- Associated Press - Saturday, December 26, 2015

SOUTH PORTLAND, Maine (AP) - A subsidiary of South Portland payment processing company WEX Inc. must pay a $1.75 million fine for its role in deceiving college students about disbursements of financial aid.

The Portland Press Herald (https://bit.ly/1mC7wkc ) reports WEX Bank has also been ordered to pay a share of $31 million in restitution to 900,000 customers. WEX Bank settled with the Federal Deposit Insurance Corp. on Wednesday.

The bank will pay the $31 million jointly with Higher One, a Connecticut company affiliated with WEX Bank that provides disbursement services for students. Higher One must pay a $2.23 million fine for its role.

FDIC concluded that Higher One’s materials omitted facts and certain fees, features and limitations of its “One Account” product. WEX Bank approved the materials.

WEX’s corporate spokeswoman didn’t return a call.


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