Regions Bank ordered to pay $191 million for surprise fees
Regions Bank has been ordered to refund at least $141 million to customers as part of a settlement with a federal consumer protection agency
after it was discovered they were charging illegal surprise overdraft fees
The Consumer Financial Protection Bureau (CFPB) has ordered the Birmingham
-based bank not just to pay back its customer
a $50 million penalty toward the CFBP’s victims relief fund.
the CFPB says Regions charged its customers surprise overdra
ft fees known as an “authorized-positive” fee on certain ATM withdrawals and debit card purchases.
In the announcement made on Wednesday, the organization says that the bank was charging overdraft fees “even after telling consumers they had sufficient funds at the time of the transactions.”
Regions Bank raked in tens of millions of dollars in surprise overdraft fees every year,
even after its own staff warned that the bank's practices were illegal," said CFPB Director Rohit Chopra.
Regions said in a statement that it disagrees with the bureau's characterizations of the fees, cooperated
with the investigation