A sign above an ATM at Capital One Cafe in Miami, February 19, 2024. Joe Radle/Getty Images North America Hide Caption
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Joe Radle/Getty Images North America
The Consumer Financial Protection Bureau is accusing Capital One Bank of failing to pay more than $2 billion in interest to customers.
The Consumer Affairs Bureau, the federal agency responsible for protecting consumers in the financial sector, said Capital One promoted its 360 savings account as having the highest interest rates in the country, but the new product The company claims it did not mention 360 Performance to customers. Savings accounts had interest rates of up to 4.35%, while 360 Savings had interest rates of 0.30%.
The agency said the bank is forcing members to keep low-yield 360 savings accounts open by freezing interest rates, giving similar names to low-yield and high-yield accounts, and not selling high-yield accounts to members. He claims that he “planned” to do so.
“The CFPB is suing Capital One for defrauding families of billions of dollars in their savings accounts,” said CFPB Director Rohit Chopra. “Banks should not deceive people with promises they cannot keep.”
Capital One did not immediately respond to an inquiry from NPR, but in a statement provided to The Associated Press said, “The CFPB continues its recent pattern of filing lawsuits in the 11th hour before a change of administration. I feel very sorry to see this.” . ” The bank added that its 360 product “is always available in just minutes to all new and existing customers without the usual industry restrictions,” the Associated Press reported.
In the lawsuit, the CFPB said it intends to halt Capital One’s allegedly illegal conduct and award civil penalties to the CFPB Victim Relief Fund.
