Links in “Banks”

The CFPB's proposed reclassification of overdraft services as an extension of credit is loaded with intended and unintended consequences, including effectively banning overdraft services and setting up the CFPB to become the biggest threat to the safety and soundness that financial institutions will face. [11/20/14]

Defendants marketed their credit monitoring programs through 50+ websites with a promise of free access to their credit scores, but would then set up recurring monthly billing of $29.95. Consumers report having to repeatedly call the toll-free number to cancel. 210,000 complaints later, the FTC has ordered the companies to refund consumers $22 million. [11/20/14]

Jeb Henarsling (R-Texas) was re-elected chair of the House Financial Services Committee. The congressman is likely to be emboldened by his party's gains and have Dodd-Frank reform and the CFPB in his crosshairs. [11/20/14]

Bank of Tokyo-Mitsubishi's compliance manager asked PricewaterhouseCoopers to remove key information about the bank's misconduct in reporting transactions involving countries subject to U.S. sanctions. The move resulted in fines of $315 million, resignations, reassignments and bans. [11/19/14]

EMV is going to increase card fraud in the U.S., which accounts for 25% of global card volume, but attracts 50% of all card fraud. [11/19/14]

Two lawmakers have sent letters to 16 financial institutions, including several banks, requesting details on data breaches. The breaches constitute a "clear and present danger to our nation's economic security," according to the lawmakers. [11/19/14]

Breaking the government's streak of big dollar settlements for faulty mortgage loans, Wells Fargo lawyers came before a judge along with lawyers for the U.S. and said that it is doubtful they will be able to reach a settlement. [11/19/14]

While a significant portion of the CFPB's recent proposal on prepaid accounts deals with overdraft protection, it simultaneously released a study of 325 account agreements for prepaid products that found that 96.62% of the agreements reviewed offered no formal opt-in overdraft service. [11/18/14]

Heat from examiners is pressuring banks to sever ties with high-risk businesses while at the same time, top officials at the agencies are urging banks to not turn vulnerable consumers from much-needed access to mainstream banking. [11/18/14]

It's no wonder more people are falling for this ruse: scammers who spoof the IRS's toll-free number to make it appear on caller ID that the IRS is calling, are able to recite the victim's last four digits of their Social Security Number, and support their bogus call with a spoofed IRS email. [11/18/14]