Another bank has been nailed for illegally charging overdraft fees.
“Bank of America Corp (BAC.N) agreed to pay $75 million to settle a lawsuit accusing the second-largest U.S. bank of extracting overdraft fees it didn’t earn from customers with savings and checking accounts, court papers showed,” according to Reuters.
A federal judge must still approve the proposed class action settlement, which was filled federal court in Charlotte, North Carolina, the bank’s headquarters.
The lawsuit says that the second largest bank in the country charged “multiple $35 fees for insufficient funds or overdrafts on a single transaction, sometimes reflecting the bank’s repeated attempts to process it at a merchant’s request.”
This is not the first time a major bank has been caught ripping off its customers by playing this game.
Last year TD Bank agreed to pay $122 million for this practice.
Thanks to Billl Hardekopf at Cardrates.com for the tip.
