The Blubber

Per Business Wire

Wells Fargo recently announced that it plans to increase home loan availability to minority communities and other customers through its new strategic plans. The new move by the bank is trying to reduce the size of its portfolio.

The bank is trying to reduce its Servicing portfolio and optimize other business priorities. CEO of Consumer Lending, Kleber Santos, gave a statement about the importance of mortgages for their business.

Santos: "Mortgage is an important relationship product, and our goal is to continue to be the primary mortgage lender to Wells Fargo bank customers as well as minority homebuyers."

Wells Fargo is also exiting its Correspondent business while wanting to create a more focused Home Lending business. It also highlighted three specific changes it wants to include in its strategic plans. The news comes at a time when Goldman Sachs started its 3,200-person layoffs.

Retail team optimization with the main objective to give underserved communities and bank customers better focus. With this, the bank wants to be more inclusive of customers that it described as "underserved."

Broaden its existing Special Purpose Credit Program (SPCP) to include purchase loans. Its current SPCP programs are worth $150 million in investment, and the bank plans to grow this number.

Wells Fargo is also investing significantly in helping racial equality regarding ownership. The additional investment is a whopping $100 million and would include non-profit organizations and community-focused engagements strategic partnerships.

Regarding local minority communities, Wells Fargo plans to deploy more Home Mortgage Consultants to make these home loans more accessible. Head of Home Lending and head of Diverse Segments, Representation, and Inclusion, Kristy Fercho, gave a statement regarding the company's objective.

Fercho: “We will continue to expand our programs to reach more customers in underserved communities by leveraging our strong partnerships with the National Urban League, UnidosUS and other non-profit organizations,”

A Wells Fargo executive was recently fired after reportedly urinating on a fellow passenger in-flight.

See flow at unusualwhales.com/flow.

Other News:

• Goldman Sachs, GS, has begun to cut up to 3,200 jobs in one of its largest layoffs since 2008
• Wells Fargo has fired an executive after he reportedly urinated on a fellow passenger during a flight

Resources:

Business Wire