Bank of America $66 Million Class Action Settlement for Overdraft Fees

93

Bank of America Free FICO Score

Bank of America Overdraft Fees Class Action Settlement

Top Class Actions announced that Bank of America finally settled their overdraft fee class action for 66.6 million dollars. Approximately 5.9 million customers were affected by this practice and are entitled to reparations.

Related: How to navigate Bank Of America’s application rules.

Who is Entitled

Anyone who was charged an Extended Overdrawn Balance Charge is entitled to this settlement according to the lawsuit.  Bank of America charged this fee if the $35 overdraft fee was not paid within a certain time frame. The Extended Overdrawn Balance Charge was claimed to be an extra fee for the same thing, nothing new was provided by the bank.

Bank of America has agreed that they will not charge an Extended Overdrawn Balance Charge for at least 5 years as a part of the settlement.

The following people are eligible:

  • If you had an account from 2/25/14 and 12/30/17
  • And were charged an Extended Overdrawn Balance Charge at least once

How to Enter a Claim

There is no need to enter a claim.  If you were billed an Extended Overdrawn Balance Charge you are already entered into the settlement.  You will receive your settlement automatically unless you opt out.

The amount will depend on how many times you were charged the fee and the total number of people eligible.

If you have a BOA checking account the money will be deposited directly into your account.  If you no longer have a checking account you will be mailed a check.

The exclusion date is 4/20/2018

Here is a link to the settlement’s FAQ section.

Conclusion

If you were charged one of these fees then this settlement is a good thing.  I like the fact that you don’t need to submit a claim and that affect people are automatically enrolled.

These fees are big business for the banks and I am glad that they have been cracking down on them.  It is part of the reason I don’t feel bad taking their money when signing up for $2400 in checking account bonuses each year.

 


This post may contain referral, affiliate or sponsor links that provide Miles to Memories compensation. Thank you for your support.

93 COMMENTS

  1. I have been charged overdraft cbarges 5 or 6 times i have received no notice and i am in the middle of moving .now how can i follow this law suit who can i contact .

  2. I received the card and every time I went online to complete as I normally would do it said it wasn’t necessary and gave no option to fill anything out- it said if you received a card, you were automatically included and would eventually receive a settlement check when completed. Boa was the worst bank I ever had…they always moved around my transactions to charge multiple overdrafts

  3. Folks the ruling happen yesterday on June 18th in the US Southern District Of California CourtHouse I don’t if they approved the settlement or not but I do know it took place at 11am local time so if you live on the east coast that would be 2pm for you and 1pm CST. The amount that you get is based on how many times BOA charged you that extra $35 after the first charge of you over drafting your account the amount to be paid out is 66.6 million dollars to 5.9 million people they have to pay out for 3 years so do the math although it won’t be the same amount of money for each person it still is a nice little piece of change!!!

    • It won’t take that long the last time they had a class action just like this one it took just about a month to get everyone’s funds out to them.

  4. The big issue is the damn Lawyers they want more than they should, leaving us with just 10% of the total amount of the claim the Judge will not allow them to get that much hopefully>>> the terms and fees that the Lawyers want is being Challenged by another BOA victim…

  5. Also, one other thing I called the lawyers office and the judge has not yet come back with his decision yet the lady says to call back in a couple of days and they may have new info here is the phone number and address>>
    Address: 1828 L St NW Suite 1000, Washington, DC 20036
    Hours: Open ⋅ Closes 5 PM est
    Phone: (202) 973-090

    • Thanks travis for that but whats thelast number to the phone number and i have been keeping up with this until the court date yesterday and cant find no info but what u said. The greedy ass lawyers want it all. But we have Rachel Threatt and her attorney sticking up for the consumers, they are called COMPETETIVE ENTERPRISE INSTITUTE CENTER FOR CLASS ACTION FAIRNESS. They objecting to the attorneys asking for most of the money.

      • (202) 973-0900 sorry about that and no worries I’m keeping up with it. The main reason why there hasn’t been any news just yet is that the Judge has not come back with his ruling yet when I find out I will let you guys know first… That is correct Brian COMPETETIVE ENTERPRISE is indeed fighting on our behalf Rachel is our New best friend, fingers cross guys if she’s successful we may be getting a lot more back than we realize!!!

