Wells Fargo Forced to Pay $96,000 Bonus it Disputed
Wells Fargo is known to give bonuses to brokers who perform at certain sales-practice standards, with the Best Practice award at Wells specifically requiring FAs at Wells to create so-called “Envision financial plans” for customers as part of the sales process, AdvisorHub reports.
Edward Collins requested Wells pay $138,358 in punitive damages and an additional $276,716 in attorneys’ fees for not receiving his own bonus, but Finra ruled the firm solely responsible for the broker's bonus.
Wells Fargo’s relationship with some advisors has been fraught in recent months as the firm has made news with several advisors leaving. Most recently, the wirehouse lost a $505 million-dollar team to First Avenue Wealth Partners of Raymond James. The team of two advisors left Wells to focus on building a business that is advisor-client centered.
Wells has been losing advisors since receiving scrutiny from the Department of Justice and the SEC.