Los Angeles, CA: Capital One Bank NA has been ordered to pay in excess of $31.7 million to settle a multidistrict litigation (MDL) alleging several banks processed customer transactions in an order that would make the banks the most in overdraft fees.
The MDL settlement received preliminary approval Wednesday, and follows earlier settlement agreements made with several other banks named in the suits, which were filed in 2010.
A final approval hearing has been requested for May. The plaintiffs state that the agreement is "an outstanding result for the settlement class."If approved, it will see a cash payment amounting to roughly 35 percent of the most likely maximum recovery the settlement class could have recovered through a trial.
Class members who do not choose to opt out of the settlement will automatically receive pro-rated shares from the settlement fund.