Cadence Bank class action alleges bank charges exorbitant out-of-network ATM fees 

Cadence Bank out-of-network ATM fees overview:

• Who: Plaintiff Christopher Smith filed a class action lawsuit against Cadence Bank NA.
• Why: Cadence Bank allegedly imposes exorbitant out-of-network ATM fees.
• Where: The Cadence Bank class action lawsuit was filed in Texas federal court.

A consumer filed a Cadence Bank class action lawsuit after the bank allegedly assessed 40% in out-of-network ATM fees when he checked his balance and withdrew cash from an ATM machine.

Plaintiff Christopher Smith says he used an out-of-network ATM to make a $20 cash withdrawal in April 2023. In addition to being charged $4 to the ATM operator, Smith claims Cadence Bank charged him two separate $2 fees for making an out-of-network balance inquiry and for making an out-of-network cash withdrawal.

“In all, plaintiff was charged $8 in fees to withdraw $20 in cash,” the Cadence Bank class action lawsuit says.

Cadence Bank class action claims out-of-network ATM fees are misleading to customers

Smith alleges ATM operators entice consumers into making a balance inquiry “via trickery and deception.” 

Many ATM operators allegedly fail to notify consumers that a fee will be imposed to check their account balance so consumers wrongly assume that the balance inquiry is “nothing more than an unremarkable, free lead-in to a cash withdrawal to reasonable, diligent consumers,” according to the Cadence Bank class action lawsuit.

Cadence’s account documents also mislead consumers about the out-of-network ATM fees and fail to inform them that two separate Cadence Bank out-of-network ATM fees will be assessed for a balance inquiry and a cash withdrawal, Smith claims.

“Consumers like plaintiff simply do not know they can be assessed three discrete fees for a simple out of network ATM session that lasts less than two minutes,” the class action lawsuit says. “Cadence, along with the ATM owners, is all too happy to keep consumers in the dark.”

Smith filed the Cadence Bank class action lawsuit on behalf of himself and a proposed class of checking account holders who were assessed at least two out-of-network ATM fees when they performed a balance inquiry prior to withdrawing cash at an out-of-network ATM.

He also seeks to represent a proposed class of Cadence checking account holders who were assessed multiple fees on an item in a Cadence checking account.

The Cadence Bank class action lawsuit asserts claims for breach of contract, breach of the covenant of good faith and fair dealing, and Tennessee and Texas laws.

Cadence Bank was one of many companies to face a data breach class action lawsuit after a cyberattack against Progress Software’s MOVEit file transfer software in May 2023.

Did you pay exorbitant Cadence Bank out-of-network ATM fees? Tell us about your experience in the comments.

Smith is represented by Andrew Shamis and Edwin E. Elliott of Shamis & Gentile PA, Joshua Phillips and Joshua Jacobson of Jacobson Phillips PLLC, Jeffrey D. Kaliel and Sophia G. Gold of Kalielgold PLLC and Scott Edelsberg of Edelsberg Law PA.

The Cadence Bank out-of-network ATM fees class action lawsuit is Christopher Smith v. Cadence Bank, Case No. 4:24-cv-01292, in the U.S. District Court for the Southern District of Texas.

Read About More Class Action Lawsuits & Class Action Settlements:

• Fifth Third class action claims bank charges fees for deposited checks that bounce
• AmEx class action claims company shares credit card applicant data with Facebook
• Bank of America class action claims company wrongfully charges customers fee for depositing bad checks
• Wells Fargo hit with recent class actions, agrees to settlement