Bank of America Repossession Settlement: $3.25M

Borrowers in Pennsylvania who:

• Had their vehicle repossessed by Bank of America.
• Received a repossession notice from Bank of America between Dec. 23, 2016, and Feb. 16, 2024.

N/A

Bank of America has agreed to a $3.25 million settlement to resolve claims that it violated Pennsylvania law by failing to send proper notices to borrowers after repossessing their vehicles.

The lawsuit alleges that Bank of America failed to include specific details in repossession notices, such as the date after which the repossessed vehicle would be sold. According to Pennsylvania law, this date must be at least 15 days after the date on the notice. Plaintiffs argue that these incomplete notices caused confusion and financial harm to borrowers.

While denying any wrongdoing, Bank of America agreed to settle the claims to avoid further litigation.

Under the terms of the settlement, eligible class members will receive:

1. Cash Payments:

   • A proportional share of the net settlement fund.
   • Class members can check their estimated payment on the settlement website under “Estimated Award Eligibility.”

2. Credit Report Relief:

   • Bank of America will request that credit reporting agencies delete any reference to class members’ auto loan accounts.
   • This deletion may improve class members’ credit scores.

No Claim Form Required: Class members do not need to file a claim form to receive benefits. Borrowers who do not exclude themselves will automatically receive settlement benefits if the court approves the settlement.