WASHINGTON–Five senators have sent a letter to the CEO of U.S. Bank asking for more details about a fake accounts scandal at the bank that led to a $37.5 million fine from the CFPB.
As CUToday.info reported here, Minneapolis-based U.S. Bank illegally accessed its customers’ credit reports and opening checking and savings accounts, credit cards, and lines of credit without customers’ permission.”
“U.S. Bank pressured and incentivized its employees to sell multiple products and services to its customers, including imposing sales goals as part of their employees’ job requirements,” the CFPB said. “In response, U.S. Bank employees unlawfully accessed customers’ credit reports and sensitive personal data to apply for and open unauthorized accounts.”
The scandal is similar to that which occurred earlier at Wells Fargo.
Now, Senate Banking Committee Chair Sherrod Brown (D-OH) and four other Democratic lawmakers have sent a letter Thursday to U.S. Bank CEO Andy Cecere demanding additional information about the opening of the fake-accounts.
“It is unacceptable that U.S. Bank provided incentives to and pressured its employees to take advantage of their unique access to a veritable treasure trove of sensitive, personal information to sign up unsuspecting customers for fee-generating financial products and services,” the letter states.
Additional Information Requested
In addition to Brown, others signing the letter include Sens. Elizabeth Warren (D-MA), Catherine Cortez Masto (D-NV), Robert Menendez (D-NJ) and Chris Van Hollen (D-MD).
The letter asks for a response by Sept. 6 over many deposit accounts the bank opened in connection with the scandal, which allegedly goes back as far as since 2010, along with any credit cards it issued or lines of credit it approved.
In addition, the senators have asked for a state-by-state breakdown of the fake accounts opened, the employee incentives involved and the revenue generated.
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