On Monday, the CFPB announced that it had sued Walmart and Branch Messenger for practices with respect to its “last-mile” delivery drivers. The suit alleges that Walmart and Branch opened Branch accounts for drivers, and Walmart then deposited drivers’ pay into these accounts, without the drivers’ consent. The suit also alleges Walmart told the drivers that they were required to use Branch to get paid and that they would terminate workers who did not want to use these accounts.
The complaint, filed in the District of Minnesota, alleges these practices violated the Consumer Financial Protection Act, the Truth in Savings Act, and the Electronic Fund Transfer Act.
