Walmart illegally opened bank accounts for over 1 million drivers, CFPB alleges

CNN Business12-24

New York CNN — The Consumer Financial Protection Bureau sued Walmart and fintech company Branch Messenger for allegedly forcing more than a million delivery workers to use...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2493099748?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2024-12-24 06:11","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2493099748","market":"us","top_or_hot":-1,"title":"Walmart illegally opened bank accounts for over 1 million drivers, CFPB alleges","media":"CNN Business","content":"<div>\n<p>New York\nCNN\n         — \n    \n\n\n            The Consumer Financial Protection Bureau sued Walmart and fintech company Branch Messenger for allegedly forcing more than a million delivery workers to use...</p>\n\n<a href=\"https://edition.cnn.com/2024/12/23/business/walmart-branch-cfpb-lawsuit/index.html\">Source Link</a>\n\n</div>\n","source":"cnn_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Walmart illegally opened bank accounts for over 1 million drivers, CFPB alleges</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWalmart illegally opened bank accounts for over 1 million drivers, CFPB alleges\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-12-24 06:11 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://edition.cnn.com/2024/12/23/business/walmart-branch-cfpb-lawsuit/index.html><strong>CNN Business</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>New York\nCNN\n         — \n    \n\n\n            The Consumer Financial Protection Bureau sued Walmart and fintech company Branch Messenger for allegedly forcing more than a million delivery workers to use...</p>\n\n<a href=\"https://edition.cnn.com/2024/12/23/business/walmart-branch-cfpb-lawsuit/index.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU1366192091.USD","symbol_name":"ALLIANZ US EQUITY PLUS \"AM\" (USD) INC","start_time":0,"source_url":"https://edition.cnn.com/2024/12/23/business/walmart-branch-cfpb-lawsuit/index.html","article_id":"2493099748","we_media_id":null,"thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2493099748","pubTimestamp":1734991863,"columns":[],"sourceInfo":{"source_id":"cnn_highlight","name":"CNN Business"},"weMediaInfo":null,"summary":"The Consumer Financial Protection Bureau sued Walmart and fintech company Branch Messenger for allegedly forcing more than a million delivery workers to use expensive deposit accounts to access their paychecks, the agency announced Monday.The companies opened deposit accounts for Walmart’s drivers with their personal information, such as Social Security numbers, without authorization, according to the agency’s complaint. Walmart’s Spark Drivers, who the company classes as independent contractors who bring packages from the company’s warehouses to customers’ doorsteps, could only have their pay deposited into the Branch accounts, the complaint says. Since 2021, Walmart told workers that they could lose their jobs for not using the accounts, according to the lawsuit.The lawsuit joins the growing chorus for more protections and official classifications for gig workers, who have freelance jobs through apps like Uber, Lyft and Doordash. Earlier this month, the CFPB under the Biden administr","collect":0,"end_time":0,"defaultTopTitle":"cnn.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU1366192091.USD":"ALLIANZ US EQUITY PLUS \"AM\" (USD) INC","LU2430703178.SGD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4H\" (SGDHDG) INC","LU2360032135.SGD":"ALLSPRING GLOBAL EQUITY ENHANCED INCOME \"A\" (SGDHDG) INC","LU1988902786.USD":"FULLERTON LUX FUNDS GLOBAL ABSOLUTE ALPHA \"I\" (USD) ACC","BK4533":"AQR资本管理(全球第二大对冲基金)","LU2461242641.AUD":"WELLINGTON US QUALITY GROWTH \"A\" (AUDHDG) ACC","LU2430703251.USD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4\" (USD) INC","LU2430703095.HKD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4\" (HKD) INC","LU0640476718.USD":"THREADNEEDLE (LUX) US CONTRARIAN CORE EQ \"AU\" (USD) ACC","LU1280957306.USD":"THREADNEEDLE (LUX) US CONTRARIAN CORE EQUITIES \"AUP\" (USD) INC","LU2592432038.USD":"WELLINGTON MULTI-ASSET HIGH INCOME \"A\" (USD) ACC","BK4550":"红杉资本持仓","BK4588":"碎股","LU2125154935.USD":"ALLSPRING (LUX) WF GLOBAL EQUITY ENHANCED INCOME \"I\" (USD) INC","LU0310799852.SGD":"FTIF - Templeton Global Equity Income A MDIS SGD","LU2264538146.SGD":"Fullerton Lux Funds - Global Absolute Alpha A Acc SGD","LU2361044949.HKD":"WELLINGTON US QUALITY GROWTH \"A\" (HKD) ACC","LU0314104364.USD":"MANULIFE GF AMERICAN GROWTH \"AA\" (USD) INC","LU0175139822.USD":"AB FCP I Global Equity Blend A USD","LU1066051498.USD":"HSBC GIF GLOBAL EQUITY VOLATILITY FOCUSED \"AM2\" (USD) INC","LU2361044865.SGD":"WELLINGTON US QUALITY GROWTH \"A\" (SGDHDG) ACC","BK4155":"大卖场与超市","LU1430594728.SGD":"Eastspring Investments - Global Low Volatility Equity AS SGD","LU2505996681.GBP":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4H\" (GBPHDG) INC","LU1814569148.SGD":"WELLINGTON GLOBAL QUALITY GROWTH \"D\" (SGDHDG) ACC","BK4581":"高盛持仓","WMT":"沃尔玛","BK4504":"桥水持仓","BK4596":"哈里斯概念","LU0289960550.SGD":"AB