Court Approves $42 Million Settlement Against Bank of America for Fraud against Military Customers

Raleigh, N.C. A $42 million settlement bringing aid to thousands of military customers who were defrauded by Bank of America was preliminarily approved in an order issued on Sept. 13, 2017 by Judge Terrence W. Boyle of the U.S. District Court for the Eastern District of North Carolina.

The settlement comes after litigation challenging Bank of America's practices whereby military customers were being charged excessive interest on their interest-bearing obligations, including mortgage and credit card accounts, for several years.

The lawsuit, originally filed June 1, 2015, alleges that Bank of America violated the Servicemembers Civil Relief Act, the Truth in Lending Act and North Carolina's Unfair and Deceptive Trade Practices Act. The suit also accused Bank of America of violating common law, including breach of contract, negligence and negligent misrepresentation.

Payments will be issued pending final approval of the settlement by the court. The filed complaints in the lawsuit can be viewed at Once finally approved, tens of thousands of U.S. soldiers and sailors will receive direct payments to compensate them for damages.



About Hagens Berman
Hagens Berman Sobol Shapiro LLP is a consumer-rights class-action law firm with 11 offices across the country. The firm has been named to the National Law Journal’s Plaintiffs’ Hot List eight times. More about the law firm and its successes can be found at Follow the firm for updates and news at @ClassActionLaw.

Media Contact
Ashley Klann

Hagens Berman purchases advertisements on search engines, social media sites and other websites. Transmission of the information contained or available through this website is not intended to create, and receipt does not constitute, an attorney-client relationship. If you seek legal advice or representation by Hagens Berman, you must first enter a formal agreement. All information contained in any transmission is confidential and Hagens Berman agrees to protect information against unauthorized use, publication or disclosure. This site is regulated by the Washington Rules of Professional Conduct.