          • Well, Sarah, that depends How many times you Over Drafted your account between 2/25/14 to 12/30/17 and out of those times how many times did BOA charge an additional $35 after 5 days? like in my case I had to overdraft nearly 3 times in a month EVERY MONTH….lol

  6. Hey Travis. I do appreciate the information. I Sharnette is very concerned about this class action lawsuits also. Hopefully, this will be resolved ASAP.

  7. Don’t expect windfall profits here people. At most it’s only going to be a couple hundred each. Maybe a little more for someone with numerous $35 overdraft fees. Thousands being deposited into your account is not going to happen. With that said, thank you for posting what you have Travis, better information coming from you here than anywhere else I searched online.

    ***I just called, (Friday, June 22 at 1pm) the lawyers office in D.C. and was told the judge’s ruling has not come down yet, and maybe the middle of next week we will know a little more. – Tom

  8. But we should get all our overdraft charges back to us, correct? Even though they have to spilt among everyone else. (Meaning they’ll have enough to pay us back our EOBC?)

  9. @Thomas – So does that mean, it’s going to be even longer to get a anything back?? It seems like it’s gettung even more complicated.

    • Travis wrote earlier: “The last time they had a class action like this one it took about a month to get everyone’s funds out to them.” We are dealing with millions of people and millions of dollars, this could be a while. I will call back on Wednesday and post here what I am told. I will also ask if they have any information on the amount and when we will receive it.

  10. @Thomas I just thought the settlement was not finalized cause I read something, someone posted about what the lawyers are getting is asking too much money. Besides that, it needs to be finalized b4 anything comes through to us, which might take longer than a month?

    • The settlement has not been announced because the judge has not given his final ruling on it yet. And, you’re right, the lawyers are trying to get much more than they deserve, a lot more. I really don’t know how long it could take to have the money dispersed, I will call back on Tuesday or Wednesday to see where it all stands. There is a woman named Rachel Threatt who has filed a lawsuit on our behalf. Scroll up and click on the links and read what’s there.

  11. Okay…thank you!! Cases like this, I always feel like it’s always in the best interest of the lawyers & never for the people. No matter what, the lawyers end up getting the bigger chunk of it & we are basically wasting our time. Yes, we should deal with it fairly & split it accordingly so everyone goes home happy!! As always, thanks for the continuous updates. 🙂

  12. So I just called the law office and the judge is not back yet with his ruling. I was told they don’t have any idea when it will happen, and it’s tough to put a time frame on something like this. I will call again on Friday.

    The number I called: 202.973.0900

  13. Thank you to everyone in this thread! I have been researching for days just to find out if the judge made a decision. What a cluster! Between the lawyer ads and inaçcurate news articles I just about gave up.

    Bank of America has been charging this fee on my account, at least 2 times a month, since I opened the account. I just wanted to find out that they [B of A] will have to pay me back the $35 that they erroneously charged me when I could least afford it!

  14. I’ve been following this case since I received the post card that I am apart of the settlement and it’s so unfair that the lawyer wants more of our money and leaving us with so little to nothing. Please keep me updated

    • The last time I called was Wednesday, June 26. I will call again on this coming Friday, July 6. Nothing more to tell than this, though maybe it’s a good thing that the judge is taking a little while. It may mean that he is not completely in step with the lawyers and is giving this more thought.

  15. THANK YOU Thomas for the continuous updates & follow-up!! We will be looking forward to hearing from you soon again.

  16. Thanks to all!! This is the only place I’ve found updates that are up to date….i know I had to let that bank account go due to all the fees I know the charges came to me often but too often to know for sure how many!

  17. Okay, so I just called and I was told that the judge has asked for more briefing on one of the points of the case, so this is going to last until, at least, late August. We won’t get a ruling until then at the earliest. Sorry for the bad news everyone.

  18. Okay, so I just called and I was told that the judge has asked for more briefing on one of the points of the case, so this is going to last until, at least, late August. We won’t get a ruling until then at the earliest. Sorry for the bad news everyone.

