Lawyers.com Reports How the Big Banks Are Scamming and Defrauding Their Own Customers

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Lawyers.com spolights that several major banks have just settled litigation charging them with consumer fraud and gouging their customers.

Is there any doubt that consumers need more legal protection from predatory banks?

U.S. Bank, Bank of the West, JPMorgan Chase and Bank of Oklahoma are among the financial institutions that have recently agreed to pay millions to settle numerous class action claims charging them with consumer fraud.

Two reports on Lawyers.com detail how the big banks cheated their customers:

JPMorgan Chase Bank will pay $100 million to settle claims that it jacked up interest rates on loan balances that were transferred to consumers’ credit cards after it promised them a fixed rate, according to settlement documents just filed in a California federal court and the Washington Post. Click here.

"Chase used its superior position in the depths of the economic crisis to squeeze more money out of people who were already heavily strapped with debt," says Larry Bodine, Editor in Chief of Lawyers.com. "Is there any doubt that consumers need more legal protection from predatory banks?"

Capital One misled new customers about the cost of bank products and sold them to people who were not eligible to get the benefits, according to the US Consumer Financial Protection Bureau. The agency ordered the bank to refund $140 million to two million customers and pay an additional $25 million penalty. See http://www.consumerfinance.gov/pressreleases/cfpb-capital-one-probe/

The Bank of Oklahoma NA improperly collected overdraft fees from tens of thousands of its customers, and just settled multidistrict litigation against it for $19 million. See http://bit.ly/PE0NxW

Bank of the West settled a lawsuit involving its overdraft fee practices, making it the tenth bank to buy its way out of a massive Florida class action case in federal court. See http://bit.ly/NWzXUb

Readers can follow reporting by Lawyers.com by clicking the Consumer Law tag, http://blogs.lawyers.com/tag/consumer-law.

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