The Wells Fargo mess is the poster child for it all. Cross-selling is at the heart of both the Wells Fargo and the Morgan Stanley scandals, and unlike CDOs and credit default swaps, it’s something that any bank customer can understand all too easily. Similarly, Morgan Stanley allegedly crossed the lines by running cross-selling contests for brokers in five offices in Massachusetts and Rhode Island. Meanwhile, the contests generated $24m in new loans for Morgan Stanley, Galvin said. That distinguishes it from Wells Fargo, whose clients had no idea that accounts were being opened in their name.

Source: The Guardian October 07, 2016 11:01 UTC