It's been a whole day since we learned about another example of systematic, widespread fraud by America's largest bank Wells Fargo (ripping off small merchants with credit card fees), so it's definitely time to learn about another one: scamming mortgage borrowers out of $43/month for an unrequested and pointless "home warranty service" from American Home Shield, a billion-dollar scam-factory that considers you a customer if you throw away its junk-mail instead of ticking the "no" box and sending it back.
$43/month gets you pretty much nothing: people who tried to actually use their AHS insurance found it impossible to get them to actually do anything in exchange for this money.
Here's a quick Wells Fargo fraud scorecard: stealing thousand of cars with fraudulent repos; defrauding mortgage borrowers; blackballing whistelblowers; creating 2,000,000+ fraudulent accounts, and stealing millions with fraudulent fees and penalties.
Starting at least in 2009, Wells Fargo and AHS entered into a marketing and payment processing agreement. Wells allowed AHS to solicit their mortgage customers to buy home warranty service, through phone calls, junk mail, and inserts in monthly mortgage statements. Wells would then collect the monthly payments for AHS as an additional charge to the mortgage.
According to one borrower from Newark, New Jersey, AHS claimed its junk mail constituted a “binding contract” that automatically finalized if borrowers didn’t reply to turn it down. “No signature, no affirmation and YET it is considered a BINDING CONTRACT??” the borrower wrote.
THERE’S A NEW WELLS FARGO SCANDAL: THIS TIME IT’S THE TRUCOAT [David Dayen and Ryan Grim/The Intercept]
The hits keep on coming for the largest bank in America: in addition to stealing millions with fraudulent overdraft fees, creating 2,000,000 fraudulent accounts, blackballing whistleblowers, defrauding mortgage borrowers, and stealing tens of thousands of cars with fraudulent repos, they also grossly overcharged America’s struggling small businesses for processing their credit-card fees, according to a […]
Wells Fargo didn’t just steal millions from its customers with crooked overdraft fees, didn’t just create 2,000,000 fraudulent accounts and threaten to blackball employees who tried to stop the frauds; didn’t just defraud broke mortgage borrowers by the bushel-load — they also defrauded 800,000 customers with car loans, forcing 274,000 of them into deliquency and […]
Private student loans are the worst of a bad bunch, with incredibly high interest rates and penalties on funds used to finance educations at the kinds of “universities” who later get their accreditations yanked for academic malpractice and deceptive advertising — universities that target the most naive kids from the least educated backgrounds, load them […]
The Pry.Me Bottle Opener holds tens of thousands of times its own weight, and you can pick one up now from the Boing Boing Store.This remarkable keychain is considerably smaller than any of your keys, but don’t let that fool you: it can easily open any bottle, and could even tow a trailer full of […]
Guaranteeing your privacy online goes way beyond checking the “Do Not Track” option in your browser’s settings. To ensure that your internet activity is totally hidden from Internet Service Providers, advertisers, and other prying eyes, take a look at Windscribe’s VPN protection. It usually costs $7.50 per month, but you can get a 3-year subscription […]
This project management bundle will help you get organized and learn how to lead a team to success. You can pay what you want for these five courses when you pick them up from the Boing Boing Store.To help you become an invaluable asset for your company, this bundle includes a curated collection of professional […]