Attorneys are looking for potential plaintiffs to bring lawsuits against various credit unions across the nation.

Lawsuits that might be filed against the credit unionsinclude claims of improper financial practices, mismanagement of funds, and failure to disclose fee structures.

Many American consumers are moving business away from traditional banks and opening accounts at credit unions. Credit unions are nonprofit organizations owned by the organization’s members.

These financial institutions often offer their clients lower frees than banks. Some of the largest credit unions include Digital Federal Credit Union, Bethpage Federal Credit Union, Alaska USA Federal Credit Union, Vystal Credit Union, and Citizens Equity First Credit Union. There are thousands of others.

Fewer consumers have had to face overdraft fees, according to a report by Moebs Services a research firm. According to the report, consumers have become much more cautious about being hit with banking fees, which has caused the number of fees incurred by consumer to decline.

Near the end of the recession credit unions positioned themselves as a low-fee alternative to banks. Some say credit unions were able to maintain lower fees because many credit unions were not required to reduce debit card swipe fees like most of the nation’s big banks were.

The reduction in these swipe fees forced many big banks to increase other types of account charges. But even though many credit unions were exempt from lowering swipe fees, they still faced losses due to loan practices.

Overdraft fees are an important source of revenue for credit unions and other financial institutions. Credit unions, in an attempt to recoup some of the lost revenue, have been increasing overdraft fees on ATM withdrawals, checks, and debit card purchases, although these credit union overdraft fees still remain lower that many overdraft fees imposed by banks. The average credit union overdraft fee increased from $25 to $28 dollars between 2011 and 2013.

Class action lawsuit attorneys are investigating several credit union practices. The attorneys are looking into the possibility of bringing a lawsuit against the credit unions for improper overdraft fee practices.

Potential plaintiffs bringing these lawsuits will likely have the option of bringing a lawsuit as an individual or as a member in a class action lawsuit. Individual lawsuits often provide more autonomy for the plaintiff but class actions help spread the costs of expensive litigation among the members.

Whether a person should bring the lawsuit individually or as a member in a class action lawsuit is a decision that should be made on a case by case basis with the advice of a legal professional. Lawsuits like these help hold large companies accountable to consumers. They serve as a reminder to companies that consumers are owed a specific duty of care.

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