Connect with us

Business

TD Bank agrees to pay $122 million to settle claims it employed illegal overdraft practices – CNBC

Published

on


TD Bank on Thursday agreed to pay $97 million in restitution to approximately 1.42 million customers, as well as a $25 million civil penalty to settle allegations brought by the Consumer Financial Protection Bureau that it engaged in illegal overdraft fee practices. 

Banks typically charge overdraft fees when you overdraw your checking account. Instead of having your debit card declined or the purchase canceled, your bank will cover the difference and charge you an overdraft fee. TD Bank, for example, charges $35 when you overdraft your account by more than $5 and levies up to five of these charges per day. 

But under current laws and regulations, banks have to give customers the option of opting into overdraft programs before charging them these fees. According to the consent order entered Thursday, TD Bank didn’t do that. Instead, the CFPB claims that from January 2014 through December 2018, TD charged consumers overdraft fees for ATM and debit card transactions without first getting their approval to enroll them into the program. In some instances, the CFPB claims TD Bank had new customers sign up for its Debit Card Advance overdraft program with the “enrolled” option pre-checked and did not mention the service at all. 

Additionally, TD Bank allegedly used deceptive language when marketing its Debit Card Advance program, claiming it was a “free” service, as well as referring to it as a “feature” or “package” that “comes with” new checking accounts, according to the CFPB. But like all overdraft programs, TD’s Debit Card Advance is an optional service.

Although TD Bank agreed to settle the case, president and CEO Greg Braca said in a statement Thursday that the bank disagreed with the CFPB’s conclusions. “Throughout the period in question, TD had a clear process to secure formal consent before providing this service to customers, enabling them to make an informed and conscious choice,” Braca said. He added that TD has already “voluntarily and proactively implemented enhancements” to the Debit Card Advance program’s disclosure and enrollment processes beginning in 2014. 

How to avoid getting dinged with overdraft fees

Americans spend about $117 a year on overdraft fees, according to a recent analysis by bill pay service doxo. Among households that overdraft once or more a year, the average cost is $354 per year. 

Some consumers may not be able to avoid late fees or overdrafts, especially during the pandemic when millions are unemployed. But for many, these fees may be avoidable. In fact, many times they occur because people simply forget, says Jim Kreyenhagen, VP of marketing and consumer services at doxo. “We get busy, we don’t think about moving money from our savings account to our checking account, we haven’t set up an automatic transfer, so we overdraft.”

Several banks, including Ally, Bank of America, PNC, Santander and Wells Fargo, have introduced programs that waive or refund overdraft fees upon request during the pandemic. Keep in mind that a majority of banks offering assistance right now do require that customers call to enroll in these programs; it’s not automatic.

To further help those struggling amid the pandemic avoid these fees, Senators Cory Booker (D-N.J.) and Sherrod Brown (D-Ohio) introduced a bill earlier this year that would bar banks, credit unions and other financial institutions from charging overdraft fees until the coronavirus crisis is over. The bill, however, has not yet made it into a stimulus package or onto the Senate floor for a vote and currently only has a 4% chance of being enacted into law

It can also help to make it a habit to regularly check your account balance to see if you have enough money there to cover your expenses. If you’re short on cash at the moment, see if there’s a way to avoid overdrawing your account, perhaps by dipping into savings or asking friends and family for financial support. 

If you do find that you’re routinely overdrafting, you can opt out of the overdraft protection program and avoid the fees altogether. There may be an option to unenroll from overdraft protection within your account settings on your online banking portal, or you may have to call your bank directly and ask to be removed from any overdraft programs. Once you’re unenrolled, your debit card purchase will be declined if there’s not enough money in your account.

Keep in mind that you can only opt out of overdrafts on one-time transactions made with your debit card, so if you use checks, or if you have recurring payments set up (think your rent or monthly subscription services) and you go over your current checking balance, you may still be charged an non-sufficient funds fee.

Another way to stop overdraft fees is by changing banks. Some banks offer checking accounts without monthly fees, overdraft fees or non-sufficient funds fees, including Discover Bank’s checking account and online bank Simple’s checking account. Wells Fargo plans to roll out two types of checking accounts without overdraft fees early next year.

Check out: Americans spend over $5,000 a year on groceries—save hundreds at supermarkets with these cards

Don’t miss: Overdrafts earned the biggest banks $11.68 billion last year—and experts warn they could ‘balloon exponentially’ during the pandemic

Let’s block ads! (Why?)



Source link

Continue Reading

Business

COVID-19 exposure for Saskatoon, P.A. and Waskesiu businesses – CKOM News Talk Sports

Published

on


An individual, likely infectious with COVID-19 at the time, visited six businesses over eight days in Saskatoon, Prince Albert and Waskesiu Lake.

