Bank of America has agreed to pay $2 million to settle a class action lawsuit alleging it wrongly denied customers’ disputes over unauthorized debit card and ATM transactions.
The case, Dennie et al. v. Bank of America, N.A., claims the bank violated the Electronic Fund Transfer Act by improperly rejecting those disputes and failing to properly explain the denials, according to the official settlement website.
Who is covered
The settlement covers people whose dispute over an unauthorized debit card or ATM transaction was denied by Bank of America from May 6, 2023, through July 14, 2026.
Class members who submit a valid claim will receive an equal share of the fund after fees and costs are deducted.
Fees and payment
Class counsel is seeking $666,666.67 in attorneys’ fees, equal to one-third of the fund, plus reasonable costs and expenses.
Current account holders will receive a credit to their account, while former account holders will receive a check.
What the settlement covers
The deal releases only claims for statutory damages under the EFTA. It does not release claims for the money customers actually lost.
Bank of America has also agreed to change the written explanation it sends to customers whose unauthorized debit card and ATM claims are denied.
The settlement website states that Bank of America denies wrongdoing but agreed to the settlement to avoid the uncertainties and expenses of continuing the case.
Deadlines
Claims must be filed by December 11 using the ID on the postcard or email notice sent to class members. The final approval hearing is scheduled for January 4, 2027.