    *I will keep checking every couple weeks just in case this changes.

  19. Why I agree with Thomas that we won’t really receive windfall profits on the order of thousands of dollars in our account I did just realize exactly what’s going on in terms of the numbers here so let me lay them out for you the lawsuit is 66.6 million dollars there are a total of 5.9 million people involved in the suit that means even if they gave every one of us a million dollars each there will be something like $55 million dollars left, give or take a couple hundred thousand or two so I have a hard time believing that we won’t get a substantial amount in our accounts, however, there’s the lawyer fees to consider and court cost and that’s where we have our rub the lawyers involved in this case are being very greedy and I’m told that it’s creating procedural issues in the Southern District of California Court I would expect to hear a decision soon on this matter but that’s just something to go over in your minds how do you split 66.6 million dollars amongst 5.9 million people plus the lawyers? In the court case as I stated earlier the amount is based on how many times Bank of America charged you that extended overdrawn fee of $35 after 5 days yes there is interest I’m told on each transaction Bank of America will have to pay some interest back on each transaction. That’s all I have for now but anyway guys if you want to read up on the lawsuit and want to know more information here’s the link to the website for this particular settlement.
    http://www.eobcsettlement.com/

  20. I wonder how the interest gets factored in? Looks like I got charged over 60+ EOBC without my knowledge. 🙁

  21. I agree Travis, it is going to come down to how much the judge gives the lawyers. A significant amount of the majority of the money should go to the people who have been done wrong. And by the way, your math is absolutely right. Sucks that we may have another six to seven weeks of waiting. I will call back in a few weeks to see if anything new has materialized. Hopefully, the judge asking for a little more info on a part of the case, which he did recently, is the last hold up. At least he is taking his time and being thorough, that may be working in our favor. If one is to go to the website per the links below you can see that this company, Competitive Enterprise Institute, has a great track record of winning cases like this. I have copied these links again as we have some new people posting comments.

    https://cei.org/content/cei-objects-bank-america-class-action-settlement

    https://cei.org/litigation/farrell-v-bank-america-na

    https://cei.org/sites/default/files/Farrell._Obj_Draft_final_final.pdf

  22. I just called the (202)9730900 number as of July, 3,2018 and was told that we will know by September what the amount would be. I talked to a guy named Nathan Laport. Remember this is not the only time that this has happened. If you type on line you will find out that this is an on going situation with this bank.

    • Thanks, Francine and Thomas for the information I am glad we all connected like this we have something in common the Banks is screwing us all over this Country is losing sight of what’s important and that’s the people. please continue to comment and remember much more joins us than divides us and right now this Lawsuit binds us to the whelms of the court and I pray that our luck holds!!!

  23. My bank account with them is now closed due to all the fees they chagre….i know I paid these fees numorous times but how can I find out how many/ how much??

  24. Travis, you may want to go back and check your math again. The number that has been agreed to is $66.6 million and there are 5.9 million people, that is $11.28 per person. I don’t know how you came to “if each person is given a million dollars there is still $55 million left.”

    After clicking on the link below, scroll down to the top of page nine and look at the “amount” and “description.” The $66.6 million is just for cash payments and debt reduction. Have you come across anything regarding the $1.2 billion number? Is that the REAL number to be dispersed among the 5.9 million people? That would make more sense than just $66.6 million. Feel free to contradict me if I have this wrong.

    http://www.eobcsettlement.com/Content/Documents/Plaintiffs%20Response%20to%20Objections%20from%20Class%20Members.pdf

  25. $1,268,600,000 divided by 5,900,000 is $21,500. Of course this is before the lawyers chime in with their absurd demands. Assuming I have it correct that the 1.2 billion is the “real” number going to be dispersed to the masses.

    Give the above link a read people, there is a lot of lawyer jargon, but the more you read it, it does start to make sense.

  26. Yes, I know that 11 million dollar number as well trust me I did that first…lol I suspect we won’t be getting that amount but we still could end up with a nice little bump in our accounts okay so from my understanding here is what I know to be true Estimated Award

    Varies
    Current Bank of America accounts holders will receive a cash payment deposited directly to their account. Former Bank of American account holders will receive a check payment. Actual settlement payouts are dependent on the number of overdraft fees incurred by Class members.

