Summary of proceeding #5

On April 17, 2026, the Royal Bank of Canada (RBC) paid the penalty of $4.25M in the Notice of Violation issued by the Financial Consumer Agency of Canada (FCAC) on March 18, 2026. RBC committed one violation of its disclosure obligations under the Bank Act relating to monthly credit card statements.  From 2001 to 2024, RBC provided monthly credit card statements to some customers that contained inaccurate information on the amounts credited or charged, including interest, and on the dates when those amounts were posted to the accounts.

The violation relates to RBC’s process of deactivating and migrating a customer’s credit card account to a new credit card account when fraud has been reported. RBC failed to transfer certain credits from the deactivated accounts to the new ones. As a result, impacted customers received inaccurate monthly credit card statements and some customers incurred additional charges.

The root cause of the violation was inadequate and ineffective control and oversight procedures and operational challenges with processes and proper reporting. A total of 227,947 accounts were impacted financially. RBC transferred and refunded $22,427,774.30. RBC made a charitable donation of $299,000 for the customers that could not be located. The $4.25M penalty reflects, among other criteria, the significant harm to customers.