Compass Bank settles excessive overdraft class action for $11.5 million

Posted on: July 9th, 2012 by Steve Larson

Another bank has agreed to settle claims that it had charged excessive overdraft fees when it reordered debit card transactions from highest to lowest.  

The parties in a putative class action lawsuit against Compass Bank notified the federal district court in the Southern District of Florida that they executed a Summary Agreement that sets forth the material terms of the parties’ binding and enforceable agreement to fully, finally and forever resolve, discharge, and release all rights and claims in, or that could have been asserted in, the above referenced action based on Compass’ payment of the sum of $11 million.

Compass did not admit liability. The settlement is subject to preliminary and final approval and dismissal of the action with prejudice by the Court. The settlement will be memorialized in a comprehensive written Settlement Agreement and related documents, which the parties will endeavor to file with the Court as part of a motion for preliminary approval within 90 days.