$1.7M Navy Federal Credit Union EFTA class action settlement

Navy Federal Credit Union has agreed to a $1.7 million class action lawsuit settlement to resolve claims it violated the Electronic Funds Transfer Act (EFTA) by denying claims for unauthorized electronic fund transfers.

The settlement benefits a Written Explanation Settlement Class of Navy Federal Credit Union account holders whose claims of unauthorized electronic fund transfers were denied between Oct. 10, 2022, and Aug. 20, 2025.

The settlement also benefits a Document Request Settlement Subclass of account holders in the Written Explanation Settlement Class who requested documents Navy Federal relied on to deny their claims and did not receive them.

Navy Federal Credit Union is a financial institution that serves members of the military, veterans and their families. According to the Navy Federal website, the credit union has over 12 million members and $162 billion in assets.

Navy Federal is accused of violating EFTA by denying claims for unauthorized electronic fund transfers. Plaintiffs in the class action lawsuit say the credit union failed to provide sufficient explanation for these denials and failed to provide documents when requested.

The EFTA protects consumers by requiring financial institutions to follow certain rules when handling electronic fund transfers. Under the EFTA, financial institutions are required to investigate and resolve errors in electronic fund transfers, including unauthorized transactions.

Navy Federal has not admitted any wrongdoing but agreed to a $1.7 million class action settlement to resolve the allegations.

Under the terms of the Navy Federal settlement, class members can receive a cash payment. Exact payment amounts will vary depending on the number of claims filed with the settlement. No payment estimates are available at this time.

Navy Federal also agreed to implement policy changes to better handle claims concerning unauthorized electronic fund transfers. These changes include updated written communications sent to members whose claims are denied and improved procedures for responding to document requests.

The deadline for exclusion and objection is Dec. 3, 2025.

The final approval hearing for the Navy Federal class action lawsuit settlement is scheduled for Feb. 4, 2026.

To receive settlement benefits, class members must submit a valid claim form by Dec. 18, 2025.

Who’s Eligible

All Navy Federal Credit Union account holders whose claims of unauthorized electronic fund transfers were denied between Oct. 10, 2022, and Aug. 20, 2025. In addition, all account holders in the written explanation settlement class who requested documents Navy Federal relied on in making its determination and who did not receive them.

Potential Award

Varies.

Proof of Purchase

N/A

Claim Form

NOTE: If you do not qualify for this settlement do NOT file a claim.

Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.

Claim Form Deadline

12/18/2025

Case Name

Stephenson, et al. v. Navy Federal Credit Union, Case No. 3:23-cv-01851, in the U.S. District Court for the Southern District of California

Final Hearing

02/04/2026

Settlement Website

StephensonEFTALitigation.com

Claims Administrator

Stephenson, et al. v. Navy Federal Credit Union
c/o Kroll Settlement Administration
P.O. Box 5324
New York, NY 10150-5324
833-621-8312

Class Counsel

Scott Edelsberg
Adam Schwartzbaum
EDELSBERG LAW P.A.

Edwin E. Elliott
SHAMIS & GENTILE P.A.

Jeffrey D. Kaliel
Sophia Goren Gold
KALIEL GOLD PLLC

Defense Counsel

Fred Burnside
DAVIS WRIGHT TREMAINE LLP