SAN FRANCISCO—Wells Fargo is opting to keep its private-label credit card unit after reaching out to potential buyers last year, reported Bloomberg, citing a person with knowledge of the matter.
Spending on private-label credit cards slowed last year as many retailers were forced to temporarily shut their stores to stem the spread of the coronavirus, and consumers sought to pay down debt rather than make purchases, Bloomberg noted.
“Even before the pandemic, Wells Fargo didn’t rank among the top five firms in the space, according to Nilson Report,” Bloomberg pointed out.
Bloomberg noted Wells FARGO Chief Executive Officer Charlie Scharf, who took over in late 2019 with a mission of overhauling the bank after years of scandals, has conducted deep reviews of Wells Fargo’s businesses and promised to simplify the company.