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Walmart, fintech partner accused of opening costly accounts without consent

Published 12/23/2024, 10:52 PM
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Investing.com -- Walmart (NYSE:WMT) Inc. and its financial technology partner, Branch Messenger Inc., have been accused by a U.S. consumer protection agency of opening expensive bank accounts for delivery drivers without their consent. The allegations were made on Monday by the Consumer Financial Protection Bureau (CFPB).

According to the CFPB, Walmart and Branch Messenger demanded that the delivery drivers receive their payments through these costly accounts. As a result of these allegations, the consumer protection agency has filed a lawsuit against both companies in the U.S. District Court for the District of Minnesota.

Rohit Chopra, Director of the CFPB, stated that Walmart allegedly made false promises, opened accounts illegally, and exploited over a million delivery drivers.

At the time of reporting, neither Walmart nor Branch Messenger has issued a response to the allegations or the request for comment.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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