Capital One to pay $425 million to settle litigation over savings accounts [Yahoo! Finance Canada]
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Source: Yahoo! Finance Canada
A notice describing the preliminary settlement was filed on Friday evening in the Alexandria, Virginia federal court. The accord requires a judge's approval. Depositors said Capital One falsely promised high interest rates on their 360 Savings accounts, while quietly offering much better rates to new customers on the similarly named 360 Performance Savings accounts. The 360 Savings depositors said Capital One froze their rates at 0.3%, and offered rates to 360 Performance Savings depositors that peaked at 4.35% early last year. Capital One, based in McLean, Virginia, did not admit wrongdoing in agreeing to settle, the notice shows. The 360 Performance Savings accounts now yield 3.6%. The U.S. Consumer Financial Protection Bureau filed a similar lawsuit in January, before President Donald Trump took office, but dropped the case in late February as the White House ended most of the agency's enforcement activity. On Wednesday, New York Attorney General Letitia James sued Capit
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