FOR IMMEDIATE RELEASE
Press Release – April 23, 2018
NACA’S CEO CALLS ON WELLS FARGO TO REINVENT ITSELF INTO A CONSUMER-FOCUSED INSTITUTION
(Boston, MA – April 23, 2018) NACA, the nation’s largest non-profit HUD certified housing and community advocacy organization, believes the $1 billion fine levied against Wells Fargo is a positive step in correcting the bank’s predatory practices. This significant penalty, along with the current restrictions on their growth, sends an important message to Wells Fargo’s executives and board members that fundamental change needs to occur.
Nevertheless, virtually none of the funds from the $1 billion penalty from the OCC and CFPB will be going to Wells Fargo’s consumers. The current government regulators are following the same practice as the previous administration of using the victims as a source of government funding. Since these are not victimless crimes, the current administration needs to set a new path of utilizing penalties to benefit current and future customers.
“This is a start”, said Bruce Marks, NACA’s CEO. “Wells Fargo needs to reinvent itself from an institution that has followed in the footsteps of its predatory predecessor Norwest, to a customer-focused financial institution. To get out from the regulators’ appropriate limitations and scrutiny, it needs to not only stop its abusive practices but set the industry standard in providing consumer-focused banking. This requires Wells Fargo to utilize some of its massive profits to provide the lowest cost financial services and to do affordable portfolio lending. Wells Fargo needs to remake its reputation and use the current government clampdown as such an opportunity. A true reflection of both a person and an organization is when one can turn a negative into a positive. Now is Wells Fargo’s opportunity.”
About NACA (www.naca.com): NACA is the largest and most effective organization in modifying mortgages and provides the best mortgage in the country. NACA has more than two million members and 47 offices nationwide. NACA CEO Bruce Marks was named Bostonian of the Year for 2007 because of his work in getting the major lenders and servicers to modify home loans for borrowers. See Bostonian of the Year. Mr. Marks has also testified before Congress on numerous occasions including September 12, 2000, being one of the only people to sound the alarm on the pending mortgage crisis.