When a bank customer has an overdrawn checking account at a financial institution like Valley National Bank, they are often charged what is known as an overdraft fee.

Although overdraft protection can sound like a good deal, and many consumers opt in to overdraft protection programs with their bank, consumers may not have access to the whole truth about overdraft fees.

Indeed, Valley National Bank and other banks or credit unions reportedly charge their customers excessive overdraft fees for an overdrawn checking account. According to reports, these institutions are making considerable profit off of overdraft fees. Overdraft fees cost consumers billions of dollars each year.

Unfortunately, a lot of this overdraft fee money often comes from those who can least afford to pay these kinds of fees. Americans who struggle to keep their bank accounts above the minimum are much more likely to end up with a consistently overdrawn checking account. These fees often further complicate an already difficult financial situation.

Overdraft protection programs from institutions like Valley National Bank may claim that they are protecting their customers, but these programs are often misrepresented to customers, failing to adequately explain how such programs work.

This prevents customers from making informed decisions about whether or not they should sign up for overdraft protection, and can result in spending more money than they would have otherwise.

Essentially, overdraft protection from Valley National Bank or another institution is incurred when a customer has an overdrawn checking account. An overdraft fee is charged to move money that covers this transaction.

Some banks have reportedly begun taking advantage of the overdraft protection trend, deliberately increasing their own overdraft fees to maximize company profit.

On top of excessive overdraft fees, overdraft fee class action lawsuits have alleged that their banks purposely deal with their transactions out of order so that they can increase overdraft fee charges.

A growing number of bank customers have begun filing overdraft class action lawsuits against banks and credit unions. These overdraft fee class action lawsuits allege that institutions force excessive and manipulative overdraft protection fees on customers, which causes customers to pay more money for an overdrawn checking account than they should.

Overdraft fee class action lawsuits against banks claim that overdraft programs use purposely excessive overdraft fees, as well as actively obscuring information about their overdraft protection programs in order to trick customers into incurring more fees.

There are an increasing number of consumers choosing to either file individual overdraft fee lawsuits or join overdraft class action overdraft lawsuits against banks alleging corrupt policies and violations which have unfairly charged customers overdraft fees. In some cases, lawsuits allege, these policies lead to major financial problems for consumers.

If you or someone you know has been subjected to unfair overdraft fees from Valley National Bank or another institution, you may qualify to file overdraft fees class action lawsuit.

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