Royal Bank of Canada has been fined $4.25 million by the federal Financial Consumer Agency of Canada (FCAC) for failing to provide certain customers with accurate credit card statements.
According to the FCAC, between 2001 and 2024, the bank provided monthly statements that contained inaccurate information in cases where cards were cancelled due to suspected fraud.
“RBC failed to transfer certain credits from the deactivated accounts to the new ones. As a result, impacted customers received inaccurate monthly credit card statements and some customers incurred additional charges,” the regulator said.
The bank has also already paid $22.4 million in refunds to the affected customers, the federal agency noted, adding that the penalty reflects the harm to customers, among other factors.
“The root cause of the violation was inadequate and ineffective control and oversight procedures and operational challenges with processes and proper reporting,” the FCAC said.