Violation Tracker Individual Record

Company: 
Discover Bank
Current Parent Company: 
Discover Financial Services
Penalty: 
$214,000,000
Year: 
2012
Date: 
September 24, 2012
Primary Offense: 
consumer protection violation
Secondary Offense: 
credit card violation
Violation Description: 

The Consumer Financial Protection Bureau and the Federal Deposit Insurance Corporation announced a joint public enforcement action with an order requiring Discover Bank to refund approximately $200 million to more than 3.5 million consumers and pay a $14 million civil money penalty. The joint investigation concerned deceptive telemarketing and sales tactics used by Discover to mislead consumers into paying for various credit card "add-on products" -- payment protection, credit score tracking, identity theft protection, and wallet protection.

Level of Government: 
federal
Action Type: 
agency action
Agency: 
Consumer Financial Protection Bureau
Civil or Criminal Case: 
civil
HQ Country of Parent: 
USA
HQ State of Parent: 
Illinois
Ownership Structure of Parent: 
publicly traded
Major Industry of Parent: 
financial services
Specific Industry of Parent: 
financial services
Source Notes: 
If an online information source is not working, check the Violation Tracker Data Sources page for an updated link.
Parent company note: 
Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.