by The Compliance Exchange on May 30, 2012
Wells Fargo & Co has promised $432.5 million in lending and other payments to end a lawsuit accusing the bank of discriminatory lending practices in Memphis, Tennessee.
The fourth-largest bank by assets has set a five-year lending goal in Memphis and surrounding Shelby County of $425 million, including $125 million for home purchases for low and moderate income borrowers, the bank said in a statement on Tuesday.
Wells also agreed to contribute $4.5 million for down payment assistance and home renovations under a company program that will start in the city later this year. The bank will also contribute $3 million toward local economic initiatives.
The San Francisco-based bank is the largest U.S. mortgage originator, writing more than one in three home loans.