Credit Union Customers Encouraged to Ask For ‘Fee List’

Consumer advocates say credit unions and banks are charging customers way too much in fees, many of which are not fully explained to consumers when they sign up for an account.

The most common fee charged to credit union and banking customers is an overdraft, or non-sufficient fund fee. It is assessed if there is not enough money in your account to make a purchase but the bank or credit union covers the transaction anyway.

Most banks and credit unions will charge a fee each time a customer overdraws an account. Non-sufficient fund fees vary from each financial institution but typically are about $35.

Overdraft fees have risen and have led to numerous complaints from consumers hit with hundreds of dollars in charges for just a few dollars in charges on debit cards.

Financial consultants encourage credit union customers to ask credit union associates to provide a “fee list” so that they can prepare and plan for all service fees that they could be charged for.

Credit Union Overdraft Fee Practices

The overdraft fee practices of credit unions are currently under scrutiny as credit union customers report that many of these financial institutions have raised their overdraft fees at a faster rate than banks. Customers have claimed they feel misled by credit unions that do not fully explain how overdraft fees are calculated.

Numerous credit unions are said to assess overdraft fees based on the available balance, which can cause an overdraft fee even if the actual account balance did not go negative.

This credit union overdraft fee practice has caused many customers to file complaints over the confusion in being charged extra fees. Some consumers claim that their credit union intentionally processes transactions out of order as a way to charge an overdraft fee.

Credit Union Overdraft Fees Class Action Lawsuits

A credit union class action lawsuit investigation has been launched over these questionable overdraft fee practices. At least four California credit unions are already facing overdraft fee lawsuits to date.

The top five credit unions in the nation, with more than $10 billion in assets include:

• Navy Federal Credit Union, Vienna, Va.
• State Employees Credit Union, Raleigh, N.C.
• Pentagon Federal Credit Union, Alexandria, Va.
• Boeing Employees Credit Union, Tukwila, Wash.
• SchoolsFirst Federal Credit Union, Santa Ana, Calif.

There are thousands more credit union across the U.S. If you were charged an overdraft fee and are interested in joining a credit union class action lawsuit, contact an overdraft fee attorney.

Join a Free Credit Union Overdraft Fee Class Action Lawsuit Investigation

If you have incurred overdraft fees from a credit union, you may be eligible to participate in a free class action lawsuit investigation.

Join Now