Capital One class action claims bank hid new savings account from existing customers

Capital One class action overview: 

• Who: Capital One faces a class action lawsuit over its 360 Savings accounts.
• Why: Capital One began offering a 360 Performance Savings account in 2019 to new customers at a significantly higher interest rate than 360 Savings customers.
• Where: The Capital One class action was filed in federal court in California.

Capital One faces a class action lawsuit claiming it began offering a new savings account with higher interest rates in September 2019 without informing its current customers.

The 360 Performance Savings accounts paid 1.9% interest, while the 360 Savings accounts paid $1.0% interest when they were launched, the class action says.

“By May 2023, the rate paid on the 360 Performance Savings account was 3.75%, whereas Capital One decreased the rate paid on the 360 Savings Account to only 0.30%,” the lawsuit alleges. “Currently, the rate paid on the 360 Performance Savings account is 4.35%, whereas the rate paid on the 360 Savings account has remained at 0.30%.”

Capital One allegedly financially gained by not informing current customers

Capital One never told customers it began offering the superior 360 Performance Savings account and that customers could receive a higher interest rate by simply transferring their savings to a new account, the class action says.

“Capital One strategically and deliberately attempted to conceal this new, higher-interest account from the 360 Savings account holders for its own financial gain, beginning with the highly similar name for the new account,” the class action claims.

Customers of Capital One and five other companies began to receive checks in late 2023 related to privacy breaches. Capital One agreed to pay $190 million to resolve claims it jeopardized 98 million customers’ information in a 2019 data breach.

Do you have a Capital One 360 Savings account? Let us know in the comments.

The plaintiff is represented by Jeffrey D. Kaliel and Sophia Goren Gold of Kaliel Gold PLLC and Scott Edelsberg of Edelsberg Law PA. 

The Capital One class action lawsuit is Sim v. Capital One Financial Corp., et al., Case No. 2:24-cv-01222, in the U.S. District Court for the Central District of California.

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