The Consumer Financial Protection Bureau's continued efforts to curb illegal or deceptive banking activities – including promising credit monitoring but not delivering – has resulted in U.S. Bank being ordered to refund $48 million to customers.
The bank, the nation's fifth largest, charged around 420,000 customers for credit add-on products and services bought from 2004 to 2012 for which they did not receive the promised benefits, according to a report from CNN.
U.S. Bank referred customers to Affinion, which sold the services and billed for them. CNN noted that in some cases, customers believed they were receiving credit monitoring for identity theft, though in reality they were not.
The bank severed ties with the company after learning of the deceptive practices, the report said. In addition, U.S. Bank will pay $5 million and $4 million penalties, respectively, to the CFPB and the U.S. Treasury Department.