RBS Citizens, affiliate agree to $13.9M settlement

WASHINGTON (AP) - RBS Citizens and its affiliate Citizens Bank of Pennsylvania have agreed to pay a combined $13.9 million to settle U.S. regulators' claims they deceived customers about overdrafts and other services.

Regulators say the banks are paying $10 million in civil fines and $3.9 million in restitution to customers harmed by inaccurate information. The deal was announced Tuesday by the Federal Deposit Insurance Corp. and the Office of the Comptroller of the Currency. The banks neither admitted nor denied wrongdoing.

The agencies said the banks violated federal consumer-protection laws in their overdraft protection and checking rewards programs, and in processing stop payment orders for customers. They said about 340,000 customers were affected from 2007 to 2011.

The banks' parent is Royal Bank of Scotland, which is majority owned by the British government.


(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

Top Stories

  • Where's Buddy?
    A family fights to get back Buddy after he was mistakenly adopted to someone else

  • 50 Years Ago
    A legendary DJ tells the story of The Beatles' first Seattle show

  • Gridlock Expected
    The SR 99 closure will cause big backups across Seattle for next 4 days
ATTENTION COMMENTERS: We've changed our comments, but want to keep you in the conversation.
Please login below with your Facebook, Twitter, Google+ or Disqus account. Existing MyNorthwest account holders will need to create a new Disqus account or use one of the social logins provided below. Thank you.
comments powered by Disqus
Sign up for breaking news e-mail alerts from MyNorthwest.com
In the community
Do you know an exceptional citizen who has impacted and inspired others?
KIRO Radio and WSECU would like to recognize six oustanding citizens this year. Nominate them to be recognized and to receive a $2,000 charitable grant.