The Saskatchewan Health Authority (SHA) is notifying the public of the business exposures within the communities:

  • Carver’s Steak House – Saskatoon – Sept. 10: 6:00 – 9:00 p.m.
  • Grainfields on 8th Street – Saskatoon – Sept. 11: 8:30 – 10:30 a.m.
  • Garden Cafe, Saskatoon Inn – Saskatoon – Sept. 12: 8:00 – 10:00 a.m.
  • Tim Horton’s, 3223 – 2nd Ave W – Prince Albert – Sept. 17: 3:00 – 5:00 p.m.
  • Hawood Inn (Hotel and/or dining area), 851 Lakeview Dr – Waskesiu Lake – Sept. 17: 5:30 p.m. – Sept. 18: 5:00 p.m.
  • Willows Golf and Country Club – Sept 16: 1:30 -6:00 p.m.

Anyone at the locations on the specified dates within the specified time-periods who currently have symptoms of COVID-19 are being asked to immediately self-isolate and contact the HealthLine 811.

All other individuals are asked to self-monitor for 14 days.

Let’s block ads! (Why?)



Source link

Continue Reading

Business

Iconic Ranchman's Cookhouse & Dancehall building up for lease – Calgary Herald

Published

on


Article content

A legendary Calgary restaurant and club may be hanging up the saddle.

An MLS listing for the Ranchman’s Cookhouse & Dancehall building, located at 9615 Macleod Trail S.E., was posted Saturday by Calgary realtor Rob Campbell, advertising the property as available for lease “for the first time in its history.”

Two for-lease signs also appear on the outside of the 17,000-square-foot Calgary watering hole. One sign reads “temporarily closed,” and the business’s phone line is not active.

Ranchman’s has been synonymous with Calgary western culture since it first opened its doors on April 27, 1972, nearly 50 years ago.

A “For Lease” sign is seen on the iconic Ranchman’s Cookhouse and Dancehall along Macleod Trail south. Saturday, September 19, 2020. Brendan Miller/Postmedia Brendan Miller/Postmedia

The popular country nightclub draws large crowds during the Calgary Stampede and throughout the rest of the year. It has been named the Canadian Country Music Association’s “Country Club of the Year” 11 times.

The COVID-19 pandemic forced Ranchman’s to temporarily shut its doors on March 17, and it has remained closed since. Ranchman’s and other nightclubs are not permitted to reopen until Stage 3 of Alberta’s relaunch.

Ownership of the venue most recently traded hands in 2017, when Calgary bar scene mainstay Doug Rasberry purchased the property alongside a group of local business owners.

Ranchman’s representatives could not immediately be reached for comment.

jherring@postmedia.com

Twitter: @jasonfherring

Let’s block ads! (Why?)



Source link

Continue Reading

Business

Canadian Police Arrested a Man for Sleeping While His ‘Self-Driving’ Tesla Sped Down the Highway – Robb Report

Published

on


We’ve all felt the need to catch 40 winks at inconvenient times, but one Candian man took his need for shut-eye to a whole new level.

Alberta police have formally charged a 20-year-old man who was caught asleep behind the wheel of his Tesla while the electric vehicle was speeding on autopilot. Authorities were alerted to the scene on the afternoon of July 9th by a caller who noted that both of the front seats were fully reclined with no visible operator. Sgt. Darrin Turnbull told CBC News on Thursday that the car was traveling 87mph in a zone with a speed limit of 68mph. Both the driver and the passenger appeared to be fully asleep, according to police.

“Nobody was looking out the windshield to see where the car was going,” Turnbull told CBC. “I’ve been in policing for over 23 years and the majority of that in traffic law enforcement, and I’m speechless. I’ve never, ever seen anything like this before, but of course, the technology wasn’t there.”

The model in question was a 2019 Tesla Model S, which has an array of autopilot features from auto-steer to “traffic-aware” cruise control, both of which were engaged when the car was stopped. But despite its name, the autopilot function still requires an active driver to monitor the road, making a lack of one remarkably dangerous all on its own. It turned out to be even more detrimental than the concerned police originally thought because once the officers activated their car’s emergency lights, the Tesla began accelerating and eventually reached a speed of 93mph, which was confirmed by a radar scan.

Officers eventually caught up with the vehicle and issued the sleeping driver a 24-hour license suspension for fatigue before an investigation resulted in a charge of dangerous driving. The driver received a court summons scheduled for this December. Fortunately, no one was injured as the incident ensued, but it acts as a serious cautionary tale as Tesla’s autopilot functions have come under sharp scrutiny for their potential links to more than one crash and related death.

Let’s block ads! (Why?)



Source link

Continue Reading

Trending