are you an American? I'm not sure it's so well known in the UK except perhaps from western movies.

    We've had plenty of banking scandals in the UK - many people think of their bank as still being the somewhat respectable institutions of old but they're all just trying to screw their customers as hard as possible whilst staying within the letter of the law these days I'm afraid... And sometimes they're not all that bothered about the letter of the law tbh.
 
 
 
Reply
Submit reply
Turn on thread page Beta
TSR Support Team

We have a brilliant team of more than 60 Support Team members looking after discussions on The Student Room, helping to make it a fun, safe and useful place to hang out.

Updated: October 27, 2016
The home of Results and Clearing

2,776

people online now

1,567,000

students helped last year
Poll
How are you feeling about GCSE results day?
Useful resources
AtCTs

Ask the Community Team

Got a question about the site content or our moderation? Ask here.

Welcome Lounge

Welcome Lounge

We're a friendly bunch. Post here if you're new to TSR.

Groups associated with this forum:

View associated groups

The Student Room, Get Revising and Marked by Teachers are trading names of The Student Room Group Ltd.

Register Number: 04666380 (England and Wales), VAT No. 806 8067 22 Registered Office: International House, Queens Road, Brighton, BN1 3XE

Write a reply...
Reply
Hide
Reputation gems: You get these gems as you gain rep from other members for making good contributions and giving helpful advice.