Bank Of America To Pay $75 Million In Improper Fees Settlement Deal
Bank of America has agreed to pay $75 million as settlement to its banking clients who allegedly got imposed to improper and illegal banking fees while transacting under BOA.
A Look Back On The Bank Of America Improper Fees Class Action
The class action was filed against BOA after it purportedly charged its clients with intrabank fees, overdraft fees, nonsufficient funds of NSF charges, and others to make a sizeable company profit off customers.
Filed by Lisa Morris, Tumika Williams, and Michael Bui, the plaintiffs contended that BOA charged its customers multiple fees in a single transaction. The bank’s move allegedly trapped victims into a vicious and unforgiving cycle of raking up and paying off allegedly improper and deceptive banking charges.
Bank of America, as its defense, has denied any misdeeds on its end but has decided to pay $75 million as a settlement to end the class action case filed against it. As of writing, the court hearing the case has not rendered any decisions in favor of any of the parties involved in the legal proceedings.
Per reports, it is believed that the two opposing sides have come to the conclusion that going with the Bank Of America Improper Fees Settlement route would be in the best interest of both of them after supposedly weighing in the different costs and risks factors involved in continuing the litigation.
Initial Settlement Information
Consider The Consumer has listed down the crucial information one will need to know in relation to the Bank Of America Improper Fees Settlement:
- Bank of America has agreed to pay up to $75 million, which will serve as the settlement fund that will be used for different purposes.
- Early estimates suggest that each qualified Class member would receive a settlement amount based on a pro-rata computation of the remaining settlement amount balance after the attorney fees and other legal charges have been deducted from the $75 million settlement.
- Qualified claimants include Bank of America banking customers whose savings and/or checking accounts were slapped with an overdraft fee, interbank transaction fee, retry transaction charge, or NSF charge between the dates of the 1st of July 2014 and the 29th of July 2021.
- No proof of purchase and no claim form are needed for this settlement case.
- Those who are current Bank of America clients will receive a credit on their accounts as settlement payment, while former customers will receive their Bank Of America Improper Fees Settlement payments via check.
- Those who wish to opt-out and exclude themselves from the settlement proceedings can file their objection form on or before the 11th of November 2021.
- A final Bank Of America Improper Fees Settlement hearing is slated for the 18th of November, 2021.
- Besides the monetary payment, Bank of America has promised to change its banking practices to conform with the settlement agreement provisions.
- Based on reports, the bank has promised to impose changes in the coming five years, including halting the imposition of assessing fees and changing its consumer account disclosures and the like.
Editor’s Note on Bank Of America Improper Fees Settlement:
This settlement news provides information regarding the class action involving Bank of America and allegations that it charges its clients excessive banking fees for profit. We also suggest you read Think Finance Payday Loans Lawsuit.
Case Name(s) & No.: Lisa Morris et al. v. Bank of America; Case No.: 3:18-cv-00157-RJC-DSC (W.D.N.C. Mar. 29, 2019)
Jurisdiction: United States (U.S.) District Court for the Western District of North Carolina Charlotte Division
Allegation(s): Bank of America customers’ accounts got slapped with supposedly illegal banking fees in a bid for the financial institution to make a sizeable profit off the proceeds.
What are your thoughts on this piece? Please send us a message by clicking the ‘Contact Us’ button below! We’d love to hear back from you.