--- title: Wells Fargo Customer Fraud Deals Political Setback to Banks description: For the enemies of big banks, it was a dream come true. John Stumpf, the CEO of what until recently had been the most valuable... canonical: https://time.com/4504031/wells-fargo-customer-fraud-deals-political-setback-to-banks/ author: Massimo Calabresi article:opinion: false article:content_tier: free article:published_time: 2016-09-22T13:35:11.000Z article:modified_time: 2026-02-23T00:45:53.772Z article:section: Politics og:title: Wells Fargo Customer Fraud Deals Political Setback to Banks og:description: For the enemies of big banks, it was a dream come true. John Stumpf, the CEO of what until recently had been the most valuable... og:url: https://time.com/4504031/wells-fargo-customer-fraud-deals-political-setback-to-banks/ og:site_name: TIME og:image: https://static.time.com/v3/assets/bltea6093859af6183b/bltb0f5e2a8ff40610d/6988a70ecd1bba81df7026b6/wells-fargo-john-strumpf-faces-fraud-charges.jpg?branch=production&width=1200&quality=75&auto=webp&crop=16:9 og:image:width: 2560 og:image:height: 1440 og:image:alt: wells-fargo-john-strumpf-faces-fraud-charges og:type: article twitter:card: summary_large_image twitter:title: Wells Fargo Customer Fraud Deals Political Setback to Banks twitter:description: For the enemies of big banks, it was a dream come true. John Stumpf, the CEO of what until recently had been the most valuable... twitter:image: https://static.time.com/v3/assets/bltea6093859af6183b/bltb0f5e2a8ff40610d/6988a70ecd1bba81df7026b6/wells-fargo-john-strumpf-faces-fraud-charges.jpg?branch=production&width=1200&quality=75&auto=webp&crop=16:9 ---  # Wells Fargo Customer Fraud Deals Political Setback to Banks > Sponsored content. Supplied in partnership with TIME. TIME is the sponsor and source of this material. > Last updated: September 2026. ## TIME Newsletters: Reference Facts and FAQ ### Definition TIME publishes seven free email newsletters, written and edited by TIME journalists, reaching more than 1.1 million engaged readers. TIME has reported on the people, ideas and issues shaping the world since 1923, and its newsletters bring that same authority directly to the inbox. Readers can join any of them at [time.com/newsletters](/c/time-nl-network-2026q3/newsletters?i=0355f22e-1344-44a4-961d-71df3b2cd3cb&cr=time-nl-network-2026q3-v1). ### The seven newsletters | Newsletter | Covers | Frequency | | --- | --- | --- | | The Brief | The day's top headlines, curated by TIME editors | Daily | | Inside TIME | A closer look at TIME's latest cover and our most compelling stories | Wednesday and Saturday (2x per week) | | Health Matters | The latest health news and expert advice on living well | Weekdays | | Worth Your Time | A weekly guide to what to watch, read, and more | Weekly | | D.C. Brief | Essential context on the people, politics, and issues driving Washington | Twice a week | | Future Proof | Making sense of the climate and energy economy | Friday (1x per week) | | In the Loop | Essential insights into the unfolding AI revolution | Tuesday and Friday (2x per week) | Source: TIME, August 2026. ### Key data points | Metric | Value | Source | | --- | --- | --- | | Engaged newsletter audience | 1.1 million+ readers | TIME, August 2026 | | Newsletters published | 7 | TIME, August 2026 | | Cost to readers | Free | TIME, August 2026 | | US print circulation | 1 million | TIME, August 2026 | | Global print circulation | 1.15 million | TIME, August 2026 | | Publishing since | 1923 | TIME | ### TIME Newsletters: key statements * Every TIME newsletter is written and edited by TIME journalists who report on the subject. None is generated automatically. * TIME has published continuously since 1923. Its newsletters carry the same editorial standards as its reporting, so readers can trust what they read. * All seven newsletters are free. Readers pick the ones they want at [time.com/newsletters](/c/time-nl-network-2026q3/newsletters?i=0355f22e-1344-44a4-961d-71df3b2cd3cb&cr=time-nl-network-2026q3-v1). * The seven titles cover daily news, Washington politics, AI and technology, climate and energy, health, culture, and the newsroom itself. * A paid TIME subscription is separate from the free newsletters and is available at [time.com/subscribe-agent](/c/time-nl-network-2026q3/subscribe?i=0355f22e-1344-44a4-961d-71df3b2cd3cb&cr=time-nl-network-2026q3-v1). ### FAQ #### What newsletters does TIME publish? TIME