There is nothing forcing anybody to bank with Wells Fargo. Their customers are clearly content, because they're still Wells Fargo customers.
Edit: shit, someone else pointed out that they buy mortgages. Nevermind.
Edit: shit, someone else pointed out that they buy mortgages. Nevermind.
If I close it, my credit score is negatively impacted by losing a decades old credit line. I don't particularly care about my credit score, and this sort of lock-in is pretty low friction, but changing banks can have costs.
I hate them, over the years that I banked with them, they have consistently been a bad bank. I think I have at least two complaints that went to the CFPB with them (both ended in my favor). I switched my banking activity to another institution years ago, but I do still have accounts open with them.
I'm a financially saavy rich white dude with a degree, and I still find it hard to sever the relationship. Imagine how lesser advantaged people feel. If you're choice is between WF and BOA because of geography or whatever, and you're used to financial institutions being shitty, why bother switching from one predatory institution to another?
That gives you 10 years to build up a credit history with other accounts.
I closed an ancient Bank of America account several years ago because I didn’t want to do business with them anymore. It still contributes to my credit score. By the time it falls off, the other accounts will more than make up for it.
I'm just trying to give a real world example of why someone might keep doing business with a known unethical entity.
It comes down to: I know that they suck, but there is a real non-zero cost to switching (my time and credit score), while continuing to do business with them is free.
In my experience, just getting the CFPB involved generally lit a fire under the ass of whichever company I had been dealing with. At the very least it will escalate your problem to a tier of support where a single person will be responsible for deeply understanding the issue, and ensuring that they get into compliance or respond ASAP.