Cabela’s to pay almost $10.4M in FDIC settlement (AP)
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SIDNEY, Neb. – Outdoor retailer Cabela’s has concurred to pay almost $10.4 million and reform its credit card practices as part of a settlement with federal regulators.
The Federal Deposit Insurance Corporation announced the agreement with Cabela’s Worlds Foremost Bank unit on Tuesday. Cabela’s will pay $10.1 million in restitution and pay a $250,000 fine. But the company, based in Sidney, Nebraska, did not admit wrongdoing.
The settlement is more than the $8 million Cabela’s officials estimated last month but still less than their initial estimated liability of $18 million.
Cabela’s concurred to eliminate improper fees it charged some customers for late payments and exceeding credit limits. It will also change the way it handles penalty interest rates, collection practices and notices to customers.
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Online:
www.fdic.gov
www.cabelas.com
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