A 2016 scandal involving fake customer accounts could cost Wells Fargo $400 million in profits this year.
USA Today reports the bank made that estimate after the Federal Reserve restricted the bank's financial growth.
The restriction was part of a consent order that came down Friday, which means the bank cannot be involved in any major transactions or mergers.
- Wells Fargo to pay $110 million to settle fake account suit
- Wells Fargo created about 3.5 million fake accounts, lawyers say
- Judge approves $142M settlement in Wells Fargo sham accounts scandal
- More small businesses join federal class action suit against Wells Fargo
- Wells Fargo continues its attempt to regain trust from customers
Wells Fargo also must replace four of its 16 board members by the end of this year.
In 2016, Wells Fargo employees opened more than three million fake accounts in customers' names in an effort to meet strict sales quotas.
Read more top trending stories on wsoctv.com:
© 2020 Cox Media Group