Atlantic Union Bank to pay $6.2M in CFPB overdraft case

Atlantic Union Bank agreed to pay $6.2 million as part of a settlement with the Consumer Financial Protection Bureau (CFPB) resolving allegations the bank illegally enrolled and misled customers in its checking account overdraft programs.

Atlantic Union Bank was fined $1.2 million and must pay at least $5 million in redress to thousands of affected consumers, the CFPB announced in a press release Thursday.

Between January 2017 and November 2020, Atlantic Union Bank obtained improper consent to enroll customers in its overdraft coverage, according to the CFPB’s order. Branch employees did not print written overdraft notices for new customers until the end of the account-opening process, instead initially relying on oral affirmation, the agency alleged.