The Bank of America fined $235 million on prepaid cardholder program
The Bank of America was found guilty of sharp practices on the Prepaid Card program. The Prepaid Card program was centered on the distribution of unemployment benefits and other relief funds to certain Citizens of America. The Central Authority has fined the Bank of America the sum of $235 million for the irregularities. 12 States were under the Card program and the affected persons will be paid by the bank for the sharp practices.
However, the number of cardholders affected was not known as at the time of writing this piece. The bank was ordered to pay $135 million by the office of the comptroller of the currency to the affected persons under the card program. More so, $100 million was ordered to be paid as civil money penalty to the consumers. The statement made by Michael Hsu, the acting comptroller of the currency, on Thursday revealed that the bank failed in its mandatory duty to dispense payment of unemployment funds to the prepaid cardholders during the pandemic.