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|Thursday, January 05, 2012|
Portland-based Umpqua Bank is the latest to be hit with a class-action lawsuit for the way it charges overdraft fees.
The lawsuit, filed by California resident Amber Hawthorne, seeks to recover at least $5 million in damages and fees for Umpqua customers who got hit with an overdraft fee after the bank re-sequenced their debit-card transactions from highest to lowest.
The lawsuit alleges the bank decided when, whether and how to post debit transactions. It also regrouped transactions that occurred on separate days before re-ordering them from highest to lowest, according to the complaint.
That resulted in more overdraft fees than if the transactions had been posted in the order in which they were made, Hawthorne's suit says. Account statements given customers, however, presented transactions from lowest to highest, the lawsuit states.
Read more at OregonLive.com.
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