    Additionally, “debt relief will be provided to Settlement Class members whose checking accounts were closed in overdrawn status with an EOBC still pending and whose overdrawn balances remain due and owing to BANA. Debt relief will be provided in the form of debt reduction, in an amount up to $35.”
    Thomas That 1.2 billion dollar number is referring to the money that all us as account holders will save over the next five years because BOA will not be charging that extra $35 now this is how the money will actually be divided What does the Settlement provide?
    The Settlement provides that BANA will provide sixty-six million six hundred thousand dollars ($66,600,000) to settle the class action (the “Settlement Amount”). Of the Settlement Amount, BANA will pay thirty-seven million five hundred thousand dollars ($37,500,000) in cash, and BANA will provide debt reduction in an amount estimated to equal twenty-nine million one hundred thousand dollars ($29,100,000). After paying certain other costs and court-approved amounts, the cash relief will be distributed among Settlement Class Members who paid one or more EOBCs that they incurred in connection with their BANA personal checking accounts between February 25, 2014, and December 30, 2017.

    Settlement Class Members who currently hold the BANA checking accounts from which they paid EOBCs during the Class Period will have their cash awards deposited directly into their accounts. Settlement Class Members who no longer hold the BANA checking accounts from which they paid EOBCs during the Class Period will receive their cash awards via check. Each Settlement Class Member’s cash award will depend upon the number of EOBCs the Settlement Class Member paid and on the total number of Settlement Class Members. The debt relief will be provided to Settlement Class Members whose consumer checking accounts were closed in overdrawn status with an EOBC still pending and whose overdrawn balances remain due and owing to BANA. Debt relief will be provided in the form of debt reduction, in an amount up to $35, but in no event exceeding the amount of a Settlement Class Member’s overdrawn balance remaining due and owing to BANA. Debt relief will not result in any cash payments to Settlement Class Members.

  27. I am aware of all that, either way $66.6 million isn’t going to be much once it is spread out. It’ll be a couple hundred at most per person. One could make the argument that BOA should only have to repay the $35 fees to everyone. I couldn’t careless if this is only going to be fifty or a hundred bucks.

    • Thomas you misunderstand me yes the money will be spread out amongst all of us however it will not be spread out eqaually as I said before it’s based on how many times an individual included in this lawsuit was charged the extended overdrawn balance fee and from my understanding they are paying back the exact amount of money that they charged us in terms of the extended overdrawn balance so that would mean all the EXTENDED $35 fees that they charged us they would have to pay that back with interest I don’t believe that all of us will get the same amount because some people only overdraft maybe once in those three years from 2014 and 2017 but others may have overdrafted over a hundred times in that same period like me LOL so the money won’t be split up equally and like I said I tend to agree with you that yes we won’t be receiving any great amount of money in our bank accounts because they will figure out some way to give it to somebody else I was just saying it seems like it would be much simpler if they just paid us all a million and just shut the hell up LOL

  28. We just have to be patient & wait for the outcome. As long as I get back what they took from me (charged me), that will suffice – it seems like it’s dragging out cause certain people are getting greedy & wanting more??

  29. I totally agree, people that weren’t even affected from these charges are getting overwhelmed with greed! They just can’t pass up a peice of any Ol’ pie!!!

  30. I could also use the money they charged me. Seems like they re-arranged my purchases to make sure I had more than one overdraft charge.

  31. B of A are experts at re-arranging transactions so you always get charged overdraft fees. I learned this the hard way.

  32. Exactly!! I AGREE with you JoAn. I would check my balance & it would reflect a positive balance. They would make it to where my balance would fall negative discreetly & unnoticeable, so that they could start rolling out EOBC. I would question & ask a rep. but their answers were so vague, it just didn’t make sense. I quit calling after that cause I knew they would always have a hideous excuse to cover up themselves. Sad but true!!

