Wells Fargo accused of ripping off small businesses

(CNN) – The problems continue to mount for banking giant Wells Fargo.

The latest controversy concerns Wells Fargo’s merchant services division, which is owned by both Wells Fargo and First Data.

A new lawsuit alleges Wells Fargo merchant services overcharged small businesses for processing credit card transactions and then charged massive early termination fees to many family-based businesses wishing to leave the service.

Both Wells Fargo and First Data declined to comment on the lawsuit.

The legal action is the latest black eye for Wells Fargo, which admitted last year that its employees created millions of unauthorized accounts in order to meet unrealistic sales goals.

The bank also revealed last week it charged hundreds of thousands of customers for car insurance they did not need.



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