The brokerage unit at Bank of America Corp. has agreed to settle a state regulator’s complaint that it sold inappropriate variable annuities to older seniors in 2003 and 2004.[@@]
Banc of America Investment Services Inc., the brokerage unit of at Bank of America, Charlotte, N.C., says the agreement applies to customers who were 78 years of age or older when they bought the annuities. The company says it agreed to give those customers a chance to get their money back without paying the customary surrender charges.
The agreement with the state’s Securities Division applies to all customers in the age group who bought the variable annuities in 2003 and 2004 from Banc of America Investment Services or Bank of America’s Quick & Reilly subsidiary.
The agreement will be extended to qualified buyers in other states, the company says.
The Massachusetts Securities Division has filed similar charges against a number of other banks and brokerage firms.