RSSThe Consumer Financial Protection Bureau fined TD Bank $27.7 million for sharing inaccurate customer information with consumer reporting companies.
Over several years, the $375 billion bank reportedly included systematic errors about credit card delinquencies and personal bankruptcies. In other cases, TD Bank allegedly gave consumer reporting agencies information it suspected or knew was fraudulent. The bank reportedly knew of many of the inaccuracies for more than a year before fixing the problems.
TD Bank allegedly did not have sufficient processes to investigate consumer reporting disputes and rerouted resources from investigating disputes to other parts of its business. The bank was ordered to pay $7.76 million in redress to consumers and an additional $20 million to the CFPB’s victims relief fund.
“The CFPB’s investigation found that TD Bank illegally threatened the consumer reports of its customers with fraudulent information and then barely lifted a finger to fix it,” said CFPB Director Rohit Chopra. “Rather than treating its customers fairly and following the law, TD Bank’s management clearly cared more about growth and expanding its empire through mergers. Regulators will need to focus major attention on TD Bank to change its course.”
