Fifth Third Bank Fined $20M for Illegal Auto Insurance and Fake Accounts

CFPB investigation reveals fraudulent practices leading to 1,000 car repossessions and unauthorized accounts affecting 35,000 customers.

Fifth Third Bank charged customers for unnecessary auto insurance, resulting in over $12.7 million in illegal fees.
More than 1,000 vehicles were repossessed due to the bank's fraudulent insurance charges.
The bank also opened fake accounts for approximately 35,000 customers to meet sales goals.
Fifth Third must pay $15 million for the fake accounts and $5 million for the auto insurance violations.
The bank has agreed to compensate affected customers and end incentivized sales goals.