FCP I - GLOBAL EQUITY BLEND PORTFOLIO 'A' (SGD) ACC","LU2361045086.USD":"WELLINGTON US QUALITY GROWTH \"A\" (USD) ACC","LU2505996509.AUD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4H\" (AUDHDG) INC","IE000M9KFDE8.USD":"NEUBERGER BERMAN US LARGE CAP VALUE \"A\" (USD) ACC","LU1064131342.USD":"Fullerton Lux Funds - Global Absolute Alpha A Acc USD","IE0034235188.USD":"PINEBRIDGE GLOBAL FOCUS EQUITY \"A\" (USD) ACC","LU1267930490.SGD":"TEMPLETON GLOBAL EQUITY INCOME \"AS\" (SGD) INC A","LU0149725797.USD":"汇丰美国股市经济规模基金","LU1035773651.USD":"AB SICAV I - GLOBAL VALUE PORTFOLIO \"AD\" (USD) INC","BK4534":"瑞士信贷持仓","LU1066051225.USD":"HSBC GIF GLOBAL EQUITY VOLATILITY FOCUSED \"AC\" (USD) ACC","LU1585245621.USD":"EASTSPRING INV GLOBAL LOW VOLATILITY EQUITY FUND \"A\" (USD) ACC B","BK4597":"股息贵族","BK4532":"文艺复兴科技持仓","LU1069347547.HKD":"AB SICAV I - GLOBAL VALUE PORTFOLIO \"AD\" (HKD) INC","LU0211328371.USD":"TEMPLETON GLOBAL EQUITY INCOME \"A\" (MDIS) (USD)   INC","LU0417517546.SGD":"Allianz US Equity Cl AT Acc SGD","LU0265550359.USD":"BGF SYSTEMATIC GLOBAL ENHANCED EQUITY YIELD \"A2\" (USD) ACC","LU1066051811.HKD":"HSBC GIF GLOBAL EQUITY VOLATILITY FOCUSED \"AM2\" (HKD) INC","BK4585":"ETF&股票定投概念","LU0265550946.USD":"BGF SYSTEMATIC GLOBAL ENHANCED EQUITY YIELD \"A5\" (USD) INC"},"translate_title":"CFPB指控沃尔玛为超过100万司机非法开设银行账户","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"WMT":1},"content_text":"New York\nCNN\n         — \n    \n\n\n            The Consumer Financial Protection Bureau sued Walmart and fintech company Branch Messenger for allegedly forcing more than a million delivery workers to use expensive deposit accounts to access their paychecks, the agency announced Monday.\n    \n\n            The companies opened deposit accounts for Walmart’s drivers with their personal information, such as Social Security numbers, without authorization, according to the agency’s complaint. Walmart’s Spark Drivers, who the company classes as independent contractors who bring packages from the company’s warehouses to customers’ doorsteps, could only have their pay deposited into the Branch accounts, the complaint says. Since 2021, Walmart told workers that they could lose their jobs for not using the accounts, according to the lawsuit.\n    \n\n            Accessing their earnings took a “complex process” that sometimes led to “weekslong” delays, the lawsuit said, despite assurances they would have instant access to their pay.\n    \n\n            And drivers paid a combined total of $10 million in “junk fees” to transfer those wages into other bank accounts, CFPB alleges.\n    \n\n            “Companies cannot force workers into getting paid through accounts that drain their earnings with junk fees,” CFPB Director Rohit Chopra said in a statement.\n    \n\n            The lawsuit described the typical Spark Driver as “a woman, has children, does not have a college degree, and is low income.”\n    \n\n            Walmart denied CFPB’s claims and said it would defend itself in court.\n    \n\n            “The CFPB’s rushed lawsuit is riddled with factual errors and contains exaggerations and blatant misstatements of settled principles of law,” the company said in a statement Monday. “The CFPB never allowed Walmart a fair opportunity to present its case during their rushed investigation. We look forward to vigorously defending the Company before a court that, unlike the CFPB, honors the due process of law.”\n    \n\n            Additionally, CFPB accused Branch of misleading advertising and failure to investigate and resolve errors, among other allegations. Branch also denied the claims in the lawsuit and said it provides “quick and easy access to funds.”\n    \n\n            “Despite the company’s extensive cooperation with its investigation, the CFPB refused to engage with Branch in any meaningful way about this matter, instead rushing to file a lawsuit,” the company said in a statement Monday, claiming that the lawsuit is more about “media attention” and “has nothing to do with the law or protecting workers.”\n    \n\n            The lawsuit joins the growing chorus for more protections and official classifications for gig workers, who have freelance jobs through apps like Uber, Lyft and Doordash. Earlier this month, the CFPB under the Biden administration sued JPMorgan Chase, Bank of America and Wells Fargo for allegedly failing to prevent fraud on money-sending app Zelle.\n    \n\n            President-elect Donald Trump is expected to choose a new CFPB director. It’s unclear what that means for this case, but “much will depend upon whom Trump picks as CFPB director,” Jaret Seiberg, financial services policy analyst at TD Cowen Washington Research Group, told CNN previously in an email.\n    \n\nCNN’s Jeanne Sahadi contributed to this report.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"-2","news_tag":"policyRegulatory","news_rank":0,"symbols":[],"gpt_button":0},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.4","shortVersion":"4.29.4","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2493099748"}