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After a year of anticipation and waiting, the nation’s most popular holiday is coming up. That’s right, it’s almost Tax Day, and, on April 18, consumers from across the country will barely be able to contain their excitement to file.
Okay, so maybe not everyone is over the moon about Tax Day this year, but money has been on consumers’ minds a lot lately — and not just because of the rapidly approaching tax filing deadline.
Class action lawsuits involving money made headlines last month, with claims revolving around accusations of misleading and false statements and erroneous reporting of loan defaults, among other things.
Companies also made class action settlements last month to resolve money-related claims, including an agreement totaling $3.5 million in settlement funds and another with a payout of $9.9 million.
As a friendly reminder, while Top Class Actions is here to inform, this article should not be taken as tax advice. Consumers with questions about their personal finances should contact a tax professional.
Negligence to blame for PayPal data breach, customers claim
Last month, a pair of PayPal customers claimed the e-commerce company allowed sensitive private data belonging to themselves and tens of thousands of other users to be exposed during a December 2022 data breach.
But is PayPal really to blame? That answer may be yes, at least according to the customers, who accused the payment platform of negligence by allegedly failing to properly safeguard their private data.
PayPal ultimately disclosed the data breach in January, notifying users that nearly 35,000 of its customers had their private information exposed during the data breach.
Read more about the PayPal data breach class action here.
Credit Suisse spun web of lies to shareholders about financial prospects, class action says
Have you ever been lied to or misled? Feeling like you have been fed a spoonful of lies can be hard to swallow, and, in the case of this consumer, led to claims Credit Suisse Group AG was less than upfront with its shareholders this past year.
The consumer also named five current and former Credit Suisse executives in the complaint, all of whom now face claims they failed to disclose the alleged truth about the investment banking company’s financial prospects.
“Defendants’ statements about its business, operations and prospects, were materially false and misleading and/or lacked a reasonable basis at all times,” the Credit Suisse class action states.
Click here to read more about the claims Credit Suisse misled shareholders.
Dude, where’s my loan? Bank of America accused of erroneously reporting defaults
Obtaining a loan can be a stressful experience, and, according to this next consumer, Bank of America committed violations they argue made getting one even harder.
The problem, according to the consumer, is Bank of America erroneously reported loan defaults to credit report agencies while the loans were in Coronavirus Aid, Relief, and Economic Security (CARES) Act forbearance.
“Under the CARES Act, if a creditor or servicer extends a forbearance on a loan which is current, it must report to credit reporting companies that the borrower is current,” the Bank of America class action states.
Bank of America is not only accused of hurting its customers’ ability to obtain credit from other lenders through its alleged misconduct but also of violating the Fair Credit Reporting Act.
Want to read more about the Bank of America class action? Click here.
Robinhood agrees to pay $9.9M for money lost during March 2020 power outage
Stock trading and investing platform Robinhood decided last month that it was done fighting allegations claiming it was responsible for money its account holders lost during a power outage in March 2020.
Robinhood agreed to pay $9.9 million to resolve the claims yet maintains that it did nothing wrong.
Individuals who want to be excluded or object to the class action settlement have until May 1 to opt out.
Read more about Robinhood’s class action settlement here.
GAW Miners, ZenMiner agree to pay $3.5M to end claims they misled investors on profit potential
In another March class action settlement, GAW Miners and ZenMiner agreed to pay $3.5 million to put to bed claims the companies misled their investors about the profits they could glean from their virtual currency mining operations.
Investors argued they had been misled by the cryptocurrency mining companies about how much they would profit and that they ultimately received much smaller returns than they were owed.
GAW Miners, whose founder Homero Joshua Garza was sentenced to prison in 2018 for his role in an alleged crypto Ponzi scheme, and ZenMiner did not admit to any wrongdoing, per the settlement agreement.
Read more about the class action settlement here.
Funding for CFPB constitutional, 2nd Circuit decides in 3-0 vote
The 2nd Circuit Court of Appeals sided with the Consumer FInancial Protection Bureau (CFPB) earlier this month, unanimously voting that the agency’s funding arrangement does not violate the constitution.
A debt collection firm, the Law Offices of Crystal Moroney PC, was ultimately unsuccessful in its argument that the funding for the CFPB was unconstitutional since it is funded by the Federal Reserve rather than with annual spending bills.
The decision put the 2nd Circuit at odds with a ruling by the 5th Circuit last year that the CFPB’s funding arrangement violated the Constitution’s Appropriation Clause.
Click here to read more about the 2nd Circuit’s decision.
Were you impacted by one of the money-related class action lawsuits or settlements listed above? Let us know in the comments!
Don’t Miss Out!
Check out our list of Class Action Lawsuits and Class Action Settlements you may qualify to join!
Read About More Class Action Lawsuits & Class Action Settlements:
- TMX Finance faces four class actions over data breach that affects 4.8M customers
- Binance lawsuit claims company offered unregistered crypto, avoided regulation
- Court rules CFPB funding constitutional, upholds enforcement demand against debt collector
- Bank of America class action claims company improperly handled CARES Act forbearances
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