  33. Travis or Thomas;
    The two of you seem to have kept up with this case and have the most knowledge on it. The legal jargon in the court documents is ridiculous. It makes me feel like a dummy when I read it. Anyway, I understand that the bank will reimburse us for every $35 extended overdraft fee that they charged and also interest on that amount. My question is this, what percentage of interest will they pay and if we have an interest bearing checking account will they pay the rate that my account was yielding at the time that they took it out or amount it yields now? I keep seeing 8.8% but like I said, the legalese dumbfounds me. If you can answer my questions I would really appreciate it. I’m looking at about seventy-five $35 fees between 2/14-12/17. That would be a nice little xmas fund! Thank you for all the information that you have researched for us thus far.
    Marta Binkerd

  34. I was involved in the last BofA class action settlement back in 2011/2012. I ended up getting a nice chunk of change when it was all said and done. Unfortunately I learned nothing from that experience as I am once again a BofA checking customer, and once again am involved in this current class action lawsuit. I hope a decision is reached soon as I am receiving spam related to ” a class action settlement payout” daily that has already, wait for it….resulted in fraud on my BofA checking account. BofA of course has been no help at all, insisting that I am at fault. Please keep the updates coming as this is the only place I now trust for information.

  35. I think i read on motley fool, June 19,2018, that the judge said it violated the national bank act’s usury limits. I really hope this is true!

  36. To Thomas- you were involved in a class action suit with B of A in the past I’m not asking for your exact numbers but is there anyway you can give an example of how this one might turn out for us members of this settlement individually, if you can give any insight of an outcome at all? I’m just curious in case the last one was similar in numbers and you may be able to give a more accurate number for us then anyone else has been able to come up with! i know all of them are different but you have dealt with a similar situation so what do you think of the numbers involved with this settlement?

    • No, I have never been involved in a BOA lawsuit, Travis posted that he has been. I only know a little about what is going on because I have called the law office in Washington D. C. that is handling this and have read up on information via the links I posted earlier. You might as well put this out of your mind until late August, as I won’t be calling again for another six weeks. I was told that is the earliest date for getting to a resolution. And, when it comes to the amount, if you go back and read the previous posts from everyone, nobody has any real clue as to what we will be getting. It is just a waiting game at this point. Sorry, there is nothing more to add. I suggest you refer to earlier posts and brush up on the information that the links I posted will provide.

  37. @Harrison – I think Danielle was referring to Thomas Konetski not Thomas Harrison.
    @Konetski – If you don’t mind sharing, what was the previous settlement for & what was the grand total amount won by the lawsuit? How many members were involved? Just curious if you would like to share that info with us all. Thanks again!!

  38. hello everyone any new update yet im a member of this lawsuit also im a vet they screwed me over and took alot of my money stupid people with power makes poor people suffer everytime

  39. I just realized that the bank is still taking out the overdraft fees and not keeping up with my keep the charge in my account that ended up with my account to receive the overdraft fees I just want this to hurry up so I can gladly get a new bank that will help.

  40. Hey y’all I just checked the website and they posted this so I am copied and paste this for all the people who is concerning when will they have there final answers.

    Update July 6, 2018:
    Following the Final Approval Hearing, Judge Lorenz requested further briefing pertaining to approval of the Settlement. The briefing will be completed by August 27, 2018, after which the Court will rule. Class members may check this website after the briefing is complete for the status of Settlement approval.

  41. To clarify (from my understanding): the overdraft fee itself ($35) does not breach the anti-usury law. This is because the fee represents a service by the Bank (it is permitting you to overdraw your account). It is the “extended” fee of $35 imposed by the Bank when you omit fully to rectify the overdrawn amount (including the overdraft fee of $35) by a certain date which is the subject of the action. This “extended fee” is in substance a fee on a fee: the Bank is providing *no* additional service to you for which they can legitimately charge, and thus this fee does breach the anti-usury law.

    By the way. Has anyone noticed that, three months ago, a “monthly account keeping fee” started to be imposed (at least on my account). It is $12 a month, $144 a year! For the privilege of BoA using my money! If I cannot get this fee significantly reduced or waived, I’m moving my money elsewhere.

LEAVE A REPLY

Please enter your comment!
Please enter your name here