Recently, Wells Fargo came under attack after reports revealed that employees had knowingly opened fake bank accounts in an effort to meet sales targets. Since then a Wells Fargo settlement reached $142 million along with goal changes to help reform its prior unrealistic expectations. In addition to the $142 million settlement, Wells Fargo has also been forced to pay other fines.

However, fake bank accounts may also have been opened at other banks, according to an investigation by federal regulators. While regulators have not specifically identified other banks, several financial institutions are currently being investigated by attorneys. These banks include:

• Capital One
• HSBS
• TD Bank
• Royal Bank of Canada
• Bank of America
• BOK Financial

Overview: Fake Bank Accounts

Over 3.5 million fake credit card and bank accounts were created by Wells Fargo employees in the effort to reach and meet target sales goals. Many Wells Fargo customers also reported that they were signed up for banking services, such as online bill pay, without their knowledge or authorization. This caused Wells Fargo customers to deal with unexpected interest charges and overdraft fees.

In the aftermath of the Wells Fargo scandal, the Office of the Comptroller of the Currency (OCC) started an investigation looking into the practices of other financial institutions like Capital One.

By looking into roughly 40 middle sized and larger sized financial institutions, the OCC reportedly found that there were many reasons why fake bank accounts were being opened. They noted that “short-term sales promotions without adequate risk controls, deficient account opening and closing procedures, and isolated instances of employee misconduct,” were some of the reasons why bank employees opened fake bank accounts.

While these investigations are underway, federal regulators are not making reports public nor are they naming any financial institutions pinpointed by the investigation.

It may be difficult to notice whether a bank employee has opened any fake bank accounts under a customer’s name. However, there are some signs that a fake bank account has been opened. These include:

• Credit report changes: A change in your credit report will help you figure out whether someone has attempted to open a fake bank account in your name
• Interest Charges: Additional interest charges will help let you know if a credit card was also opened in your name
• Overdraft fees: In many instances overdraft fees were charged to customer accounts because an employee had used the customer’s own money to open a new account
• Bank Fees: Some customers also noted that they were signed up for a completely different bank account type than they asked for –one with increased banking fees. In one situation, a customer reportedly discovered that there was a $29.95 charge to her account due to her account being “upgraded” to one that required her to maintain a $5,000 account balance. As soon as the account balance fell below the amount required, she became charged the amount.

Bank customers can also call their financial institution to demand a list of their accounts if they suspect a fake bank account has been opened up in their name.

If you are a customer that’s been affected by the opening of fake bank accounts by Capital One or any other financial institutions, you may qualify to join a free fake bank accounts class action lawsuit investigation.