State
Massachusetts
Massachusetts
Santander Bank, N.A.
Enforcement, Deceptive Practices, Regulation E, Banking, Checking, Debit Cards, Overdrafts
The CFPB ordered Santander Bank to pay $10 million for “illegal overdraft fees,” alleging it had “deceptively” hired telemarketers to enroll customers in an “overdraft program,” and then “charge a $35 overdraft fee on each transaction.” Santander incentivized this illegal overdraft program by paying these telemarketers “higher hourly rates when they met quotas.” The CFPB claimed that the telemarketers had “improperly signed up customers for the service without their consent, as well as misled others that the service was free.” Santander blamed the telemarketing service for the error.
Active