The Consumer Finance Protection Bureau (CFPB) is wise at the British -based remittance company WISE for what is called “a series of illegal activities”, and has finished a finance of about $ 2 million.
CFPB claims that these actions include incorrect charges and that they cannot properly disclose exchange rates and other costs. Specifically, the agency has argued that the FinTech company misunderstands US customers on ATM rates and did not disclose other fees properly. Also, when people sent the money that did not arrive on time, WISE claimed that they did not refund the remittance fee in the time frame required by the law. This led to a “hundreds of thousands of dollars” that harms consumers and claimed CFPB.
Agency is wisely trading to pay about $ 450,000 for published consumers and to pay $ 2.020 million civil punishment.
“By deceiving customers, Wise has given Wise to be unfair than other competitors in the remittance market,” said Rochito Chopura, CFPB director. “New technologies can help you move money cheaper and more convenient, but companies are true and have to respond to many years.”
The company operates in the United States through the USE USE USE USE. Recently, we have announced the expansion to Mexico.
In a statement provided by TechCrunch, the WISE spokeswoman said that CFPB said between June 2020 and May 2021, “Wise Us Inc.’s daily life regarding various US laws in the United States. He said that he conducted a “Survey”.
Later, in February 2022, WISE emphasized a specific problem that WISE claimed to be “inadvertently operated in the way the bureau was necessary to deal with it.”
Wise states that it has been “aggressively and voluntarily compensated,” and the affected customer is $ 450,000. He said, “We worked hard to work with CFPB to deal with all specified issues,” and the majority was solved by November 2022.
The company reached the agreement with the bureau on January 30 and added: We have built a substantial tool. “
This is the latest example of a FinTech company imposed a fine of CEPT customs. Block, the parent company of Cash App, has recently paid $ 80 million fines as part of a settlement of the Bank secret method (BSA) and the violation of the AML regulations.
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