CFPB Slaps Wise with $2 Million Fine for Deceptive Fee Practices
Wise fined $2M by CFPB for deceptive fees. The fintech misled customers, emphasizing the need for transparency in finance.
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CFPB Slaps Wise with $2 Million Fine for Deceptive Fee Practices
Fintech company Wise faces hefty penalties for misleading customers about fees and exchange rates, highlighting the importance of transparency in financial services. The Consumer Financial Protection Bureau (CFPB) has levied a significant fine against Wise, a prominent U.K.-based remittance company, for engaging in deceptive practices related to its fee structure. The fine, totaling approximately $2 million, underscores the CFPB's commitment to protecting consumers from misleading financial practices and ensuring transparency in the increasingly complex fintech landscape. Wise, known for its international money transfer services, allegedly misled customers in the United States about ATM fees, failed to adequately disclose other fees, and did not provide timely refunds for failed transfers, resulting in substantial financial harm to consumers. Deceptive Practices and Consumer Harm The CFPB's investigation revealed a series of violations by Wise, including: Misleading ATM Fee Adver…
