Navy Federal Overdraft Class Deal Gets First Approval

Navy Federal Credit Union will pay $24.5 million to settle class consumer claims alleging it improperly collected overdraft fees.

Judge Cynthia Bashant of the U.S. District Court for the Southern District of California gave the deal initial approval Oct. 22.

Thousands of class members will automatically receive credits to their bank accounts if the judge gives the settlement final approval.

Jenna Lloyd and Jamie Plemon allege Navy Federal improperly assessed $20 overdraft protection fees on some debit card transactions.

The proposed settlement amount represents 30 to 40 percent of the estimated $60 million in damages that the class could recover ...