Cases & Investigations
Capital One, N.A. and Capital One Financial Corp.

Wolf Popper LLP serves as counsel for Plaintiffs and the Putative Classes of Capital One 360 Savings accountholders.  Plaintiffs filed suit in Federal District Court for the Eastern District of Virginia against Capital One, N.A. and Capital One Financial Corporation (together, “Capital One”), alleging breach of contract, violations of consumer protection statutes, unjust enrichment, and promissory estoppel.  Capital One failed to disclose to its 360 Savings accountholders that it would no longer pay them a “high interest” rate on their savings because Capital One had furtively and unfairly introduced a new online savings account that paid a substantially higher rate. Since 2013, Capital One has maintained 360 Savings, an online savings account that Capital One positioned as a savings account that would pay consumers higher interest rates than traditional brick-and-mortar banks.  In September 2019, as interest rates because rising, Capital One surreptitiously began offering a different online savings account, the similarly-named 360 Performance Savings account.  The new account was exactly the same as the old 360 Savings account except for two differences: one word in its name and the interest rate.  The interest rate paid on the 360 Performance Savings account has always been higher than the legacy 360 Savings account.  As of December 2023, the interest rate paid on the 360 Performance Savings account was 4.30% while the rate associated with the legacy 360 Savings account has stood at 0.30% since December 2020.  Since Capital One did nothing to advise its legacy accountholders that they would have to switch to the new account to earn a competitive interest rate, 360 Savings accountholders across the country have lost out on interest payments Capital One should have paid them.
 
A duty of good faith and fair dealing is implied into Capital One’s contract with its accountholders.  Capital One breached that duty when it failed to increase the interest rate paid to 360 Savings accountholders and instead began offering a different online savings account to new customers that actually paid a high interest rate.  Plaintiffs from Pennsylvania, Massachusetts and Illinois represent the proposed classes, each of whom was underpaid interest on their savings deposits: Scott Savett was underpaid approximately $200, Sherly Barnes was underpaid approximately $8,000, and Samuel Hans was underpaid $1,000.  Plaintiffs and 360 Savings accountholders were entitled to interest rates determined by Capital One’s exercise of honest and good faith discretion.
 
In September 2023, Plaintiffs filed a Second Amended Class Action Complaint, asserting breach of contract; violations of the consumer protections statutes of Virginia, Massachusetts, Pennsylvania and Illinois; and claims for unjust enrichment and promissory estoppel.  Plaintiffs seek monetary damages, injunctive and/or other equitable relief, declaratory relief, restitution and/or disgorgement of profits.  Capital One filed a motion to dismiss in November 2023; the Court’s decision is expected in 2024. 
 
Capital One 360 Savings accountholders who lost interest payments and who would like to discuss the investigation should contact Philip Black at (212) 451-9628 or pblack@wolfpopper.com or Timothy Brennan at (212) 451-9616 or tbrennan@wolfpopper.com.
 
Wolf Popper has successfully recovered millions of dollars for defrauded consumers.  Wolf Popper’s reputation and expertise have been repeatedly recognized by the courts, which have appointed the firm to major positions in securities litigation.  For more information about Wolf Popper, please visit the Firm’s website at www.wolfpopper.com.
 
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• Phone: Chet Waldman – (212) 451-9624
• Phone: Philip Black – (212) 451-9628
• Phone: Timothy Brennan – (212) 451-9616
• Email: Outreach@wolfpopper.com