TTCU Federal Credit Union $3M Overdraft Fee Settlement

Individuals who had a checking account with TTCU Federal Credit Union, formerly TTCU The Credit Union or Tulsa Teachers Credit Union, and were charged an overdraft fee or insufficient funds fee between Aug. 31, 2015, and May 1, 2024, may be eligible to receive a payment, account credit or debt forgiveness from a class action settlement.

TTCU Federal Credit Union has agreed to pay $3 million to settle a class action lawsuit alleging that it improperly assessed overdraft fees, insufficient funds (NSF) fees, overdraft transfer fees, and related charges. The plaintiffs claimed these fees were assessed in violation of the account agreement and the implied covenant of good faith and fair dealing.

Who is eligible for an overdraft fee payout?

Class members must meet the following criteria:

• They had a checking account with TTCU Federal Credit Union, TTCU The Credit Union, or Tulsa Teachers Credit Union.
• They were charged an overdraft fee or insufficient funds fee between Aug. 31, 2015, and May 1, 2024

The fees covered by this settlement include:

• APSN fees: Overdraft fees on debit card transactions where there was enough money in the account at the time of authorization, but not enough at the time of settlement.
• ACH RET fees: Fees labeled as “ACH RET FEE” on a statement.
• Multiple NSF fees: Non-sufficient funds fees charged for ACH or check transactions that were re-submitted by a merchant after being rejected for insufficient funds.
• NSF fees and OD fees charged instead of a transfer fee: Fees assessed when there were sufficient funds in a savings, money market, or similar account to cover the transaction, but the checking account had insufficient funds.

How much is the class action settlement payment?

In addition to cash payments, the settlement also includes estimated $1 million in forgiveness of uncollected overdraft or insufficient funds fees that were assessed but not paid between Aug. 31, 2010, and Feb. 29, 2024.

The payment amount each class member receives will be determined by the number and type of fees they paid:

• Current TTCU members will receive a credit to their account.
• Former TTCU customers will a cash payment.
• Class members with outstanding account balances will have uncollected fees forgiven.

Breakdown of the settlement fund

• Settlement fund: $3,000,000 (cash)
• Forgiveness of uncollected fees: approximately $1,000,000 (not paid out in cash, but written off by TTCU)
• Attorneys’ fees: up to one-third of the total settlement value (including cash fund and forgiven fees), which is up to $1,333,333
• Settlement administration costs: approximately $190,815
• Service awards to class representatives: $10,000 each to Sarah Lee and Edwyna Synar; debt forgiveness for Claudia King
• Payments to class members: the remaining balance after deductions

No claim form required

Class members do not need to file a claim to receive a settlement payment or fee forgiveness.

$3 million overdraft fee settlement fund

The $3,000,000 settlement fund will include:

• Settlement administration costs: Approximately $190,815
• Attorneys’ fees: Up to $1,333,333
• Attorneys' litigation costs: To be presented to the court for approval at a later date
• Service awards to class representatives: $10,000 each to Sarah Lee and Edwyna Synar and debt forgiveness for Claudia King
• Payments to class members: Remaining settlement funds
• Forgiveness of uncollected fees: approximately $1,000,000

In addition to the cash settlement fund, TTCU will forgive approximately $1 million in uncollected fees.

Important dates

• Exclusion deadline: March 8, 2026
• Final approval hearing: April 28, 2026

When is the TTCU Federal Credit Union settlement payout date?

Payments and fee forgiveness will be issued to eligible class members approximately 90 days after the court grants final approval of the settlement.

Why was there a class action settlement?

The class action lawsuit alleged that TTCU Federal Credit Union improperly assessed certain overdraft fees, overdraft transfer fees, and insufficient funds fees in violation of its account agreements and the implied covenant of good faith and fair dealing. TTCU denies the allegations, but agreed to settle to avoid the cost and uncertainty of further litigation.

Sources

1. Class notice
2. Settlement website FAQ page
3. Settlement agreement