Wells Fargo & Co. has agreed to settle allegations that it originated government-guaranteed loans for veterans that should not have been made.
The San Francisco-based bank-holding company issued a statement Thursday saying the agreement settles a lawsuit originally filed in 2006.
At issue are Department of Veterans Affairs Interest Rate Reduction Refinance Loans originated by Wells Fargo that shouldn’t have been eligible for VA guarantees because of certain fees charged to the borrowers at origination.
Source: Mortgage Daily
