Are people still letting what might be viewed as a criminal enterprise manage their deposits and mortgages? Unfortunately, it is a rhetorical question. Millions of people are still clients of major Wall Street banks despite widespread financial malfeasance.
They are ignoring warning signs while misplacing their trust in regulators and authorities. They shouldn’t.
Too Big to Jail
If you deal with crooked people, you should expect to get screwed – sooner or later. Even if the crooks are people you never meet or interact with in a large multi-national bank.
Here is the story of two companies which illustrate why everyone must look after themselves by being selective about who they trust in business. And why nobody should trust regulators or government to protect them from the cheaters.
The first is Wells Fargo – a “Global Systemically Important Bank.” The bank has Warren Buffet as a major stakeholder and lavishes Washington DC politicians and bureaucrats with political contributions and lucrative job opportunities. It is considered “too big to fail.”