From 2017 to 2022, Navy Federal charged customers surprise overdraft fees on certain ATM withdrawals and debit card purchases, a federal agency found.

The nation’s largest credit union charged overdraft fees on purchases made with sufficient funds from 2017 to 2021, generating about $44 million per year from “surprise” fees, the CFPB said.

The Consumer Financial Protection Bureau (CFPB) has levied a significant enforcement action against Navy Federal Credit Union, the largest credit union in the United States, for imposing unlawful

CFPB found that Navy Federal violated Consumer Financial Protection Act by failing to reveal peer-to-peer payment posting times.

Navy Federal Credit Union must pay more than $95 million after an investigation found it charged customers millions in illegal overdraft fees over a five-year period, according to the Consumer Financial Protection Bureau.

Navy Federal Credit Union was ordered to pay more than $95 million in refunds and penalties after a US regulator accused the firm of charging customers illegal overdraft fees.

The Consumer Financial Protection Bureau (CFPB) today took action against Navy Federal Credit Union for charging illegal overdraft fees from 2017 to 2022.

Through its “Optional Overdraft Protection Service,” known as “OOPS,” Navy Federal charged consumers $20 for most overdraft transactions. The credit union collected nearly $1 billion in overdraft fees from 2017 to 2021.

Navy Federal Credit Union will pay a $15 million fine and return $80 million in "surprise" overdraft fees to its members to resolve an enforcement action from the Consumer Financial Protection Bureau.

Navy Federal users may have been overcharged for overdraft fees after the credit union ordered millions of dollars in fines and refunds, but that money could soon return to customers.