WASHINGTON, D.C. — The Consumer Financial Protection Bureau (CFPB) has officially amended its January 30, 2025 consent order with international remittance company Wise, resolving ongoing claims that included advertising inaccurate fees and failing to properly disclose exchange rates and other associated costs. Wise, a major global electronic money services provider, allows customers to send, receive, and store remittances through a mobile app, prepaid accounts, and debit cards. The CFPB initially initiated an administrative action after finding that the company misled customers in the United States regarding its ATM fees and failed to properly disclose other mandatory transaction fees. Furthermore, the regulatory investigation revealed that when customers sent money that ultimately failed to arrive on time, Wise neglected to refund the required remittance fees within the strict timeframes mandated by federal law.
Wise PLC, traded publicly on the London Stock Exchange under the ticker symbol WISE, is a prominent international electronic money services provider headquartered in the United Kingdom. It conducts its business operations across the United States through its wholly owned subsidiary, Wise US. Operating as a nonbank remittance transfer provider headquartered in New York and incorporated in Delaware, Wise US offers and provides consumers with vital international money transfer services—commonly known as remittance transfers—across 48 states, the District of Columbia, Guam, the U.S. Virgin Islands, and Puerto Rico. According to operational data, Wise US maintains a substantial footprint in the American market, serving more than three million customers throughout the country.
Unlike traditional financial institutions with extensive brick-and-mortar networks, Wise operates entirely digitally within the United States. The company does not maintain any physical storefronts in the U.S., choosing instead to rely on a modern mobile application, alongside its proprietary prepaid and debit cards. Wise currently offers U.S. consumers two primary product categories: Send Money, which encompasses its app-based remittance transfers, and the Wise Account, which functions as a prepaid account product. To facilitate these transactions, Wise maintains accounts with U.S. financial institutions, enabling the company to process transfers seamlessly by moving funds from the United States to foreign countries and vice versa. Additionally, Wise facilitates transfers initiated by U.S. customers that occur entirely outside of the United States. Through its prepaid card offerings, customers are empowered to store and send money in a multitude of different currencies, while a companion debit card allows users to conveniently spend the money stored within their prepaid accounts.
The Consumer Financial Protection Act grants the CFPB broad statutory authority to take decisive enforcement action against financial institutions that violate federal consumer financial protection laws, including entities that engage in unfair, deceptive, or abusive acts or practices. Beyond these general powers, the CFPB also holds explicit authority to enforce the Electronic Fund Transfer Act and its accompanying implementing regulations, specifically Regulation E, which incorporates the Prepaid Rule and the Remittance Transfer Rule. Under these regulatory frameworks, the Bureau’s original January 30, 2025 Consent Order required Wise to correct its operational and disclosure practices.
Following further administrative and legal alignment, the May 15, 2025 Amended Consent Order formally supersedes the January 30, 2025 Consent Order. This updated regulatory document mandates that Wise must fully redress the financial harm inflicted upon consumers and pay a revised civil money penalty of approximately $45,000 in accordance with relevant statutory provisions. The terms of the Amended Consent Order carefully align the civil penalty with the applicable provisions of the Consumer Financial Protection Act, specifically referencing 12 U.S.C. Section 5565(a)(2)(H) and (c)(4). In addition, the revised order takes into account relevant legal precedents regarding the specific conduct and corporate cooperation at issue, the directives outlined in Executive Order 14219 issued on February 19, 2025, and the Bureau’s formal rescission of certain prior regulatory guidance. This includes the withdrawal of Consumer Financial Protection Circular 2024-02, which previously addressed deceptive marketing practices concerning the speed or cost of sending a remittance transfer, as published in the Federal Register at 89 FR 27357 on April 17, 2024.
Additional details and the complete text of the regulatory action can be found by reviewing the official Amended Consent Order available through the CFPB’s enforcement portal.
