The Wells Fargo account fraud scandal is a controversy brought about by the creation of millions of fraudulent savings and checking accounts on behalf of Wells Fargo clients without their consent. Various regulatory bodies, including the Consumer Financial Protection Bureau fined the company a combined $185 million dollars as a result of the illegal activity, and the company faced criminal and civil suits as well.
Wells Fargo clients began to notice the fraud after being charged unanticipated fees and receiving unexpected credit or debit cards or lines of credit. Initial reports blamed individual Wells Fargo branch workers and managers for the problem, and sales incentives associated with selling multiple "solutions" or financial products. This blame was later shifted to a top-down pressure from higher-level management to open as many accounts as possible through cross-selling.
The bank took relatively few risks in the years leading up to the 2008 Financial Crisis, which led to an image of stability on Wall Street and in the financial world, which was tarnished by the widespread fraud perpetrated by the company and subsequent coverage. The controversy resulted in the resignation of CEO John Stumpf, and an investigation into the bank led by U.S. Senator Elizabeth Warren.