Bloomberg reported that the San Francisco-based bank agreed to pay the amount after the government filed the lawsuit on Monday.
The fourth-largest U.S. bank was accused of overcharging its customers who used its foreign exchange services from 2010 to 2017. The bank was accused of defrauding 771 customers during that time.
Wells Fargo has faced a number of headlines in the past couple of years from creating fake accounts of its customers to the alleged toxic working culture. The bank scandal also made it to the second season of Netflix's (NFLX) - Get Netflix, Inc. Report original documentary series Dirty Money in 2020.
In response to the settlement, Wells Fargo said, "The settlement announced today by the Southern District of New York’s Civil Division reflects a $37.3 million payment related to pricing issues in our FX business that occurred prior to 2017. This past behavior was unacceptable."
"Since that time, Wells Fargo has paid approximately $35 million to fully remediate affected clients and extensively reviewed our FX pricing practices and procedures. We have significantly improved our business policies, procedures and oversight related to the management and pricing of FX transactions. We remain committed to serving the needs of our FX clients," the statement continued.