On July 1, 2025, the Reuters reported that the CFPB canceled a $95 million settlement with Navy Federal Credit Union, accused of illegally charging surprise overdraft fees. Navy Federal Credit Union is the largest credit union in the United States and serves active duty military members, veterans, Department of Defense civilian employees, and their families.
In November 2024, the CFPB took action against Navy Federal Credit Union for illegally collecting nearly $1 billion in overdraft fees from 2017 to 2021. As a result, the CFPB ordered Navy Federal to pay more than $80 million in consumer redress, stop charging certain overdraft fees altogether; and pay a $15 million civil penalty to the CFPB’s victims relief fund.
CFPB acting Director Russell Vought said the November order was terminated, including provisions requiring redress payments to allegedly harmed consumers.
Read the Reuter’s article here.
