FAQ

Frequently Asked Questions

1. What is an overdraft fee?
2. How do class action lawsuits work?
3. How do I sign up to be a member of the class?
4. Can I file my own lawsuit?
5. Which class would I fall into?
6. How much can I expect to recover?
7. Do I have to live and bank in Florida?
8. What information do you need from me?
9. How long will it take to resolve?
10. How many and which banks are you suing?
11. How much does it cost to join the Class Action lawsuit against my bank?
12. How do I get more information?

1. What is an overdraft fee?

An overdraft occurs when a bank customer’s withdrawals from his or her bank account exceed the balance available in the account, resulting in a negative account balance. Consequently, banks charge an overdraft fee, or an insufficient funds fee, usually around $35 as a penalty for the negative account balance. For each withdrawal made on the negative account balance, the bank charges an overdraft fee. Banks often impose fees for each day the account is negative, or will impose such fees after a certain number of days (“sustained overdraft fees”).

In addition to writing checks and making withdrawals from a bank, debit cards are a common way to purchase goods and services. Until a few years ago, most banks simply declined debit transactions that would overdraw an account, similar to the way a credit card may be declined if the amount charged exceeds the credit card’s spending limit. Today, banks routinely process such transactions, without warning, and then charge its customers an overdraft fee. This automatic overdraft protection program in which the bank “covers” the cost of the charge while the customer’s account balance is negative is also paid in an order out of sequence with how the customer’s debit card charges originally took place. By reordering the charges in a largest to smallest order, and not in a chronological or smallest to largest order, a bank can force a customer’s account into a negative balance more quickly, and assess more overdraft fees for each charge made on the negative balance.

2. How do class action lawsuits work?

A class action is a convenient way for a large number of plaintiffs with similar causes of action to bring one lawsuit. Bringing multiple individual lawsuits can be burdensome, costly, and result in differing recovery among the different plaintiffs in their lawsuits. A class action, however, typically involves lower litigation costs and more uniform recovery (if available, as the result of either settlement of the case or a trial verdict).

3. How do I sign up to be a member of the class?

Contact us and we will review your bank statements and records to determine whether your case is within the type of cases we are filing.

4. Can I file my own lawsuit?

It is important to retain counsel experienced in litigation. Also, it may be less costly for you to join the class action lawsuit. If you contact us, we can answer your questions with your personalized situation in mind.

5. Which class would I fall into?

This depends on what you have experienced with your bank. When you contact us, we will review your bank statements and records to determine whether you have been a victim of a bank’s re-sequencing scheme. For example, in our BankAtlantic action, we have three classes: (1) bank customers who have been assessed overdraft fees as a result of a largest-to-smallest re-sequencing scheme; (2) bank customers who have been assessed overdraft fees while maintaining a positive balance in their accounts; and (3) bank customers who have been assessed premature sustained overdraft fees.

6. How much can I expect to recover?

We cannot make promises or even estimate as to how much you would recover, because any decision as to compensation rests ultimately with the court. If the lawsuit either settles or a trial is held which results in a recovery, the members of the class will divide that amount amongst them, minus attorney’s fees and costs or with attorney’s fees and costs awarded separately by the court.

7. Do I have to live and bank in Florida?

No.

8. What information do you need from me?

If you believe your bank has wrongfully imposed overdraft fees on your account, please forward the following information to info@HLGLawyers.com.

• All bank statements and any receipts demonstrating the re-ordering of debits and deposits, sustained overdraft fees or overdraft fees charged while you had a positive bank balance;

• Your contact information;

• Date you opened your account with the bank and the date you closed the account, if applicable;

• Your depositor agreement, if available;

• Date the first fee was incurred;

• Total amount of overdraft fees;

• Any written communication you have had with the bank regarding the fees. Please also indicate if you have spoken with someone in person at a bank branch or over the phone with any bank representatives. If you have the name and contact information of any bank representatives you have spoken with, please include this as well.

All information you provide is treated as confidential and Higer Lichter & Givner, LLP, agrees to protect any information you provide against unauthorized use, publication, or disclosure. If you do not wish to submit information via the Internet, please contact us by phone at (305) 356-7549 to discuss whether your matter is within the type of cases we are filing.

9. How long will it take to resolve?

A class action lawsuit could potentially proceed for a couple of years or more. Until the litigation is under way, it is impossible to determine a timetable for resolution. However, as a client of our firm, you will receive regular status updates and you can always contact us regarding the status of the lawsuit.

10. How many and which banks are you suing?

Our firm has partnered with other national firms in instituting class action lawsuits against Wachovia Bank, JP Morgan Chase Bank, BankAtlantic, and other banks. If your bank is not listed, please contact us.

11. How much does it cost to join the class action lawsuit against my bank?

Nothing. One of the great benefits of class actions is that they are handled on a contingency basis and your attorneys only get paid by an order of the court if there is a successful resolution of the matter (whether by settlement, court or jury award, or otherwise). We will advance the expenses and costs reasonably required. All such costs advanced will be reimbursed through the net proceeds of any and all recovery obtained on your behalf. The court will ensure that all fees are reasonable and fair. If we do not recover any money through the class action lawsuits, you do not have to pay us anything.

12. How do I get more information?