Wells Fargo: Mistake Contributed to Hundreds of Foreclosures
Hundreds of people had their homes foreclosed on because software used by Wells Fargo incorrectly denied them mortgage modifications. The embattled bank revealed the issue in a regulatory filing this week and said it has set aside $8 million to compensate customers affected by the glitch. The same filing also disclosed that Wells Fargo is facing "formal or informal inquiries or investigations" from unnamed government agencies over how the company purchased federal low-income housing tax credits. The document states the probes are linked to "the financing of low income housing developments," but does not offer further details.
Post to Tumblr