Navy Federal Fined $95M for Illegal Overdraft Fees by CFPB
Navy Federal Credit Union has been ordered to pay over $95 million after the Consumer Financial Protection Bureau (CFPB) found it charged customers illegal overdraft fees from 2017 to 2022. The credit union collected nearly $1 billion in fees, including surprise charges on transactions with sufficient funds and fees from delayed peer-to-peer payments. Navy Federal will refund over $80 million to consumers and pay a $15 million civil penalty. The CFPB's action aims to eliminate illegal fees and protect consumers, including servicemembers and veterans.