Bank of America class action lawsuit overview:
- Who: Plaintiff Jeffrey Chen filed a class action lawsuit against Bank of America.
- Why: Bank of America allegedly fails to notify credit card holders that their enrollment in its automatic bill payment program will be canceled due to non-use of their credit card.
- Where: The Bank of America class action lawsuit is in California federal court.
Bank of America allegedly canceled credit card holders’ automatic bill payments without notifying them, according to a class action lawsuit in California federal court.
Plaintiff Jeffrey Chen says he is a Bank of America credit card holder and enrolled in the bank’s automatic bill payment program.
In June 2023, Chen says he learned that his Bank of America automatic bill payments had been canceled and he had been unenrolled from the program because he had not used the credit card for a year.
Chen “belatedly found out that his enrolled autopay accounts were no longer being paid, causing them to be overdue and reported to the credit bureaus,” which affected his credit rating, the Bank of America class action lawsuit alleges.
Bank of America class action says bank gave no notice that auto payments enrollment would be canceled due to non-use of card
Upon enrollment in the Bank of America automatic bill payments program, cardholders are required to sign credit card agreements and other documents, Chen says.
“However, none of these documents mention that the bill pay enrollment will automatically be cancelled if the credit card is not used for a period of time,” according to the Bank of America class action lawsuit.
Bank of America also allegedly fails to inform credit card account holders about its automatic bill pay program cancellation policy in the “How Online Bill Pay Works” and “Bill Pay and eBills FAQ” sections on its website.
Because of Bank of America’s lack of disclosure, Chen and other putative class members were “erroneously assured that their bills were being paid continuously” only to find out that their registration in the automatic bill payment program was canceled, leaving their bills unpaid, ultimately impacting their credit ratings.
Chen says he would not have enrolled in the Bank of America automatic bill payments program had he known his enrollment would automatically be canceled due to non-use of his credit card.
The Bank of America class action lawsuit asserts claims for violations of California’s Consumer Legal Remedies Act, False Advertising Law, and Unfair Competition Law.
Three recent Bank of America class action lawsuits allege the bank opened new customer accounts without consent, refused to pay promised bonuses for new credit card accounts, and charged undisclosed fees on incoming wire transfers.
Were your Bank of America automatic bill payments canceled without notification? Tell us about your experience in the comments!
Chen is represented by James M. Treglio and Mark Potter of Potter Handy LLP.
The Bank of America automatic bill payments class action lawsuit is Jeffrey Chen v. Bank of America Corp., et al., Case No. 3:23-cv-01762, in the U.S. District Court for the Southern District of California.
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68 thoughts onBank of America class action claims company canceled automatic bill payments without notification
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I have had ongoing issues with Bank of America starting with late 2019 BOA not taking the final payment or final two payments from my account (I’m a bit unclear which is correct) as i had been constantly given the runaround. More of the employees of BOA had said one payment. A couple said two. The first call I spoke with someone in 2019 said one. And the next several said the same thing. The account was either closed in 2019 or 2020. I can’t be sure when but it shouldn’t have been at all. First) They were authorized to take the payments from my account, funds were ready and available & should have been taken out. It wasn’t my responsibility to bring it to a branch or anything like that. BOA failed to reach out to me IF there was an issue. Fast forward to me checking my credit reports to my surprise seeing my credit score DROP significantly and credit reports showing charged off / in collections. Number one) I made ALL my payments on time instead of one that they didn’t take out and as explained wasn’t notified. That would make that on BOA. And when I tried to deal with it my calls were ignored and then 2020 a nationwide/worldwide pandemic hit. Obviously BOA didn’t have the urgency to assist with this matter. Damage had already been caused at that point, and continued to be reported as even after more than several times they were supposedly closed and reopened several times. That’s irritating on a whole other level. So not only had they neglected to assist before damage was done, but they close and open and continue to report it instead of trying to resolve it with me. I called and called and emailed to no avail to solve this issue and my calls and emails were not returned. I would have made the payment despite it being the fault of BOA. So when they try to collect the full balance back from me, you think I’d pay the FULL amount? Not a chance. I should have honestly just had the damage reversed from the credit score drop or anything else negative reported from BOA reversed and the final payment waived but no. They kept trying to collect in full from their own error. Fast forward to opening a new account, then BOA closed it during a pandemic, when there was fraud on my account. Then randomly for no reason closed by account. Then it was weeks before I had access to my funds. They made me jump through hoops to get it. Here I am in 2023 (4 or so year later from the first issue) Still dealing with the aftermath of all of the damage. I’m pursuing legal action.
Add me to this list please I have had this and it did just stop paying for my bills due.
add me to the list I have two accounts
I have been battling with Bank of America over $8, 400 that had been taken out of my account during the time of the unemployment. For pandemic and since then I have still been waiting this has been over 2 years now I’m still waiting and battling with them over money that they had taken out and then made it look like if I had taken it out even though I had not taken it out I’m hoping for a positive outcoming this however it’s still going on two and a half years now since I put in my claim.
Make complaint with the attorney general and Better business bureau and solve it channel 7 in Boston, MA. Not sure they will help outside of MA. These complaints should get your money back with the month.
Office of consumer affairs is another place to report your claim
Same mess happened to me. Then they lowered my credit limit all the way down from 5000 down to the balance i already had! ( the reason?…because I hadn’t used it in 9 months) This caused my score to drop quite a lot which in return had other companies I had cards with do the exact same thing ( citing my lowered score as the reason) I literally received a “thank you for being with us 10years” card from BOA and then 4 days later they thanked me by totally screwing me.
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