The Consumer Financial Protection Bureau has filed a lawsuit against Capital One, alleging that the bank misled customers about their savings account interest rates. The CFPB claims that Capital One used deceptive marketing to obscure differences between its two savings account options: the “360 Savings” and “360 Performance Savings” accounts.
Capital One had advertised its high-yield savings account as having a low interest rate, but in reality, it offered significantly higher rates on its newer option. The CFPB alleges that Capital One failed to notify customers of the changes and marketed the two products similarly to confuse them into believing they were the same.
The agency said that Capital One increased the 360 Performance Savings interest rate from 0.4% in April 2022 to 4.35% in January 2024, while keeping the 360 Savings rate at 0.3%. The CFPB is seeking to recover over $2 billion in interest lost by customers.
In response, Capital One denied the allegations and said it transparently marketed its products. However, the CFPB Director Rohit Chopra stated that banks should not promise benefits they cannot deliver, adding that “families are being cheated out of billions of dollars on their savings accounts.”
Source: https://www.cnbc.com/2025/01/14/cfpb-sues-capital-one-alleges-it-misled-consumers-on-savings-rates.html