Pendleton Community Bank $750K Overdraft Fee Settlement

Current and former account holders who were charged certain overdraft or non-sufficient funds (NSF) fees by Bank of Mount Hope or Pendleton Community Bank between Aug. 5, 2012, and Dec. 31, 2025, may be eligible to receive a cash payment from a class action settlement.

Pendleton Community Bank Inc. has agreed to pay $750,000 to settle a class action lawsuit alleging it improperly charged certain overdraft and NSF fees. The settlement involves fees assessed by both Pendleton Community Bank and Bank of Mount Hope, which Pendleton acquired in October 2019.

Who is eligible for an overdraft fee payout

Class members are current and former account holders Individuals who were charged at least one of the following fees by Bank of Mount Hope or Pendleton Community Bank between Aug. 5, 2012, and Dec. 31, 2025:

• Overdraft fees on debit card transactions that were authorized when the account had sufficient funds, but settled when the account had insufficient funds, in the same amount as originally authorized (known as “APSN Fees”).
• Overdraft or non-sufficient funds fees on the second or third presentment of an item that had previously been returned for insufficient funds (“Retry Fees”).

• Current account holders will receive settlement payments as a credit to their bank account.
• Former account holders will receive a check by mail at their last known address.

How much is the settlement payment?

Pro rata cash payment: Eligible class members will receive an equal pro rata cash payment from the net settlement fund. Payment amount will be determined by the total number of qualifying accounts.

Example payout calculations

If the Net Settlement Fund is $500,000 after all deductions:

• If there are 2,000 eligible accounts: $500,000 ÷ 2,000 = $250 per account
• If there are 3,000 eligible accounts: $500,000 ÷ 3,000 = $166.67 per account

No claim form required

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

Payout options

• Current account holders: Payment will be credited directly to their account at Pendleton Community Bank Inc.
• Former account holders: Paper check mailed to the last known address

$750,000 overdraft fee settlement fund

The settlement fund of $750,000 will include

• Settlement administration costs: To be determined
• Attorneys’ fees: Up to $250,000
• Attorneys’ expenses: To be presented to the court for approval at a later date
• Service award to class representative: Up to $5,000
• Payments to class members: Remaining settlement funds

Important dates

• Fairness hearing: April 27, 2026
• Deadline to opt out: March 21, 2026

When is the Lewis v. Pendleton Community Bank Inc. payout date?

Account credits to current account holders will be issued approximately 51 days after the court grants final approval of the settlement. Payment will be issued to former account holders approximately 65 days after the final approval date.

Why was there a class action settlement?

This class action lawsuit was filed because plaintiffs claimed that Bank of Mount Hope and Pendleton Community Bank Inc. improperly charged overdraft and non-sufficient funds fees on certain transactions. The bank denies the allegations but agreed to settle to avoid the expense and risk of further litigation.

Sources

1. Official settlement website
2. Class notice
3. Settlement agreement