Bread Financial controversies
Controversies tied to this brand in public sources. A listing is not a finding of fault.
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2024
Credit-card pricing and late-fee controversy
Bread Financial's reliance on interest and late-fee income, particularly from higher-risk cardholders, drew attention after reporting that the company planned to increase its approximately 29.99% soft interest rate and add account fees ahead of a proposed Consumer Financial Protection Bureau reduction of the allowable late-payment fee from $41 to $8.
2021
Epsilon Data Management deferred prosecution agreement
The U.S. Department of Justice entered a deferred prosecution agreement with Epsilon Data Management and established a compensation fund for victims. The matter concerned the company's data-marketing activities and formed part of the legal history of the former Alliance Data subsidiary.
2011
Epsilon customer-email data breach
Epsilon failed to adequately protect its systems after receiving warnings about data security. In March 2011, email addresses associated with customers of at least 50 client companies were stolen. The incident was publicly disclosed and later examined by Congress. It raised concerns about phishing, data-broker practices, and the security responsibilities of large marketing-data providers.