Goldman Hit With Probe Into Credit-Card Business by CFPB
- Investigation looking at refunds, advertising, credit reports
- Firm spent heavily on consumer unit, has yet to turn a profit
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Goldman Sachs Group Inc. is facing a probe into its nascent credit-card business, adding another headache for the Wall Street giant’s pursuit of the masses.
The Consumer Financial Protection Bureau is looking into the company’s credit-card practices, including how it resolves incorrect bills and processes refunds, Goldman said in a regulatory filing Thursday. The probe is also examining advertisements and how Goldman credits “nonconforming payments” and reports information to credit bureaus.