The Federal Reserve Board of Governors fined financial technology and bank holding company Green Dot $44 million for numerous unfair and deceptive practices and a deficient consumer compliance risk management program.
Green Dot failed to adequately disclose the tax refund processing fee for services offered on a third party’s website, blocked access to accounts of legitimate customers receiving unemployment benefits, lacked reasonable policies and procedures to help customers cure blocks, and did not maintain effective consumer compliance risk management or Bank Secrecy Act/anti-money laundering (BSA/AML) programs, the Fed alleged in a press release Friday.
