Sightful Invest
  • Business
  • Investing
  • Politics
  • Stock
Top Posts
US-backed Gaza aid group launches bold new system...
Biden doctor pleads the Fifth in speedy House...
Watchdog backs Rubio’s sanctions on UN official over...
Trump taps Sean Duffy to serve as interim...
Trump cautioned Putin he would ‘bomb the s—‘...
I worked for the most successful third party...
‘Gut check time’: Dissent among Senate GOP ranks...
New book reveals what Obama and ‘conqueror’ Trump...
Trump had very unexpected convo with Obama at...
10 reasons the DOJ and FBI face backlash...
  • Business
  • Investing
  • Politics
  • Stock

Sightful Invest

Business

Federal Reserve fines Walmart-linked Green Dot Corp $44 million after customers lost access to funds

by admin July 23, 2024
July 23, 2024
Federal Reserve fines Walmart-linked Green Dot Corp $44 million after customers lost access to funds

Green Dot Corp., a company that partners with Walmart to sell prepaid debit cards at the retail giant, has been fined $44 million by the Federal Reserve for ‘numerous’ alleged failures that harmed consumers over a period of at least five years.

In a release Friday, the Fed said Austin-based Green Dot had violated consumer law and committed unfair and deceptive practices that resulted in users being unable to access their own money.

The Fed identified instances of purported wrongdoing by Green Dot starting in 2017 and continuing through December 2022 that included failing to properly close accounts and assessing fees on them, and denying certain customers access to funds while offering inadequate ways for those customers to redress the situation.

It also said Green Dot failed to notify customers that they could no longer register debit cards by phone after the company discontinued that service, and that it failed to properly disclose the fee it charged while partnering on tax-refund deposits with TurboTax.

In addition to the fine, Green Dot is required to implement numerous new compliance efforts that Federal Reserve regulators must approve.

Last year, NBC News reported on issues faced by Green Dot card users that extended beyond the timeline identified by the Fed, with affected customers describing ‘nightmare’ scenarios as recently as August 2023 of being unable to pay bills on time because they could not gain timely access to their money.

A Green Dot spokesperson said most of the issues identified by NBC News reporting were the result of a system upgrade.

In a statement Friday, Green Dot CEO George Gresham said the company was ‘pleased to confirm the consent order has been finalized.’

‘The order relates to practices in place years ago, and we have taken and will continue taking meaningful steps to correct and remediate those issues, including significant updates to our processes, our product packaging and marketing, our management team and our compliance programs,’ Gresham said.

‘We are committed to cooperating and partnering closely with our regulators to ensure all concerns noted in the consent order are addressed and complied with and that our customers are well-served and protected on an ongoing basis. As stewards of our customers’ valued resources, we take this commitment and responsibility very seriously.’

Green Dot had signaled in March that an enforcement action was coming as part of its first quarter earnings report.

Representatives for Walmart and TurboTax parent Intuit did not immediately respond to emailed requests for comment.

This post appeared first on NBC NEWS

previous post
Delta cancels hundreds more flights as its recovery from global CrowdStrike-Microsoft outage lags
next post
Dr. Nomi Prins: Real Assets Due for Major Bull Cycle, Watch Gold, Uranium, Rare Earths

You may also like

In wake of L.A. wildfires, a diverse small...

March 4, 2025

Trump made millions on guitars, Bibles and watches...

June 17, 2025

Ad revenue should stabilize for media companies in...

December 31, 2024

McDonald’s announces plan to hire 375,000 employees this...

May 14, 2025

Elon Musk and Sam Altman spar over Trump’s...

January 25, 2025

Disney tops quarterly profit estimates, but starts to...

February 6, 2025

Trump Media CFO, two other insiders sell millions...

November 16, 2024

Malls are using new restaurants to draw consumers...

December 20, 2024

Tesla investors want Elon Musk to answer questions...

January 30, 2025

Starbucks to lay off 1,100 corporate workers as...

February 25, 2025

Recent Posts

  • US-backed Gaza aid group launches bold new system to deliver food directly to families
  • Biden doctor pleads the Fifth in speedy House closed-door interview
  • Watchdog backs Rubio’s sanctions on UN official over ‘shameful efforts’ targeting US, Israel
  • Trump taps Sean Duffy to serve as interim NASA chief
  • Trump cautioned Putin he would ‘bomb the s—‘ out of Moscow if Russia invaded Ukraine, new book claims

    Become a VIP member by signing up for our newsletter. Enjoy exclusive content, early access to sales, and special offers just for you! As a VIP, you'll receive personalized updates, loyalty rewards, and invitations to private events. Elevate your experience and join our exclusive community today!


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Categories

    • Business (819)
    • Investing (2,497)
    • Politics (3,095)
    • Stock (4)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: sightfulinvest.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 Sightful Invest. All Rights Reserved.