OCTOBER 2023
••• IN THIS ISSUE
> CFPB Takes Action Against Bank of America for Illegal Junk Fees and Misleading Credit Card Rewards Ads
> CFPB Action For Unlawful Credit Card Servicing
> CFPB Issues Consent Orders for Section 8 ( a ) RESPA Violations
> Top 5 HMDA Errors in 2023
CFPB Takes Action Against Bank of America for Illegal Junk Fees and Misleading Credit Card Rewards Ads
On July 11 , 2023 , the Consumer Financial Enforcement Bureau ( CFPB ) and the Office of the Comptroller of Currency ( OCC ) issued consent orders against Bank of America , N . A . ( Bank of America ) for engaging in alleged violations of laws arising from its re-presentation fee practices . The orders required the institution to pay consumers more than $ 100 million in restitution and $ 120 million in penalties to both agencies . In a separate case , the CFPB also issued a second order against Bank of America the same day for systematic misconduct identified in its credit card rewards program and account-opening process . The enforcement action assessed the bank an additional $ 30 million in civil money penalties and $ 23 million in redress to impacted consumers .
Doeren Mayhew ’ s regulatory compliance specialists have broken down key findings from the enforcement actions , and provided takeaways from the consent orders to keep you informed of this important industry trend in this article . Despite the fact these enforcement actions are targeted at a multinational bank with some of the highest regulatory requirements , recent findings speak to continued regulatory scrutiny around all financial institutions ’ operational practices , regardless of the agency regulating them .
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