General Electric’s retail credit card unit has reached a $225 million settlement to end a pair of federal probes into allegedly discriminatory lending practices.
GE Capital Retail Bank, now known as Synchrony Bank, settled an investigation by the U.S. Department of Justice by agreeing to pay $169 million in relief to roughly 108,000 Hispanic borrowers who were excluded from two of the company’s credit card debt-repayment programs. (The DOJ said the unit has already paid all but $37 million of that part of the settlement.) GE Capital will also pay $56 million to another 636,000 customers to settle Consumer Financial Protection Bureau allegations that the company deceived those consumers into paying for add-on credit card products they had not intended to purchase.
Together, the agreements add up to make this the largest-ever credit card discrimination settlement, according to the DOJ.
“The blatant discrimination that occurred here is unlawful and will not be…
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