The Consumer Financial Protection Bureau (CFPB) sued Capital One, accusing the bank of misleading customers about its savings account interest rates and cheating them out of over $2 billion in interest. The CFPB claims Capital One misrepresented its “360 Savings” account by blending it with its higher-yield option, the “360 Performance Savings” account. The bank allegedly failed to inform 360 Savings account holders about the newer, higher-interest account and marketed the two similarly to create the impression they were the same.

The interest rates for the accounts were significantly different. The 360 Performance Savings rate rose from 0.4% in April 2022 to 4.35% in January 2024, while the 360 Savings rate remained at 0.3% from late 2019 through mid-2024. Despite its lower rate, the 360 Savings account was advertised as a high-interest option. The CFPB claims Capital One intentionally obscured the better savings option by removing references to it from its website, excluding account holders from marketing campaigns, and forbidding employees from informing them about the higher-yield account.

Capital One denied the accusations, defending its marketing of the 360 Performance Savings account and pledging to fight the lawsuit in court.