Consumers taking out home equity lines of credit at Bank of America were enrolled in payment insurance plans without their consent, adding unwanted fees to their borrowing costs, a proposed class action is charging. Removed last week to South Carolina federal court from the Spartanburg County court of common pleas, the lawsuit claims the bank violated the U.S. Truth in Lending Act by unilaterally enrolling customers in borrowers’ insurance plans after telling them that the coverage required their consent. To read the full story on WestlawNext Practitioner Insights, click here: bit.ly/1R9TbZ4
Bank of America is facing a class action accusing it of having enrolled consumers in payment insurance plans without their consent, and having charged then unwanted fees to their borrowing costs. Through this practice, the class action seeks to show that the bank violated the US Truth in Lending Act. The case was moved last week to the South Carolina federal court, from a county court.