London-based Wise misled U.S. customers with inaccurate fee advertisements and failed to properly disclose exchange rates, according to the Consumer Financial Protection Bureau (CFPB).

The regulator found that Wise falsely promoted perks like lower ATM fees and free withdrawals, leading customers to believe they applied in the U.S. when they did not. The firm also failed to disclose accurate fees for prepaid accounts funded through Apple Pay and Google Pay, did not properly detail exchange rates, and neglected to refund fees when funds were unavailable by the promised date. As a result, Wise has been ordered to pay $450,000 in customer reimbursements and $2.025 million to the CFPB’s victims relief fund. CFPB Director Rohit Chopra stated that by misleading consumers, Wise gained an unfair advantage in the remittance market, emphasizing that financial firms must adhere to transparency laws.

Wise defended its actions, stating that it cooperated fully with the CFPB and resolved most issues by late 2022. A company spokesperson argued that some concerns were technical, such as wording adjustments and displaying exchange rates to four decimal places instead of six. While Wise disagreed with the CFPB’s characterization of its practices, it reached a settlement on January 30, 2025, to close the matter and continue focusing on cost savings for customers. The company claimed that in 2024 alone, it saved its nearly 13 million customers around $2.2 billion compared to traditional banks. Wise also highlighted its investment in compliance, strengthening U.S. teams and enhancing internal processes to ensure transparency and regulatory adherence moving forward.