There are many class action lawsuits that several banks in North America have been facing, as customers have begun to notice certain questionable practices that have motivated them to file lawsuits.
For starters, this year, Credit One Bank had to pay a million-dollar sum to settle a class-action lawsuit that took shape when dozens of customers began to notice that their credit card bills were arriving at alarmingly high amounts.
Although many of them complained, they did not receive satisfactory responses from the bank, or they did not receive responses at all, according to the plaintiffs. In fact, we have written articles about it to alert potential plaintiffs to file a claim: read the article about the Credit One Bank class action lawsuit at this link.
Class Action Lawsuit Against Bank of America
Bank of America will also have to pay a whopping $21 million to settle a class-action lawsuit over alleged questionable banking practices. Consumers who paid fees for wire transfers could benefit from a $21 million deal with Bank of America, resolving claims that its fees violated account agreements.
Agreement benefits people with consumer checking or savings accounts del Bank of America who were charged certain wire transfer fees on incoming payments between March 8, 2019 and August 31, 2023.
You can also read this extensive and detailed article where you will find all the details about it.
TD Bank Customers Can Receive $32 Million Lawsuit Payments, But There’s an Eligibility Requirement
Consumers of the renowned TD Bank, based in Canada, but with a presence in dozens of US states, have the opportunity to receive payments from the gigantic $32 million lawsuit against this famous banking institution, after claims were filed for overdraft fees.
TD Bank charged thousands of customers fees called “APSN” between June 27, 2019 and September 30, 2022. This type of charge is not an isolated practice of this particular bank, but is common in the industry.
APSN charges refer to “Authorize Positive, Settle Negative” transactions. This occurs when a debit card transaction is initially authorized when you have sufficient funds in your account, but when it is settled, your balance is negative, often resulting in an overdraft fee.
Essentially, the bank authorizes a payment when funds appear to be sufficient, but charges a fee when the balance is insufficient to settle the transaction. If you notice these charges on your account and need further clarification, it’s a good idea to contact your bank directly for specific details regarding their policies.
According to the lawsuit, TD Bank violated the terms of the bank accounts by charging unauthorized overdraft fees on transactions with positive and sufficient balances.
Who Qualifies for the TD Bank Class Action Payments?
In Canada, TD Bank is one of the “Big Five” banking institutions and has a significant presence across the country. It offers a wide range of financial services, including checking and savings accounts, personal and business loans, mortgages, credit cards, investment services and insurance. TD Bank has branches in every province and territory in Canada, with a network of more than 1,100 branches and thousands of ATMs.
Although TD Bank’s headquarters are in Canada, it has a presence in dozens of US states. As of today, there are branches in the following locations:
- Connecticut (58 branches)
- Delaware (15 branches)
- Florida (359 branches)
- Maine (43 locations)
- Maryland (18 branches)
- Massachusetts (295 sucursales)
- New Hampshire (58 locations)
- New Jersey (283 locations)
- New York (319 branches)
- North Carolina (19 locations)
- Pennsylvania (150 branches)
- Rhode Island (10 branches)
- South Carolina (73 locations)
- Vermont (34 locations)
- Virginia (22 branches)
- Washington D.C. (9 branches)
This class action settlement, however, is intended exclusively for customers in Canada who paid these APSN fees during the aforementioned period.
Current account holders at TD Bank will receive their payments as direct credits to their accounts, while those who do not have active accounts at the bank will receive their payments via checks:
- The agreement includes $10.25 million destined to reduce outstanding balances.
- As part of the settlement, TD Bank agreed to pay off balances tied to APSN fees.
- Members who take no action will receive a payment as long as they do not reject the terms of the agreement.
However, members have the option to opt out of the settlement, which means they will be able to pursue individual claims against TD Bank. However, those who choose this option will not receive any payment or other benefits from the agreement.
- The deadline to object or withdraw from the agreement is September 14, 2024.
- The final hearing for approval of the agreement is scheduled for October 10, 2024.
- Affected individuals do not need to complete a claim form. Group members who do not opt out will automatically receive a check or credit to their account.