The Bank Slate

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Provident Financial in N.J. settles overdraft fee litigation

Provident Financial Services in Jersey City, N.J., has settled a lawsuit tied to its overdraft fees.

The $24.1 billion-asset company disclosed in a regulatory filing that it agreed to pay nearly $1.9 million to a settlement fund in a court-approved arrangement.

The lawsuit, filed in the Superior Court of New Jersey, alleged that the bank wrongfully assessed overdraft fees related to debit card transactions. The complaint asserted claims for breach of contract, breach of the covenant of good faith and fair dealing and an alleged violation of the New Jersey Consumer Fraud Act.

Provident Financial denied any liability or wrongdoing tied to the claims.

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