United States of America: Issued CFPB ruling in the investigation into Chime over alleged delaying of consumer refunds

On 7 May 2024, the Consumer Financial Protection Bureau (CFPB) issues a ruling following its investigation into Chime concerning alleged delays in issuing consumer refunds. The CFPB determined that Chime had failed to fulfil its obligation of issuing consumer refunds within the 14-day timeframe stipulated by its policy and, in some cases, failed to provide refunds to consumers within 90 days, resulting in consumers being unable to access their funds. Consequently, the CFPB mandated that Chime must align its practices with the law, including ensuring the provision of refund checks for closed accounts within a reasonable timeframe. Additionally, Chime has been directed to pay USD 1.3 million in restitution to affected consumers and USD 3.25 million in penalties.