First Citizens potentially charged improper NSF fees despite ending them

First Citizens NSF fee overview: 

• Who: Despite First Citizens Bank ending non-sufficient fund fees in 2022, a Top Class Actions investigation is looking into whether it improperly charged them.
• Why: The investigation includes a number of banks and is meant to determine whether banks potentially charged consumers improper NSF fees.  
• Where: First Citizens Bank has its headquarters in Raleigh, North Carolina. 
• How to get help: Those whose bank charged them improper NSFs fees may qualify to join a free NSF fee class action lawsuit investigation.

First Citizens Bank is more than two years removed from announcing it would eliminate its $36 non-sufficient fund (NSF) fee. 

First Citizens announced the change in January 2022, saying at the time it was working to “proactively” help customers. 

“Relationships with our customers are paramount, and in times like these, we recognize that every dollar counts,” John Turner, executive director of consumer services for First Citizens, said in a statement at the time. 

An NSF fee, which costs consumers $34 on average, according to the Consumer Financial Protection Bureau,  is a charge a bank customer can accrue if a transaction or check is rejected from an account that does not have a high enough balance to cover it. That can cause it to be returned unpaid. 

While there is no evidence First Citizens has done anything improper, it is now involved in a class action lawsuit investigation involving improper NSF fee bank charges. 

First Citizens says NSF, overdraft fee removals provide ‘more value’ to customers 

First Citizens, which is headquartered in Raleigh, North Carolina, also lowered its overdraft fee from $36 to $10. The bank says it wanted to ensure funds will be there “when customers need them.” 

“Our customers rely on us to help them make their budgets work harder. By reducing and removing fees, we’re providing more value than ever to those who trust us with their money and their futures,” Turner said at the time. 

According to First Citizens, the fee changes took effect in mid-2022. The company offers card and account alerts, direct deposit service offers and several forms of overdraft protection.

First Citizens was one of several large banks to announce NSF fee elimination in early 2022, according to the CFPB, which said in a March 2022 blogpost the decisions were a “positive development.” 

“We estimate that these changes mean that consumers will pay about 50% less in these fees each year, an annual savings of about $1 billion,” the CFPB said.

Have you been charged a First Citizens NSF fee? You may qualify to join a free NSF fee class action lawsuit investigation.

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