2022-07-22 | NYSE:DFS | Press release
The law firm of Kirby McInerney LLP investigating potential claims against Discover Financial Services, Inc. (“Discover” or the “Company”) (NYSE: DFS). The investigation focuses on whether Discover violated federal securities laws and/or engaged in other illegal business practices.
Discover operates as a credit card issuer and electronic payment services company. The Company issues credit cards and offers student and personal loans, as well as savings products such as certificates of deposit and money market accounts.
On July 20, 2022, after market close, Discover announced second quarter 2022 financial results. actions existing due to an internal investigation into its student loan management practices and related compliance matters. The investigation is ongoing and is being conducted by an Independent Special Committee appointed by the Board of Trustees.” On this news, the Discover stock price fell $9.80 per share, or approximately 8.93%, from $109.80 per share to close at $100.00 on July 21, 2022.
Discover previously faced regulatory scrutiny related to its student loan business in 2015 when the company accepted a consent order with the Consumer Financial Protection Bureau regarding private student loan servicing practices. The Bureau’s 2015 order required Discover to reimburse consumers $16 million, pay a fine and correct its illegal service and collection practices. In December 2020, the Consumer Financial Protection Bureau (“Bureau&CloseCurlyDoubleQuote”) issued a consent order against Discover Bank, The Student Loan Corporation, and Discover Products, Inc. (collectively, “Discover”) based on the findings of the Bureau that Discover violated the previous order, the Electronic Fund Transfer Act (“EFTA”) and the Consumer Financial Protection Act of 2010 (“CFPA”).
If you have purchased or otherwise acquired Discover titles, have information, or would like to know more about this survey, please contact Thomas W. Elrod of Kirby McInerney LLP by email to firstname.lastname@example.org, or by completing this Contact formto discuss your rights or interests in relation to these matters at no cost to you.
Kirby McInerney LLP is a New York-based plaintiff’ law firm specializing in securities, antitrust, whistleblower and consumer litigation. The company’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm is available on Kirby McInerney LLP’s website. http://www.kmllp.com.
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