https://www.bankingdive.com/news/wells-fargo-unbanked-underbanked-racial-gaps-inclusion-diversity/736806/
Wells Fargo says they want to “foster trust and transparency” with the underbanked.
I applaud the good intentions….well….I call it ”Selective Corporate Social Responsibility”. That’s when companies trumpet their efforts to make the world a better place when the truth is they are diverting attention away from the more unseemly elements of their business strategies.
Questions:
- Why only the underbanked? Doesn’t Wells Fargo think it’s important to foster trust and transparency with ALL people? Customers? Employees? Regulators? U.S. taxpayers?
- How does Wells Fargo stand to profit from this effort? Charlie LOVES those credit cards. A large source of revenue for the bank is the high interest charged for carrying a balance (average 28%) and fees charged for late payments (up to $40) from people who are struggling to make ends meet and/or are poor at managing their money. Cash Advances are popular in poor neighborhoods.
- Grand Welcomes: “We go into the community, spend the day welcoming people into the branch, we have food trucks, make it a whole experience for them so they can take care of all sorts of needs.” Yah right. My message to the underbanked is Buyer Beware.