(Reuters) – Toronto-Dominion Bank agreed to pay $ 41.5 million to settle a US class action lawsuit to debit excess customer account fees, court documents show.
The settlement includes $ 20.75 million in cash and an equal amount in debt forgiveness. TD, Canada's second-largest lender with large operations in the United States, also agreed to pay $ 500,000 in costs, the newspapers showed. The settlement requires the approval of a judge.
The lawsuit was filed against TD in November 2018 by customers who were charged fees for insufficient funds several times when merchants repeated attempts to process the same transaction.
A TD spokeswoman declined to comment.
TD shares were unchanged in morning trading in Toronto.
The agreement proposes that TD will make a cash payment to the settlement fund within 1
On May 14, court documents showed that Bank of America Corps agreed to pay $ 75 million to resolve a similar lawsuit.
Separately, TD is awaiting trial in a court in Ontario where the liquidators of the collapsed Antigua bank of former Texas financier Robert Allen Stanford are seeking $ 4.5 billion in damages. Catalog