Financial institutions are refunding $140 million to consumers for so-called “junk fees,” the Consumer Financial Protection Bureau (CFPB) said on Wednesday.
The consumer watchdog said $98 million is being refunded for surprise overdraft fees, while another $22 million is being refunded for multiple insufficient fund fees levied on a single transaction.
The CFPB also accused companies of taking in “millions in fake revenue” by charging monthly fees for paper bank statements that they never attempted to deliver, which will be refunded to customers.
Other junk fees levied on bank account deposits, auto loan servicing and international money transfers will also be refunded, according to the agency.
“The CFPB continues to uncover junk fee scams that violate the law and undermine consumer trust,” CFPB Director Rohit Chopra said in a press release. “We will…