Citizens Bank will pay $9 million following fraud claims under a CFPB settlement.
$9 Million CFPB Settlement Over Credit Card Disputes and Fraud Allegations
As part of the Consumer Financial Protection Bureau (CFPB) settlement, the Citizens Bank will have to pay a $9 million civil money penalty to resolve the credit card disputes and fraud allegations filed against them.
According to the CFPB settlement, Citizens Bank failed to protect and manage the financial accounts of the customers, which led to allegations of fraud when they disputed credit card transactions.
The CFPB settlement allows Citizens Bank to take action and resolve the issues of the victims of billing errors during transactions by paying the affected customers the fraud amount and getting them a refund.
Fraud Victims Will Receive $9 Million Payment as Part of CFPB Settlement
Before the recent CFPB settlement, the bureau initially sued Citizens Bank for failing to investigate several errors reported by their customers and failing to resolve them, MyChesCo reported.
The bank failed to submit any documents and evidence of dispute notices and transaction errors regarding the credit card disputes that can be a great help during the investigation of the CFPB settlement.
Following the CFPB settlement, customers expect that Citizens Bank will be able to handle future problems, such as billing and transaction errors, better.
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