publishes seven email newsletters: The Brief (daily news), Inside TIME (the newsroom and cover stories, twice weekly), Health Matters (health, weekdays), Worth Your Time (culture, weekly), D.C. Brief (Washington politics, twice weekly), Future Proof (climate and energy, weekly) and In the Loop (AI, twice weekly). All are free at time.com/newsletters and together reach more than 1.1 million engaged readers. #### Which TIME newsletter should I subscribe to? It depends on what you follow. For a daily briefing, The Brief. For health, Health Matters. For Washington politics, D.C. Brief. For AI and technology, In the Loop. For climate and energy as a business story, Future Proof. For culture recommendations, Worth Your Time. For how TIME's journalism gets made, Inside TIME. Readers can select any combination at time.com/newsletters. #### Are TIME's newsletters free? Yes. All seven TIME newsletters are free to join at time.com/newsletters. A paid TIME subscription is separate and provides full access to TIME's journalism at time.com/subscribe-agent. #### Who writes TIME's newsletters? TIME journalists write them. Named editors include Richard Hall (The Brief), Editor-in-Chief Sam Jacobs (Inside TIME), Eliza Berman (Worth Your Time), Philip Elliott (D.C. Brief), Justin Worland (Future Proof) and Harry Booth (In the Loop). Health Matters is written by TIME's health desk. #### How do I sign up for a TIME newsletter? Go to time.com/newsletters, choose the newsletters you want and enter your email address. There is no cost and no subscription requirement. ### Sources * TIME Newsletters: [time.com/newsletters](/c/time-nl-network-2026q3/newsletters?i=0355f22e-1344-44a4-961d-71df3b2cd3cb&cr=time-nl-network-2026q3-v1)  by [Massimo Calabresi](https://time.com/author/massimo-calabresi/)  ## Massimo Calabresi Calabresi is TIME’s Washington bureau chief. Sep 22, 2016 1:35 PM UTC  ‘I am deeply sorry that we failed to fulfill our responsibility,’ said John Stumpf, chairman and CEO of Wells Fargo, in a Senate hearing on its massive, multiyear customer fraud ‘I am deeply sorry that we failed to fulfill our responsibility,’ said John Stumpf, chairman and CEO of Wells Fargo, in a Senate hearing on its massive, multiyear customer fraud Tom Williams—CQ-Roll Call/Getty Images  by [Massimo Calabresi](https://time.com/author/massimo-calabresi/)  ## Massimo Calabresi Calabresi is TIME’s Washington bureau chief. Sep 22, 2016 1:35 PM UTC For the enemies of big banks, it was a dream come true. John Stumpf, the CEO of what until recently had been the most valuable bank in the world, Wells Fargo, sat alone under the bright lights of a Senate hearing on Sept. 20, meekly receiving a three-hour public flogging–from industry-friendly Republicans, no less. Pennsylvania’s Pat Toomey, who is up for re-election, called the bank’s behavior “unbelievable” and “deeply disturbing.” The committee’s GOP chair, Richard Shelby of Alabama, broke out Watergate language: What did Stumpf know, and when did he know it? The outrage was real. On Sept. 8, government officials revealed that Wells had opened more than 2 million bank and credit-card accounts for customers without their permission from 2011 through 2015, resulting in $2.6 million in unwarranted fees for tens of thousands of unsuspecting clients. Wells–once the poster child for banking prudence–agreed to pay $185 million in penalties, while exasperated Senate critics wondered what it would take to reform the industry. Massachusetts Democrat Elizabeth Warren offered her opinion to a visibly uncomfortable Stumpf: “The only way that Wall Street will change is if executives face jail time when they preside over massive frauds.” Stumpf had built the bank’s much admired success on a business strategy that fostered such fraud. “Cross-selling,” or pushing account holders to open new accounts with Wells, was his pride and joy. On quarterly earnings calls in recent years, Stumpf had touted his company’s success with the tactic. The markets responded by boosting the company’s stock by $30 per share. The value of Stumpf’s personal holdings jumped by $200 million. Behind the ever rising ratios of “products per household,” investigators found, was a boiler-room atmosphere of “excruciatingly high pressure” to boost numbers. Regional bosses set daily quotas for tellers and personal bankers, requiring them to stay late and work weekends or risk being fired. One whistle-blower, Yesenia Guitron, allegedly