As I reported earlier today, Wells Fargo has been sued for fraud in a class action lawsuit filed in the Northern District of Illinois.
My office contacted Wells Fargo about the lawsuit, and here's what they had to say:
"We are confident in our fair and responsible lending practices, including how we determine home equity credit limits available to customers depending on the amount of equity in their home. Our controls are based on contractual and regulatory guidelines and include a fair appeals process.
While we are beginning to review the lawsuit, from what we have read so far, it appears to mischaracterize credit controls designed to sustain homeownership."
Take a look at my previous post for more information about the Wells Fargo HELOC lawsuit.