| Green
Dot Predatory
Practice
Consent Order
Covered by
CommerceOne
Now Fed
Questions
by
Matthew Russell Lee, Patreon Book
Substack
SOUTH
BRONX/SDNY,
May 7 – Green
Dot Bank, the
subject of
extensive
consumer
complaints,
proposes to
split itself
with its bank
going with CommerceOne
and its
fintech
business to
(related)
Smith
Ventures.
Fair Finance
Watch has
filed
opposition to
the Federal
Reserve.
"This is
early opposition to the
application of Compass Sub
Northwest, Inc., Birmingham,
Alabama "and others" to become
a bank holding company by
acquiring Green Dot
Corporation, and thereby
indirectly acquiring Green Dot
Bank, both of Provo, Utah "and
more." That is how it is
described on the FRB's
website.
Perhaps the "and others" as
with the "and more" refers to
Smith Ventures. "Bill Smith,
CEO of Smith Ventures [is[ a
founding member of CommerceOne
Financial’s board." So Smith
Ventures is a party in
interest and should be
reviewed.
For the record, CommerceOne is
a HMDA reporter - and lending
only to whites, not to any
African American...
For
the record, now the Fed is
being asked to approve an
acquisition of an
institution that is
currently operating under a
Federal Reserve consent
order.
An analysis
of CFPB complaint data found
that Green Dot had at least
1,580 complaints across its
products — a volume that would
place it among the top 2% of
companies most complained
about, if the complaints were
fully visible on the public
portal. Green Dot customers
reported having money stolen
from accounts, unauthorized
charges, and difficulty
resolving disputes. Some
consumers reported that when
they disputed transactions,
Green Dot froze their
accounts, cutting them off
from funds deposited to cover
vital expenses.
There are extensive consumer
complaints against the
applicant(s) here; the FRB has
taken the problematic position
that even the CFPB complaint
database is not "substantive."
FFW objects, and requests a
hearing.
Ten days later,
Sullivan & Cromwell
submitted an entirely
dismissive response, to which
FFW immediately replied, with
2025 HMDA data and more -
including S&C being
slammed for misusing AI in
court.
And on May 7, the
Fed asked CommerceOne /
Compass Sub North questions,
including "Describe specific
actions New CommerceOne would
take to strengthen and enhance
Green Dot Bank’s complaints
management program and to
reduce the number of customer
complaints the bank receives.
Describe any new systems,
additional staffing, and new
operations New CommerceOne
would implement at Green Dot
Bank to strengthen and enhance
its complaints management
program. 6. Provide a detailed
timeline New CommerceOne would
expect Green Dot Bank to
address each of the corrective
actions of the Consent Order
after the acquisition"
and saying, "Please provide a
copy of the public portion of
your response to the
commenter, Mr. Matthew Lee."
Watch this site.
Watch this
site.
***
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