Bank of America customers eligible to receive a portion of the bank’s settlement are set to smile at the bank. The bank will pay customers up to $21 million in settlements.
The Aaron Aseltine vs. Bank of America Lawsuit
The bank faced a lawsuit for purposefully obscuring wire transactions. This came after it was discovered that customers were misled into paying for charges totaling up to $15. The charges were not disclosed adequately, violating customer trust and breaching the terms of the agreements for owning an account.
“The bank charged us without telling us, which is wrong.” The plaintiff argued.
The settlement aims to reimburse the affected customers. The bank chose this route instead of a court hearing. However, it did not admit to any wrongdoing on its part.
The decision to settle out of court was understood to be to avoid a contentious suit that could have led to further damage to the bank’s image clean.
Eligibility for receiving the payout
Not all customers are eligible to receive the payment. Those who are eligible must meet the following conditions:
- They must have been Bank of America customers between March 8th, 2019, and August 31st, 2023.
- They must also have a checking or savings account between March 8th, 2019, and August 30th, 2023.
- Also, the individual must prove they were charged the $15 incoming wire transaction fee.
How to receive the settlement
Receiving the payment is designd to be a smooth process. This is because the payment will automatically reflect in customers’ bank balances. Those who accept it will automatically do so, but those who opt out will not.
A check will be sent if the affected individual is no longer a Bank of America user. The check will land in the receiver’s mail.
Notably, customers can choose to opt out of the settlement. Those who do this must indicate this by September 21st, 2024. This could be because they want to pursue their own action against the bank, which they may consider could lead to a higher settlement.
The final approval hearing for the payment will be on October 21st. Payments will start coming in just after that date.
How much will each affected customer receive?
It is yet to be revealed how much each individual will receive. This largely depends on how many customers are affected and eligible.
However, one-third of the total $21 million settlement will be used to pay legal fees of around $7 million.
Despite that, one customer noted that they are ‘’excited to see how much they will get.
