Bureau issues CMP to former Wells Fargo employee

The CFPB has announced the filing of an administration consent order against a former Wells Fargo employee for an illegal mortgage fee-shifting scheme. The CFPB found that David Eghbali referred a substantial number of loan closings to a single escrow company, which shifted its fees from some customers to others at Eghbali’s request. Eghbali could then manipulate loan costs and ultimately increase the number of loans he closed, increasing his commissions. The consent order requires Eghbali to pay an $85,000 civil money penalty in four installments and bans him from working in the mortgage industry for one year.