Author: David H. Carpenter
On July 18, 2012, the Consumer Financial Protection Bureau announced its first formal enforcement action since its establishment on July 21, 2010, by the Dodd-Frank Wall Street Reform and Consumer Protection Act (P.L. 111-203; Dodd-Frank Act). The enforcement action requires Capital One Bank
(Capital One) to pay a $25 million civil money penalty and approximately $140 million in restitution to borrowers who were harmed by the bank?s alleged unfair and deceptive practices involving credit insurance, credit monitoring, and other ?add-on? products to consumer credit card accounts.