Wise to Pay $2.5 Million in CFPB Remittance Fee Settlement

Global cross-border payments company Wise Plc agreed to a $2.5 million settlement with the Consumer Financial Protection Bureau for advertising incorrect fees and failing to properly disclose exchange rates and other costs.

Wise also didn’t reimburse customers whose remittance payments didn’t arrive with their intended recipients within the legally mandated time frame, and the company failed to fully disclose ATM and other fees linked to debit cards the company offered, the CFPB said in a Thursday consent order.

Wise violated the CFPB’s remittance and prepaid card rules, the agency said. At least 16,000 Wise customers were overcharged due ...