Wells Fargo reaches $1.2 billion settlement in FHA probe

  • The government accused Wells Fargo of "reckless" lending practices during the housing market crisis, and said "pay up" to the tune of $1 billion-plus.
  • The proposed settlement would put all claims against the company to rest, but Wells Fargo noted "there can be no assurance" that the agreement is final.
  • Similar claims have been made against Bank of America, Citigroup and JPMorgan Chase, and they all settled -- leaving QuickenLoans more or less as the sole company still fighting this battle.

The proposed settlement would put all claims against the company to rest, but Wells Fargo noted in its regulatory filing that “there can be no assurance that the company and the federal government will agree on the final documentation of the settlement.”