The Consumer Financial Protection Bureau hit JPMorgan Chase with a $4.6 million penalty for failures related to information it provides for checking account screening reports.
Under the current process, the bureau explained that banks screen potential customers based on reports about prior checking account behavior created by consumer reporting companies.
Banks, like JPMorgan Chase, that supply information for those reports are legally required to have proper processes in place for reporting accurate information.
The CFPB said Chase did not have these processes in place and kept consumers in the dark about the results of their reporting disputes and key aspects of their checking account application denials.
As a result, the bureau is ordering Chase to pay a $4.6 million penalty and implement necessary changes to its policies to prevent future legal violations.