Bank of America fined $150 million for consumer abuses including fake accounts, bogus fees
Bank of America fined $150 million for consumer abuses including fake accounts, bogus fees
Why don't penalties for fraudulent or criminal practices START at 100% of all revenue generated by such prectices and go up from there? If the only penalty for stealing $1,000 was a $10 fine, I'd just keep stealing - why are companies expected to do otherwise?
Because they can afford to buy legislators and we can't
Sigh, sad but true...
According to the article, that’s what happened. They paid back the $103 million of fraudulent overdrafts and a $150 million fine on top of that as punishment.
Not a big enough fine. That’s just the cost of doing business to them.
$150 million? That's like what... five BofA overdraft fees?
there was a royal commission in australia into the banking industry, and there were a LOT of changes recently. probably about 2 years ago now. they're not allowed to charge exhorbitant fees anymore. the US needs one of those, or the equivalent.
Chump change for these crooks, and will be written off as the cost of business.
When we start giving bankers prison sentences, things will start to actually change.
They really don't care about jail time that much easier. A couple of years of jail for 40 million? Sure.
The fine sould start out at 100% or more the profit from doing the crime.
A criminal act should also make the executives personal assets fully liable. The fine is paid out of the personal wealth of all executives involved in the crime first, combined with a mandatory termination of employment. Then out of any stock buybacks, dividends other payments to stockholders second. The finally out of company assets.
Basically follow the rules or face severe financial consequences for anyone who stands to profit from it.
They made $1.6 billion off overdraft fees in 2019...
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Google tells me BofA's net worth is around $228-billion, so these fines and refunds add up to about 1/10th of 1% of the company's value.
What does the bank get for that money? No charges against anyone involved in at least tens of thousands of felonies, which seem quite similar to many thousands of earlier felonies nobody at the bank was charged with, in 2014 and 2022.
If I committed tens of thousands of felonies, repeatedly, could I get BofA's deal? I'm worth about $5,000, including my life savings and everything I own, so I'd have to pay a $5 fine.
I love my Credit Union. Been a victim of Wells Fargo in the past and it was delightful finally closing my accounts with them years ago. Haven't looked back. Haven't had any weird fees since.
Unfortunately, this still seems like a drop in the bucket vs. what they made off with.
Whaat if only there was some way we could’ve guess. I thought BofA was a standup org :(
I was really expecting a deez nuts joke for a second and then it occured to me that Bank of America can legitimately be shortened to BofA.
I implore anyone with a banking account with a corporate bank to switch to a nearby credit union or AT LEAST look into it.. Ive been a customer at 3 credit unions and all have been great experiences. I cannot say the same about my Bank of America experience from 15 years ago that pushed me over to CUs.
$150 million fine for the $222 billion company. Seems about right
it's pretty sad, but these massive companies EXPECT fines, and put them in their budget. they don't give a fuck. it's just the cost of doing business.
Yeah really. The average person overdrafts and they charge $35 for it, making that person even more poor.