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Wells Fargo asset cap axed by Fed after ‘substantial progress' from fake accounts scandal
WFCWells Fargo(WFC) New York Post·2025-06-03 21:16

The Federal Reserve on Tuesday voted to scrap a near-2trillionassetcapimposedonWellsFargoovera2016scandalthatuncoveredmillionsoffakeaccountsandotherconsumerabuses.Thedecisionclosesthedooronadecadeofregulatorywoesforthenation’sfourth−largestlenderandisamajorvictoryforWellsFargoCEOCharlieScharf—allowingthebanktopursuegrowthbyboostingloans,steppingupitsWallStreetbusinessanddoingdeals.Wells Fargo willnolongerhavetooperateundera2 trillion asset cap imposed on Wells Fargo over a 2016 scandal that uncovered millions of fake accounts and other consumer abuses.The decision closes the door on a decade of regulatory woes for the nation’s fourth-largest lender and is a major victory for Wells Fargo CEO Charlie Scharf — allowing the bank to pursue growth by boosting loans, stepping up its Wall Street business and doing deals.Wells Fargo will no longer have to operate under a 1.95 tril ...