Wells Fargo’s Subprime Exit Closes a Sorry Chapter in Its History. #africanamerican #hispanic

(Daily Finance) Wells Fargo’s (WFC) announcement earlier this week that it’s exiting the subprime mortgage business is economically sensible for the bank, given that today’s far more restrictive credit requirements pretty much put an end to subprime mortgages. It also closes a very dark chapter in Wells Fargo’s history.

Wells Fargo is one of the nation’s largest banks, but it’s had a questionable record with lending to the black and Hispanic community.

As former Wells Fargo loan officer Beth Jacobson told The New York Times in June 2009, Wells Fargo singled out blacks in Baltimore and suburban Maryland for high-interest subprime mortgages. Jacobson and another former Wells Fargo loan officer said in an affidavit that the bank’s employees referred to blacks as “mud people” and to subprime lending as “ghetto loans.”

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One Response to “Wells Fargo’s Subprime Exit Closes a Sorry Chapter in Its History. #africanamerican #hispanic”

  1. I understand their unfair claims practices, their tactics and their motivations well. I spent twelve years as an Insurance SIU Investigator. Twelve years in the trenches. Twelve years learning what insurance companies will do to you to avoid payment of your insurance claim.

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