Regions Bank to refund $141M for illegal overdraft fees

9/29/2022 6:00:00 AM

Regions Bank for a second time in a decade was found charging illegal overdraft fees in a settlement that will require the bank to repay $141 million to customers plus $50 million in fines.

Regions Bank for a second time in a decade was found charging illegal overdraft fees, the government said Wednesday, in a settlement that will require the bank to repay $141 million to customers and pay an additional $50 million in fees.

Regions Bank for a second time in a decade was found charging illegal overdraft fees in a settlement that will require the bank to repay $141 million to customers plus $50 million in fines.

Ken Sweet And Jay Reeves Associated Press September 28, 2022, 1:35 PM Updated: September 28, 2022, 5:51 PM Tags: Business FILE - The logo for Regions Bank is seen above a branch's entrance in Roswell, Ga.September 28, 2022 / 3:38 PM / CBS/AP For the second time in a decade, Regions Bank was found to have charged illegal overdraft fees, the government said Wednesday, in a settlement that will require the bank to repay $141 million to customers and pay an additional $50 million in fees.William Thornton | wthornton@al.In an investigation, the Consumer Financial Protection Bureau found that between 2018 and 2021, Regions was charging overdraft fees on some ATM withdrawals as well as some debit card purchases, even after the Alabama-based bank told the customers they had enough funds in their account to cover the transactions.

, Thursday, May 7, 2009.For a second time this decade, Regions Bank was found charging illegal overdraft fees, the government said Wednesday, Sept.The CFPB also found that Regions' executives knew the error in their systems was occurring, but held off making adjustments to their practices until the bank could find ways to replace the revenues lost from the fees.28, 2022, in a settlement that will require the bank to repay $141 million to customers and pay an additional $50 million in fees.In all, Regions must refund at least $141 million to customers, and pay $50 million into the CFPB’s victims relief fund.(AP Photo/John Bazemore, File) (John Bazemore, AP2009) NEW YORK – Regions Bank for a second time in a decade was found charging illegal overdraft fees, the government said Wednesday, in a settlement that will require the bank to repay $141 million to customers and pay an additional $50 million in fines."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," Rohit Chopra, director of the agency, said in a statement.In an investigation, the Consumer Financial Protection Bureau found that between 2018 and 2021, Regions was charging overdraft fees on some ATM withdrawals as well as some debit card purchases, even after the Alabama-based bank told the customers they had enough funds in their account to cover the transactions.We have more work to do to change this mentality.

Further the CFPB found that Regions' executives knew the error in their systems was occurring, but held off making adjustments to their practices until the bank could find ways to replace the revenues lost from the fees.We have more work to do to change this mentality.“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,” CFPB Director Rohit Chopra said.The CFPB said overdraft and non-sufficient funds fees — otherwise known as a bounced-check fee — were roughly 18% of the bank's non-interest income in 2019.“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,” Rohit Chopra, director of the agency, said in a statement."Over a year ago, Regions stopped charging this particular overdraft fee," said Region's Chief Legal Officer Tara Plimpton, in a statement.“Too often, large financial firms make a calculation that continuing to break the law is more profitable than following it.” In a statement, Regions said it disagrees with the bureau’s characterizations of the fees, cooperated with the investigation, and “is pleased to move forward.We have more work to do to change this mentality...

” In a statement, Regions said that while it disagreed with the bureau's assessment of their business practices, it was pleased to put the settlement behind it.“Over a year ago, Regions stopped charging this particular overdraft fee," said Region's Chief Legal Officer Tara Plimpton, in a statement.(that) include updating the bank's posting order and transaction processing to give customers a clearer view of the money they have available for making purchases while avoiding fees.According to the CFPB, from August 2018 through July 2021, Regions charged a type of overdraft fee known as an authorized-positive fee.“We took this action as part of a broader series of enhancements..In 2015, the bureau ordered Regions to refund $49 million and pay a $7..Debit-card transactions, where the user signs rather than enters their PIN number, typically settle one-to-three days later.Those Regions’ customers were charged for overdraft when they had opted out of the service.

(that) include updating the bank’s posting order and transaction processing to give customers a clearer view of the money they have available for making purchases while avoiding fees.Those Regions' customers were charged for overdraft when they had opted out of the service.” This is not the first time Regions has been fined for its overdraft fee practices.In 2015, the bureau ordered Regions to refund $49 million and pay a $7.The agency said earlier this year that consumers pay in what it describes as excessive charges.According to the bureau, even Regions Bank’s own employees could not explain to customers why they incurred the overdraft fees.5 million penalty for charging overdraft fees.Those Regions' customers were charged for overdraft when they had opted out of the service.

Copyright 2022 The Associated Press.“Over a year ago, Regions stopped charging this particular overdraft fee,” Regions Bank Chief Legal Officer Tara Plimpton said.All rights reserved.This material may not be published, broadcast, rewritten or redistributed without permission..” In 2015, the CFPB ordered Regions to refund $49 million to consumers, and pay a $7.

Read more:
News4JAX »
Loading news...
Failed to load news.

Regions Bank to repay customers $141 million in illegal overdraft feesFor the second time in a decade, Regions Bank was found to have charged illegal overdraft fees, the government said Wednesday, in a settlement that will require the bank to repay $141 million to customers and pay an additional $50 million in fees. 6.2B revenue last year.. whats 191mill Sounds like some rich guy will be filling bankruptcy to cover his losses and his bank account at bank of the island where you can’t get his assets. Sounds like Wells Fargo

Regions Bank ordered to pay $191 million for ‘surprise’ overdraft feesRegions Bank has been ordered to pay $141 million in penalties and refunds in a settlement with Consumer Financial Protection Bureau. It must also pay $50 million into the CFPB’s victims relief fund. How do you know if you're qualified for repayment, and how will people receive repayment? How do we double check to see if Region's accurately refunded those fees?

Regions Bank to refund $141M for illegal overdraft feesRegions Bank for a second time in a decade was found charging illegal overdraft fees, the government said Wednesday, in a settlement that will require the bank to repay $141 million to customers and pay an additional $50 million in fees.

Regions Bank to refund $141M for illegal overdraft feesNEW YORK (AP) — Regions Bank for a second time in a decade was found charging illegal overdraft fees, the government said Wednesday, in a settlement that will require the bank to repay $141 million to customers and pay an additional $50 million in fines. How much did they make in their illegal fee scheme? Regions is the absolute worst. not enough, a black guy gets choked to death on the streets of ny for selling loose cigarettes, and banks are simply allowed to try multiple time to steal from their depositors, and they get a paltry 50 million dollar fine that goes to the government? wtf sort of justice is that

Crypto Lender Nexo Gets U.S. Bank Charter After Buying Stake in Regulated BankNexo’s bank license will bring users enhanced legal safeguards and help it expand its footprint in the U.S., the company said.