Bank of America Fined Hundreds of Millions Due to Consumer Violations

As of Tuesday morning, Bank of America (BofA) bears an unfavorable image after agreeing to a $250 million settlement, which includes $150 million in penalties and an additional $100 million in consumer compensation. Complaints of using credit cards without authorization, charging excessive fees, and unfairly withholding incentives led to the settlement. US regulatory agencies made these assertions. The Consumer Financial Protection Bureau (CFPB) levied the sanction in retaliation for the bank repeatedly and consistently charging fees on accounts with inadequate cash. In addition, the CFPB claimed that the bank had signed up consumers for new cards without getting their permission or knowledge and had failed to deliver the promised credit card reward bonuses.