CFPB, Comerica End Dueling Suits Over Government Benefits Cards

The Consumer Financial Protection Bureau and a Comerica Inc. unit voluntarily dismissed dueling lawsuits over the bank’s management of a federal benefits card program, in the latest pullback of Biden-era enforcement.

The CFPB is dropping its case alleging Comerica Bank charged improper fees and provided poor customer service on its Direct Express federal benefits card, the agency said in a notice filed Friday in the US District Court for the Northern District of Texas.

But unlike other recent instances where the CFPB dropped lawsuits started under former Director Rohit Chopra, the agency dismissed its case against Comerica without prejudice, meaning ...