(CBS NEWS) GE Capital Retail bank must refund hundreds of millions of dollars to customers harmed by what federal authorities said were the financial firm's "illegal and discriminatory" credit card practices.
The company, now called Synchrony Bank, will have to pay roughly $225 million under a legal settlement with the U.S. Justice Department and Consumer Financial Protection Bureau. Of that amount, $169 million will go to some 108,000 Hispanic borrowers who the agencies said were denied debt relief because of their national origin. Another $56 million will be refunded to 638,000 consumers allegedly subjected to deceptive marketing claims.
In announcing the agreement on Thursday, government officials said it represents the largest federal settlement for of credit card discrimination charges.
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