Changing our thinking to feel better. Yes, we do that!

In the 1980s, I had encounters with two bank CEOs whom power and money biased to make very bad decisions that hurt themselves, their employees, customers and the U.S. economy. Both later tangled with the law for their misdeeds.

With that background, you will understand why I am astonished about a much more recent and much larger case of banking misconduct, for which I believe no one has yet to serve time in custody. This case amplifies the decision-making errors I saw in the lead-up to the savings and loan crisis.

In February 2020, Wells Fargo, the nation’s fourth largest commercial bank, stunningly admitted that it had assessed customers millions of dollars in fees as employees falsified records, forged signatures and misused customers’ personal information to open fake accounts to meet unrealistic sales goals. The bank said its leaders knew of the misbehavior, including “violations of federal criminal law,” as early as 2002 but did not stop it until 2016.