Consumer complaint received 2022-12-25
Company: WELLS FARGO & COMPANY
State: TX
Product: Checking or savings account
Sub-product: Checking account
Issue: Problem caused by your funds being low
Sub-issue: Overdrafts and overdraft fees

Complaint:
I've been a Wells Fargo customer since XXXX  and they have been taking out late fees and overdraft fees even thought my checking account is connected to my savings account. They have been Fractional reserve lending me the amounts out of my deposit account and not remitting the dividends to the right full owner me no XXXX were ever issued to me on this account, They have never abided by XXXX is the set of accounting rules set forth by the XXXX that U.S. companies must follow when putting together financial statements. 
XXXX aims to improve the clarity, consistency, and comparability of the communication of financial information. 
XXXX may be contrasted with pro forma accounting, which is a non-GAAP financial reporting method. 
The ultimate goal of XXXX is to ensure a company 's financial statements are complete, consistent, and comparable. 
XXXX. Principle of Regularity The accountant has adhered to XXXX rules and regulations as a standard. 

2. Principle of Consistency Accountants commit to applying the same standards throughout the reporting process, from one period to the next, to ensure financial comparability between periods. Accountants are expected to fully disclose and explain the reasons behind any changed or updated standards in the footnotes to the financial statements.

3. Principle of Sincerity The accountant strives to provide an accurate and impartial depiction of a companys financial situation.

4. Principle of Permanence of Methods The procedures used in financial reporting should be consistent, allowing a comparison of the company 's financial information.

5. Principle of Non-Compensation Both negatives and positives should be reported with full transparency and without the expectation of debt compensation.

6. Principle of Prudence This refers to emphasizing fact-based financial data representation that is not clouded by speculation.

7. Principle of Continuity While valuing assets, it should be assumed the business will continue to operate.

8. Principle of Periodicity Entries should be distributed across the appropriate periods of time. For example, revenue should be reported in its relevant accounting period.

9. Principle of Materiality Accountants must strive to fully disclose all financial data and accounting information in financial reports.

10. Principle of Utmost Good Faith Derived from the XXXX phrase XXXX XXXX used within the insurance industry. It presupposes that parties remain honest in all transactions. 

Compliance With XXXX If a corporation 's stock is publicly traded, its financial statements must adhere to rules established by the U.S. Securities and Exchange Commission ( SEC ). The SEC requires that publicly traded companies in the U.S. regularly file XXXX financial statements in order to remain publicly listed on the stock exchanges. 
XXXX XXXX compliance is ensured through an appropriate auditor 's opinion, resulting from an external audit by a certified public accounting ( CPA ) firm. 

Although it is not required for non-publicly traded companies, XXXX is viewed favorably by lenders and creditors. Most financial institutions will require annual XXXXcompliant financial statements as a part of their debt covenants when issuing business loans. As a result, most companies in the United States do follow XXXX. 

If a financial statement is not prepared using XXXX, investors should be cautious. Without XXXX, comparing financial statements of different companies would be extremely difficult, even within the same industry, making an apples-to-apples comparison hard. Some companies may report both XXXX and non-XXXX  measures when reporting their financial results. XXXX regulations require that non-GAAP measures be identified in financial statements and other public disclosures, such as press releases. XXXX  is used mainly in the U.S., while most other jurisdictions use the IFRS standards.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation