Settling Overdraft Case to Cost PNC $15 Million

[The Straight Story]

Settling Overdraft Case to Cost PNC $15 Million


WASHINGTON (CN) - The Tycko & Zavareei law firm will take home more than $3 million in fees and costs after extracting a $12 million settlement from PNC Bank for allegedly keeping customers in the dark about overdraft policies, a federal judge ruled.

PNC Bank, formerly National City Bank, settled with the class earlier this year over allegations that the bank misled customers about their account balance, concealed its overdraft policies and "reorder electronic debit transactions from the highest dollar amount to the lowest dollar amount so as to deplete the customer's available funds as quickly as possible while maximizing the number of overdraft fees collected."

The bank paid out a $12 million settlement, which translated to $36 for each eligible overdraft charge incurred by a class member.

U.S. District Judge John Bates gave final approval to the settlement Thursday, and added to it with an award of $3 million in attorneys' fees, $77,857.05 in costs and expenses, and $5,000 in incentive fees to each of the three lead plaintiffs.

http://www.courthousenews.com/2011/12/05/41953.htm

[DCKit]

1. It seems that we've got a few judges on OUR side, for a change. nt

[Sherman A1]

2. And everyone got $36.00?

Oh, yippee.....

I am glad that PNC was called on their lousy policy, lost in court, but one wonders if this is really all that much punishment (or reward for the class)?