WFC Faces Lawsuit Over Interest Rates on Cash Sweep Accounts

Wells Fargo & Company (WFC) faces a new class-action lawsuit, where it has been accused of underpaying interest to clients participating in its cash sweep program. Sweep programs were created to allow banks and brokers to put their customers' uninvested cash to work. They move excess client cash balances overnight into a money market fund or another higher-yielding product offered by a bank or affiliate bank.Details of WFC’s Cash Sweep Accounts LawsuitThe plaintiff, Darren Cobb, alleged that Wells Fargo bre ...