Capital One check, ACH fees $16M class action settlement

Capital One agreed to pay $16 million to resolve claims it charged unlawful fees for returned check or ACH debit transactions.

The settlement benefits current and former Capital One account holders whom the bank charged a representment fee between Sept. 1, 2015, and Jan. 12, 2022.

The settlement agreement defines a representment fee as “an unrefunded [nonsufficient funds] NSF Fee or an Overdraft Fee charged to an account holder for either a Represented Check or Represented ACH, after Capital One had returned that Check or ACH for insufficient funds and assessed an NSF Fee on a prior presentment of that Check or ACH.”

According to plaintiffs in the class action lawsuit, Capital One violated its account terms by failing to refund NSF fees or overdraft fees it charged for represented check or ACH transactions. These fees should have been refunded once the customers presented checks and ACH debits for payment, the plaintiffs contend.

Capital One is a bank and lender that offers checking accounts, savings accounts, auto loans and other types of accounts.

Capital One hasn’t admitted any wrongdoing but agreed to a $16 million settlement to resolve the class action lawsuit.

Under the terms of the settlement, class members can receive a pro rata share of the net settlement fund based on the number of eligible fees they were charged during the class period. Current account holders will receive their share of the settlement fund as an account credit, while former account holders will receive a physical check.

The deadline for exclusion and objection is June 17, 2024.

The final approval hearing for the settlement is scheduled for July 15, 2024.

No claim form is required to benefit from the settlement. Class members who do not exclude themselves will automatically receive a settlement payment.

Who’s Eligible

Current and former Capital One account holders whom the bank charged a representment fee between Sept. 1, 2015 and Jan. 12, 2022.

Potential Award

Varies

Proof of Purchase

N/A

Exclusion Deadline

06/17/2024

Case Name

McNeil v. Capital One Bank NA, Case No. 1:19-cv-00473-NRM-TAM, in the U.S. District Court for the Eastern District of New York

Final Hearing

07/15/2024

Settlement Website

CapitalOneRepresentmentLitigation.com

Claims Administrator

Bob McNeil v. Capital One Settlement Administrator
1650 Arch Street, Suite 2210
Philadelphia, PA 19103
Info@CapitalOneRepresentmentLitigation.com
844-727-1045

Class Counsel

Jeff Ostrow
Jonathan Streisfeld
Daniel Tropin
KOPELOWITZ OSTROW PA

Jeffrey D Kaliel
Sophia G Gold 
KALIELGOLD PLLC

Andrea R Gold
TYCKO & ZAVAREEI LLP

James Pizzirusso
HAUSFELD LLP

Defense Counsel

ORRICK HERRINGTON & SUTCLIFFE LLP