J.P. Morgan Chase agreed to pay $110 million to settle a lawsuit regarding excessive overdraft fees. The lawsuit, part of a consolidated suit in Miami federal court, alleged that the bank overcharged customers by processing debit-card purchases from highest to lowest amount, maximizing the number of overdraft fees charged. Following the lawsuit and new regulations, J.P. Morgan and other banks have altered their policies to process charges chronologically and require customers to “opt-in” for overdraft services. Plaintiffs’ co-lead counsel, Aaron Podhurst, stated that the proposed settlement is fair and reasonable for the class members. Other banks, including Bank of America and Wells Fargo, have also faced similar lawsuits and have paid hundreds of millions in settlements.
Read the full article: The Wall Street Journal
Originally published by David Benoit | Feb 6, 2012 | The Wall Street Journal
