On October 11, 2023, the CFPB issued an advisory opinion regarding a provision enacted by Congress which generally prohibits large banks and credit unions from imposing unreasonable obstacles on customers, such as charging excessive fees, for basic information about their own accounts. The advisory opinion clarifies that people are entitled to get the basic information they need without having to pay junk fees.
The Consumer Financial Protection Act Section 1034(c) requires large banks and credit unions – those with more than $10 billion in assets – to provide account information that is in their control or possession, when it is requested by customers. According to the CFPB, charging fees to respond to those requests impede customers from obtaining the essential information they are entitled to under federal law. From its market monitoring and the public’s comments about large banks’ customer service, the CFPB is aware that some large banks charge customers for basic information that is critical to fix problems with their bank account or to manage their finances.
The CFPB’s guidance explains how it will administer the legal requirement for large banks when it comes to customer service, including how it will evaluate fees imposed on customers for making reasonable requests, such as seeking original account agreements or information about recurring withdrawals from an account.
Read the CFPB’s press release here.
The advisory opinion can be found here.