The Financial Consumer Agency of Canada (FCAC) has levied a $4.25 million fine against Royal Bank of Canada (RBC) after the discovery that the bank issued inaccurate credit card statements to nearly 228,000 customers between 2021 and 2024. The penalty is one of the largest handed down by the regulator this year.
The matter arose when some customers received replacement credit cards after reporting fraud, and at the time, certain credits weren’t transferred over to the new accounts. In some cases, additional charges were incurred.
The bank has since refunded $22.4 million to impacted customers and made a $299,000 donation to charity on behalf of customers who were never located to make the matter right. The bank self-reported the issue to the regulator and cooperated with the investigation which found that the bank had inadequate operational controls and oversight.
“Accurate disclosure is a foundational element of the consumer protection provisions of the Bank Act,” the FCAC said in its decision. “For consumers to make informed financial decisions, they must be provided information that is accurate.”
