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Wells Fargo’s Subprime Loan Practices Come Under Scrutiny

HeadlineApr 29, 2008

Meanwhile, Wells Fargo Bank is coming under new scrutiny for its lending practices. Members of the group Responsible Wealth plan to present a shareholder resolution at the bank’s shareholders meeting today requesting that the company explain racial and ethnic disparities in its subprime loans. According to bank data, African Americans were almost four times more likely than whites to receive high-cost subprime loans from Wells Fargo in 2006. Latino borrowers were almost twice as likely as whites to receive the high-cost loans.

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