The Ohio-based bank has been fined $20 million for forcing some customers to buy duplicative auto insurance.
The Consumer Financial Protection Bureau slapped Fifth Third Bank with a $20 million fine on Tuesday for allegedly forcing auto loan customers to buy unnecessary car insurance policies, and in some cases repossessing their vehicles when they defaulted.'The CFPB has caught Fifth Third Bank illegally loading up auto loan bills with excessive charges, with almost 1,000 families losing their cars to repossession,' Director Rohit Chopra said in a statement Tuesday.
Cars repossessed when bogus charges went unpaidFifth Third engaged in the auto insurance practice for years, CFPB officials said, adding that the bank charged customers fees for duplicative coverage on cars already insured by another company. Some Fifth Third customers who lapsed on prior coverage but managed to obtain insurance within 30 days of a lapse, were also charged for duplicative coverage, according to the CFPB.'These borrowers paid over $12.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Fifth Third Bank to pay $5 million to settle auto insurance allegationsAbout 1,000 customers had their vehicles repossessed after defaulting on monthly payments that included charges for unnecessary insurance, the CFPB said.
Read more »
Saks Fifth Avenue Plans 20 Stand-alone Fifth Avenue Club Locations by the End of 2024The Fifth Avenue Club offers a luxury personal shopping and styling service.
Read more »
Advocacy group finds one-fifth of Latino voters leaning towards third-party presidential candidatesA poll from the advocacy group Voto Latino shows a growing share of voters choosing third-party candidates over either President Biden or former President Trump.
Read more »
Huntington National Bank wins third place in Mega category: Top Workplaces 2024Huntington National Bank won third place in the the mega size-business category of Top Workplaces 2024.
Read more »
Here are Bank of America’s top long picks, and one short, for the third quarterWith the second half getting underway, Bank of America highlighted its top long picks, and one short, for the third quarter.
Read more »
European markets higher; Swiss National Bank cuts rates ahead of Bank of England decisionEuropean stocks were higher on Thursday, with U.K. investors looking ahead to the Bank of England’s policy rate decision.
Read more »