The financial institution, the second largest U.S. credit-card lender, reached a $783 million accord with regulators who said the firm deceptively sold debt cancellation and identity theft-protection products to millions of consumers, Bloomberg reports.
The deal with agencies, including the Consumer Financial Protection Bureau, calls for $738 million in refunds and $45 million in penalties, the bank said.
The accord will have little impact on first quarter results because the company has been reimbursing customers for the past two years, according to a Bloomberg source.
TheStreet Ratings team rates BANK OF AMERICA CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate BANK OF AMERICA CORP (BAC) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth, compelling growth in net income, expanding profit margins and good cash flow from operations. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results."