Consumer complaint received 2025-03-27 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Problem when making payments — Problem during payment process
Company: WELLS FARGO & COMPANY
State: CO

Complaint narrative:
Complaint Against : WELLS FARGO Account Number ( if applicable ) : XXXX XXXX XXXX XXXX & XXXX XXXX XXXX XXXX Summary of Complaint : I am filing this complaint against WELLS FARGO due to its deceptive financial practices, including unauthorized securitization of my financial instruments, failure to provide full disclosure regarding fractional reserve banking practices, and refusal to acknowledge my legal requests for a complete accounting of pledged collateral usage. 

I have previously sent WELLS FARGO and its indentured trustee notarized Power of Attorney ( POA ) documents and formal requests regarding its participation in the Borrower-in-Custody ( BIC ) program. I have also provided evidence that my financial instruments were utilized in fractional reserve banking transactions. Despite these notices, the company has failed to respond adequately, continued collection attempts, and has caused financial harm. 

WELLS FARGO is an active participant in The Federal Reserve 's Borrower-in-Custody ( BIC ) program, which permits depository institutions to hold loan collateral while leveraging these assets for liquidity and additional lending capacity. 

Under the BIC Program, financial institutions, including WELLS FARGO, receive funds and liquidity support from The Federal Reserve in exchange for pledged collateral, which includes promissory notes and similar instruments deposited by borrowers. 

Borrower provided a ENDORSED CREDIT AGREEMENT and DEBT INSTRUMENTS for credit obligations. These instruments, recognized as legal tender and eligible paper under The Federal Reserve Act and Title IV, 401, should have been accepted at par value. 

Wells Fargo refused to honor these instruments, despite their classification as valid tender per 59 Stat. 237 2, thus violating federal law and engaging in deceptive financial practices. 

Wells Fargo has engaged in fractional reserve banking, wherein it accepts deposits and uses them to issue loans in excess of the actual deposit amount, profiting from the expansion of the money supply without properly crediting or offsetting the borrower 's account. 

Under the Uniform Commercial Code ( UCC ) 3-104, 9-203, and 9-207, the creditor has a fiduciary obligation to provide full disclosure regarding the handling of pledged collateral and to account for funds derived from its monetization. 

The creditor has unjustly enriched itself by leveraging borrowerss financial instruments for liquidity and additional lending while still attempting to collect payment, a clear violation of common law offset principles and constitutional protections under the Fifth and Fourteenth Amendments.

Details of Misconduct : Failure to Provide Accounting : I requested a full accounting of all fractional reserve transactions and pledged collateral usage related to my financial instruments. WELLS FARGO has refused to comply, violating transparency and disclosure obligations. 

Unauthorized Securitization & Unjust Enrichment : My financial instruments were securitized without my consent, allowing the company to generate profits while still attempting to collect payments from me. This constitutes unjust enrichment. 

Fraudulent Collection Practices : Despite being aware of its involvement in the BIC program and my lawful objections, WELLS FARGO has continued collection efforts. This is deceptive and unlawful. 

Credit Reporting Violations : The company has placed negative marks on my credit report, even though it has been compensated through the Federal Reserves discount window.

WELLS FARGO has engaged in deceptive and unlawful financial practices that violate my rights as a borrower. I urge the CFPB to investigate these matters and take enforcement action to prevent further consumer harm. If the CFPB is not able to help with this matter i have attached the complaint i will be filing with The federal District Court.

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