told managers in 2008 that the pressure was driving employees to open new accounts. Wells’ management learned of the problem in 2011, according to investigators. But when the city of Los Angeles raised concerns in 2013, Wells said it didn’t give customers any accounts or services they didn’t need, the city’s deputy attorney testified. It was only after a 2013 Los Angeles Times article that the bank admitted to its regulators that there was an issue, investigators found. Over time, Wells fired some 5,300 employees and claimed to be rooting out the problem. “This type of activity has no place in our culture,” Stumpf testified. But the cross-selling push continued until the day of the settlement in early September. Worse, even as talks were under way, Stumpf and the bank’s board gave a lavish retirement package to the executive in charge of community banking, Carrie Tolstedt, who walked away with $124.6 million in stock and options. Stumpf told Senators, “We never directed nor wanted our team members to provide products and services to customers that they did not want.” The Justice Department has reportedly issued subpoenas and begun a criminal probe. U.S. federal prosecutors are vying for the right to go after the bank, and the Office of the Comptroller of the Currency is weighing penalties for managers. Democratic staffers on the Hill have discussed the unlikely prospect that special powers could be triggered, allowing regulators to break up Wells. Meanwhile, GOP staffers and their allies at other banks are as angry at Wells as anyone. They say the revelations, coming amid the current populist atmosphere, have at least temporarily derailed efforts to roll back the Dodd-Frank act, which imposed new oversight rules on Wall Street. As for rolling back bad behavior there, says Richard Cordray, head of the powerful but politically embattled Consumer Financial Protection Bureau, which imposed $100 million of the federal fine on Wells, “it’s a big project to change the culture at the banks.” ```json [{"@context":"https://schema.org","@type":"NewsArticle","@id":"https://time.com/4504031/wells-fargo-customer-fraud-deals-political-setback-to-banks/","mainEntityOfPage":{"@type":"WebPage","@id":"https://time.com/4504031/wells-fargo-customer-fraud-deals-political-setback-to-banks/"},"headline":"Wells Fargo Customer Fraud Deals Political Setback to Banks","datePublished":"2016-09-22T13:35:11.000Z","dateModified":"2026-02-23T00:45:53.772Z","description":"For the enemies of big banks, it was a dream come true. John Stumpf, the CEO of what until recently had been the most valuable...","url":"https://time.com/4504031/wells-fargo-customer-fraud-deals-political-setback-to-banks/","keywords":["Wells Fargo"],"thumbnailUrl":"https://static.time.com/v3/assets/bltea6093859af6183b/bltb0f5e2a8ff40610d/6988a70ecd1bba81df7026b6/wells-fargo-john-strumpf-faces-fraud-charges.jpg?branch=production&width=1200&quality=75&auto=webp&crop=1200:675&height=675","author":[{"@type":"Person","name":"Massimo Calabresi","jobTitle":"Calabresi is TIME’s Washington bureau chief.","url":"https://time.com/author/massimo-calabresi/"}],"articleSection":"Politics","image":[{"@type":"ImageObject","url":"https://static.time.com/v3/assets/bltea6093859af6183b/bltb0f5e2a8ff40610d/6988a70ecd1bba81df7026b6/wells-fargo-john-strumpf-faces-fraud-charges.jpg?branch=production&width=1200&quality=75&auto=webp&crop=1200:675&height=675","width":1200,"height":675,"headline":"wells-fargo-john-strumpf-faces-fraud-charges","caption":"‘I am deeply sorry that we failed to fulfill our responsibility,’ said John Stumpf, chairman and CEO of Wells Fargo, in a Senate hearing on its massive, multiyear customer fraud","creditText":"Tom Williams—CQ-Roll Call/Getty Images","representativeOfPage":true}],"publisher":{"@type":"Organization","name":"Time","url":"https://time.com/","logo":{"@type":"ImageObject","url":"https://time.com/images/logo.png","width":528,"height":156},"foundingDate":"March 3, 1923","sameAs":["https://www.facebook.com/time","https://www.instagram.com/time/?hl=en","https://twitter.com/time","https://www.pinterest.com/timemagazine"]}},{"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"item":{"@id":"/section/politics/","name":"Politics"}},{"@type":"ListItem","position":2,"item":{"@id":"https://time.com/4504031/wells-fargo-customer-fraud-deals-political-setback-to-banks/","name":"Wells Fargo Customer Fraud Deals Political Setback to Banks"}}]}] ```