Bank of America Faces Massive Reimbursement for Fake Accounts and Double-Dipping Fees

Bank of America has agreed to reimburse customers over $100 million and pay $150 million in fines for engaging in deceptive practices, including "double-dipping" on overdraft fees, withholding credit card reward bonuses, and opening accounts without customer consent. The penalties, one of the largest in recent years, were imposed by the Consumer Financial Protection Bureau (CFPB) and the Office of the Comptroller of the Currency (OCC). The CFPB has been targeting "junk fees" and has focused on banks under the Biden administration. Bank of America has already taken steps to reduce its reliance on overdraft fee revenue and has voluntarily reduced overdraft fees. This is not the first time the bank has faced penalties for illegal practices.