Is Wells Fargo ethical?

Wells Fargo opened 3.5 million unauthorized bank and credit card accounts in customers' names without their knowledge, with internal investigations showing leadership was aware as far back as 2002. The bank paid a record $3.7 billion CFPB settlement in 2022 for widespread illegal practices across auto loans, mortgages, and deposit accounts that harmed an estimated 16 million consumers. Federal regulators also found statistically significant disparities in how Wells Fargo denied mortgage applications from Black applicants at more than twice the rate of white applicants between 2020 and 2024.

Why are people boycotting Wells Fargo?

Wells Fargo faces boycotts for a decade-long record of consumer fraud, discriminatory lending, and staged diversity hiring. The bank charged 570,000 customers for auto insurance they didn't need, causing up to 20,000 to default on car loans. It was also accused of staging fake job interviews for Black and female candidates, and New York City ended its banking relationship with Wells Fargo over its persistent discrimination record.

What are the best ethical alternatives to Wells Fargo?

Local credit unions are member-owned nonprofits with better rates and community focus. Amalgamated Bank is a union-owned bank with strong commitments to social justice and sustainability. Beneficial State Bank is a B Corp certified bank focused on social and environmental responsibility.

Wells Fargo

Flagged · Avoid

One of the largest U.S. banks, with a decade-long record of consumer fraud, discriminatory lending, and regulatory violations.

Last updated June 14, 2026

Reasons to avoid

Issues span:ConsumerHuman RightsLabor

Opened 3.5 million unauthorized bank and credit card accounts in customers' names without their knowledge. The bank's own investigation found leadership was aware of the fraudulent sales practices as far back as 2002.congress.gov2016-09-08
Paid a record $3.7 billion CFPB settlement in 2022 for widespread illegal practices across auto loans, mortgages, and deposit accounts — including wrongfully repossessing cars and foreclosing on homes. An estimated 16 million consumers were harmed.sec.gov2022-12-20
Charged 570,000 customers for auto insurance they didn't need, causing up to 20,000 to default on their car loans. Also wrongly fined 110,000 mortgage clients for missed deadlines that were Wells Fargo's own fault.congress.gov2017-07-01
Federal regulators found statistically significant disparities in how Black and female borrowers received mortgage rate discounts. Wells Fargo denied Black applicants at more than twice the rate of white applicants between 2020 and 2024.cnbc.com2023-12-11
Accused of staging fake job interviews for Black and female candidates to create the appearance of a diverse hiring process. New York City ended its banking relationship with Wells Fargo over its persisting track record of discrimination.blackenterprise.com2023-12-20

Ethical alternatives

Banking

Local Credit Unions

Member-owned, not-for-profit institutions with better rates and community focus.

📍 Local Business👥 Community Driven

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Climate First Bank

A B Corp and Fossil Free Certified bank offering checking and high-yield savings you can open online nationwide, with deposits kept out of fossil fuels.

✅ B-Corp

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Beneficial State Bank

B-Corp certified bank focused on social and environmental responsibility.

✅ B-Corp♻️ Sustainable

Visit →

Amalgamated Bank

Union-owned bank with strong commitment to social justice and sustainability.

✊ Unionized✊ Worker Owned

Visit →

Carver Federal Savings Bank

Oldest African American-operated bank in the U.S., serving underserved communities since 1948.

🖤 Black Owned👥 Community Driven

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As You Sow

A free nonprofit tool that screens any mutual fund, ETF, or 401k for fossil fuels, weapons, and other concerns, so you can see what your investments actually hold.

💚 Non-Profit📚 Free Resource

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Common Questions

Is Wells Fargo ethical?: Wells Fargo opened 3.5 million unauthorized bank and credit card accounts in customers' names without their knowledge, with internal investigations showing leadership was aware as far back as 2002. The bank paid a record $3.7 billion CFPB settlement in 2022 for widespread illegal practices across auto loans, mortgages, and deposit accounts that harmed an estimated 16 million consumers. Federal regulators also found statistically significant disparities in how Wells Fargo denied mortgage applications from Black applicants at more than twice the rate of white applicants between 2020 and 2024.
Why are people boycotting Wells Fargo?: Wells Fargo faces boycotts for a decade-long record of consumer fraud, discriminatory lending, and staged diversity hiring. The bank charged 570,000 customers for auto insurance they didn't need, causing up to 20,000 to default on car loans. It was also accused of staging fake job interviews for Black and female candidates, and New York City ended its banking relationship with Wells Fargo over its persistent discrimination record.
What are the best ethical alternatives to Wells Fargo?: Local credit unions are member-owned nonprofits with better rates and community focus. Amalgamated Bank is a union-owned bank with strong commitments to social justice and sustainability. Beneficial State Bank is a B Corp certified bank focused on social and environmental responsibility.