Pc Perry Lathwood, 51, was convicted of assault after using force against the woman in the presence of her young son – but had his conviction overturned.
Footage of the incident went viral on social media.
The officer used inappropriate language when he arrested Jocelyn Agyemang in Croydon, south London, in July 2023, calling her “love” and a “daft cow”.
Cecily White, a barrister representing the Metropolitan Police, told the misconduct hearing the alleged language was “dismissive and condescending”, particularly towards women.
Police officers were helping ticket inspectors on a bus in Croydon at the time.
Ms Agyemang was dropping her son off at her mother’s house before heading to an appointment.
After she and her son got off the bus at about 11am, she was asked to show she had paid her fare by a bus inspector.
Another officer took her Oyster card and went away with it to see if she had paid, and Ms Agyemang was de-arrested at the scene after it was confirmed she had paid her fare.
Pc Lathwood was cleared of further allegations that he breached standards relating to equality and diversity, use of force, and discreditable conduct.
He will be given a written warning, the Independent Office for Police Conduct (IOPC) said.
The Met said previously that Pc Lathwood was on restricted duties until the outcome of the misconduct process.
After the incident, the officer was convicted of assault and fined £1,500, but had his conviction quashed last September.
His trial at Westminster Magistrates’ Court heard he grabbed the woman by the arm, causing bruising injuries during the arrest.
IOPC director Amanda Rowe said: “Police officers must treat members of the public with respect and courtesy during the course of their duties.
“This was a distressing incident for the woman, who was handcuffed in public in front of her child, and the language used by PC Lathwood was disrespectful and unprofessional.
“This was a high-profile incident which caused significant public concern at the time, particularly in the Croydon community, and we know this interaction continues to have a lasting impact on the woman involved.”
Paula Dodds, chair of the Metropolitan Police Federation, said: “Short video clips of incidents viewed from the comfort of sterile and calm environments rarely take into account what police officers in London encounter on a daily basis – or provide a genuine understanding of the true nature of our difficult and dangerous job.
“Police officers have no issue with scrutiny and accounting for their actions and use of force – but this has to take into account the dynamic and split-second challenges and the reality of our challenging role.
“Pc Lathwood can finally put this incident behind him and carry on his career. We ask that he and his family are now left alone to get on with their lives.”
