Discover to refund $200m to customers

Source: BBC

24 September 2012 Last updated at 17:05 ET

America's sixth-largest credit card issuer has agreed to pay $200m (£123m) in refunds to settle accusations it misled customers into add-on services.

Discover Bank will also pay a $14m fine, after regulators said it enrolled clients in schemes such as credit monitoring, without consent.

It is the third public enforcement action taken by the Consumer Financial Protection Bureau (CFPB).

More than 3.5 million customers are to receive refunds.

-snip-

Read more: http://www.bbc.co.uk/news/world-us-canada-19707697

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4 replies	Author	Time	Post
Discover to refund $200m to customers (Original post)	Eugene	Sep 2012	OP
That comes to about $57 per customer. Not exactly a Bonanza. ~nt	99th_Monkey	Sep 2012	#1
$57 if all of it goes to the people	Thor_MN	Sep 2012	#4
I certainly hope that they've admitted no wrongdoing	Orrex	Sep 2012	#2
This should be a HUGE story! The CFPB needs a better PR team. Our government, looking out for us...	winstars	Sep 2012	#3

Response to Eugene (Original post)

Mon Sep 24, 2012, 11:07 PM

99th_Monkey (7,376 posts)

1. That comes to about $57 per customer. Not exactly a Bonanza. ~nt

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Response to 99th_Monkey (Reply #1)

Tue Sep 25, 2012, 09:04 AM

Thor_MN (4,687 posts)

4. $57 if all of it goes to the people

But there is likely to be some hefty adminstrative fees taken out by crony servicing firm... The checks are likeky to be for about $5, such that most people toss them, thinking it is just another credit card spam mail.

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Response to Eugene (Original post)

Tue Sep 25, 2012, 12:22 AM

Orrex (36,817 posts)

2. I certainly hope that they've admitted no wrongdoing

We can't have hefty corporations actually on the hook for their flagrant disregard of the law, can we?

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Response to Eugene (Original post)

Tue Sep 25, 2012, 02:19 AM

winstars (1,217 posts)

3. This should be a HUGE story! The CFPB needs a better PR team. Our government, looking out for us...

what a concept... 14 million dollars is, in the words of Hyman Roth, 'small potatoes' but they are just getting started. These types of actions is what Elizibeth Warren envisioned for the aptly called: Consumer Financial PROTECTION Bureau.

This only happens and only continues to happen with a Democratic President. That is the clear choice. The fucking undecided voters and even the nitwits already voting for Willard should look at these type of actions and really THINK to themselves if fining the companies that screw us is actually a bad thing???

Of course they will think that the government is hounding the "job creators" but they are idiots so........

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