Trustco Bank Overdraft Fee Settlement: $2.75M

Current and former Trustco Bank customers who were charged a non-sufficient funds (NSF) fee, APSN fee, or overdraft fee on specific transactions between Sept. 2, 2014, and Dec. 10, 2023.

No proof of purchase is required. Payments will be automatically distributed to eligible class members.

Trustco Bank has agreed to a $2.75 million settlement to resolve claims that it improperly charged customers Retry NSF fees and APSN fees.

• Retry NSF Fees: These are multiple overdraft fees imposed on the same ACH transaction or check when it is reprocessed after the initial fee was assessed.
• APSN Fees: These fees occur on debit card transactions that had sufficient funds at the time of authorization but posted later when the account balance was insufficient.

The class action lawsuit alleges these practices violated Trustco Bank’s account holder agreements and caused financial harm to customers. Trustco denies any wrongdoing but agreed to the settlement to resolve the litigation.

Compensation Details

• Distribution Method:
  • Open Accounts: Eligible account holders will receive a direct credit to their accounts.
  • Closed Accounts: Former customers will receive a check mailed to their address.
    
    
• Payment Amounts: Individual payouts will vary based on the number of qualifying fees incurred by each class member.

Class members do not need to submit a claim form to receive benefits. Payments will be automatically distributed after administrative costs, legal fees, and other expenses are deducted from the settlement fund. This resolution ensures affected customers receive compensation for improper overdraft fees while preventing similar issues in the future.