Judge preliminarily approves $410 million settlement in excessive overdraft fee class action

May 24, 2011 by

On May 23, a federal district judge in Florida preliminarily approved a settlement in a class action alleging that Bank of America had charged excessive overdraft fees on debit cards.  The bank reordered the processing of the debit charges from highest to lowest, which resulted in more overdraft fees.  Under the settlement, the Bank would pay $410 million.

Bank of America was the first defendant to settle in the case. Roughly 30 defendants remain, including US Bank, Wells Fargo, JP Morgan Chase, and Citibank.  Bank of America no longer charges overdraft fees for debit purchases.  Instead, it declines the card if there are not sufficient funds.

Click here to see the order preliminarily approving the settlement.

Steve Larson
An experienced trial lawyer who handles both hourly and contingent fee cases, Steve has expertise in class actions, consumer cases, antitrust litigation, securities litigation, corporate disputes, intellectual property disputes, unfair competition claims, employment matters, and disputes involving family wealth. Steve regularly represents individuals and businesses in federal and state court and has obtained class-wide recovery in multiple class actions. A veteran practitioner, Steve's clients value his creative approach to resolving complex litigation matters.

Legal Disclaimer

The information contained in this blog does not constitute legal advice, and does not create an attorney-client relationship. We make no claims, promises or guarantees about the accuracy, completeness, or adequacy of the information contained in or linked to this blog.