Wells Fargo, the largest mortgage lender in the nation in 2019, has announced plans to significantly reduce its home mortgage division. However, the bank will continue to offer new home loans to existing White customers and new non-White customers.
The decision to reduce new home loans is due to market changes, but the bank also wants to maintain its image of promoting racial equity in home ownership.
The CEO of consumer lending, Kleber Santos, explained the decision by saying, “Our priority is to minimize risk and prioritize serving our own customers, while also addressing the racial homeownership gap.”