Fri, September 20, 2024 at 17:57

• 

  Kang-hoon

  • Hello, Annie.

  • Today, I have some news about Bank of America preparing to hand out $14 million to customers due to a settlement over alleged hidden fees.

  • 
• Annie

  • Oh, really?

  • What kind of hidden fees are we talking about?🤔

  
• 

  Kang-hoon

  • The bank is accused of intentionally charging $15 fees on incoming wire transfers without the customers' consent.

  • 

  • This affected both checking and savings account holders.

• Annie

  • Wow, that sounds serious.

  • How long has this been going on?

  
• ADward

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• 

  Kang-hoon

  • The lawsuit covers fees charged between March 8th, 2019, and August 31st, 2023.

  • Both current and former customers are eligible for the settlement.

• Annie

  • So, do customers need to file a claim to get their money back?

  
• 

  Kang-hoon

  • No, customers do not need to file a claim.

  • Current customers will see a credit posted to their accounts, while former customers will receive a check in the mail.

• Annie

  • That's convenient.

  • How much is the total settlement amount?

  
• 

  Kang-hoon

  • The total settlement amounts to $21 million, with $14 million going to the customers and $7 million allocated for legal fees.

• Annie

  • When is the final approval for this settlement expected?

  
• 

  Kang-hoon

  • The final approval is expected at a hearing on October 21st.

  • Customers have until today, September 20th, to exclude themselves from the settlement if they wish to file a separate lawsuit.

• Annie

  • Interesting.

  • So, what do you think about this news?

  • Is it good or bad for the market?

  
• 

  Kang-hoon

  • I would say this is bad news.

  • While the settlement provides some relief to customers, it highlights unethical practices by a major bank, which could erode trust and potentially impact their stock negatively in the short term.

• Annie

  • That makes sense.

  • Thanks for the detailed explanation, Kang-hoon!😊

  
• 

  Kang-hoon

  • You're welcome, Annie.

  • Always happy to help.

  • Upon comprehensive consideration, this news is perceived as a 😱Bearish.