Wells Fargo faces sanctions over ‘forced’ auto insurance sales

US regulators are preparing to sanction Wells Fargo for receiving commissions on auto insurance policies it helped force on more than half a million drivers, people with direct knowledge of the probes told Reuters.

In July, Wells Fargo blamed a third-party vendor for wrongly layering insurance policies on its auto borrowers. Wells Fargo did not explain that it received payouts when those policies were written.

“We had a vendor that was providing insurance,” chief executive officer Tim Sloan told investors in September. “We should have caught that and we should have dealt with it.”

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