FCAC announces an administrative monetary penalty paid by the Royal Bank of Canada
OTTAWA, ON, June 25, 2026 /CNW/ - The Financial Consumer Agency of Canada (FCAC) applied an administrative monetary penalty of $4.25 million on the Royal Bank of Canada (RBC) for a violation of consumer provisions in the Bank Act.
RBC failed to transfer credits from deactivated credit card accounts to customers' new accounts. As a result, these customers received inaccurate monthly credit card statements, and some customers incurred additional charges.
A total of 227,947 accounts were impacted financially, and RBC transferred and refunded more than $22.4 million. For the customers that could not be identified, preventing refunds to their accounts, RBC made a charitable donation of $299,000 instead.
The violation is described in Summary of Proceeding #5, published today.
Accurate disclosure is a foundational element of the consumer protection provisions of the Bank Act. For consumers to make informed financial decisions, they must be provided information that is accurate.
All federally regulated financial institutions are expected to review the findings of FCAC Decisions and Summaries of Proceedings and apply them to their own practices, as appropriate, in an effort to achieve the highest levels of compliance with protections for financial consumers.
Quick facts
- The role of the Financial Consumer Agency of Canada (FCAC) is to protect financial consumers by supervising the compliance of federally regulated entities, including banks, with their legislative obligations, codes of conduct and public commitments and by strengthening the financial literacy of Canadians.
- FCAC's Supervision Framework explains the tools that FCAC employs to conduct its supervision and enforcement work.
- When a regulated entity is deemed to have committed a violation FCAC publishes the nature of the violation, the name of the regulated entity that committed the violation and the amount of the penalty as required by the FCAC Act.
- FCAC's Adjudicative Process Guidelines describe the process for examining violations of legislative obligations, and non-compliance of codes of conduct and public commitments.
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SOURCE Financial Consumer Agency of Canada
Contacts: Media Relations, Financial Consumer Agency of Canada, 343-999-1450, [email protected]
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