TD Bank, N.A.
On August 20, 2020, the Bureau issued a consent order against TD Bank, N.A. regarding its marketing and sale of its optional overdraft service: Debit Card Advance (DCA). TD Bank is headquartered in Cherry Hill, New Jersey, and operates about 1,250 locations throughout much of the eastern part of the country. The Bureau found that TD Bank’s overdraft enrollment practices violated the Electronic Fund Transfer Act (EFTA) and Regulation E by charging consumers overdraft fees for ATM and one-time debit card transactions without obtaining their affirmative consent. The Bureau found that TD Bank violated the CFPA’s prohibition against deceptive acts or practices by making misleading representations to consumers regarding DCA while offering that service to consumers in person, over the phone, and through mailed solicitations. The Bureau also found that TD Bank violated the CFPA’s prohibition against abusive acts or practices by materially interfering with consumers’ ability to understand the terms and conditions of DCA. The Bureau also found that TD Bank engaged in practices prohibited by the Fair Credit Reporting Act (FCRA) and its implementing Regulation V. The order requires TD Bank to comply with the EFTA, FCRA, and CFPA, and orders TD Bank to pay an estimated $97 million in restitution to certain consumers TD Bank enrolled in its DCA service and pay a $25 million civil money penalty.