BofA Add-Ons Spur $459M Restitution Order
The Office of the Comptroller of the Currency Wednesday assessed a $25 million penalty against Bank of America and its credit card subsidiary FIA Card Services, and ordered restitution totaling approximately $459.5 million to 1.9 million consumer accounts.
The OCC found that the bank’s billing practices, specifically add-on charges for identity theft protection, violated Section 5 of the Federal Trade Commission Act, which prohibits unfair and deceptive acts or practices. The $25 million civil money penalty reflects a number of factors, including the scope and duration of the violation and financial harm to consumers from the unfair practices. The penalty will be paid to the U.S. Treasury.