Bank of America Settlement: Monday Is the Deadline – See If You Qualify Today

Large class action lawsuits can offer substantial financial compensation and a measure of justice for consumers when major financial institutions like Bank of America are accused of violating consumer rights. When thousands or even millions of individuals join together in litigation against a corporation with billions in assets, the collective strength of the group can often lead to successful outcomes—even when facing one of the nation’s largest banks.

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Bank of America Settlement Process

Bank of America, the second-largest bank in the United States by total assets, serves just over 69 million people across the country. With $3.26 trillion in assets as of 2024 and 3,700 locations nationwide, it ranks sixth globally in terms of total assets. The bank is also expanding its physical footprint, with plans to open 150 new branches by the end of 2027, underscoring its commitment to in-person banking alongside digital services.

Recent Bank of America Settlement: What Happened?

Earlier this year, Bank of America agreed to a $2.85 million settlement to resolve allegations that it violated New York’s Exempt Income Protection Act (EIPA). This law protects certain types of income—such as Social Security, veterans’ benefits, and other exempt funds—from being seized or frozen by creditors.

The lawsuit claimed that Bank of America charged fees on accounts that were subject to attachment or garnishment, violating EIPA. Specifically, the bank was accused of calculating fees based on an aggregated judgment rather than evaluating each account individually, as required by the law. Additionally, Bank of America allegedly sent certified checks to judgment debtors for their exempt funds instead of making those funds available directly in their accounts, and then charged fees for this process—another violation of EIPA.

Who Qualifies for the Settlement?

**The settlement is open to Bank of America account holders who had their accounts restrained and/or levied upon between January 1, 2009, and February 17, 2023, in violation of EIPA.**

If you fall into this group, you are likely eligible for a payment from the settlement fund. No claim form is required; eligible class members who do not exclude themselves will automatically receive settlement benefits. Cash payments are estimated to be around $35 per person, though the final amount could vary depending on the number of claimants and approved costs and fees.

How the Settlement Process Works

Bank of America has not admitted any wrongdoing as part of the settlement. The deadline for exclusion and objection was May 19, 2025, and the final approval hearing was scheduled for June 18, 2025. If you did not exclude yourself from the settlement, you will automatically receive your share of the settlement fund.

Payments are expected to be issued as early as 45 days after final approval if there are no appeals. If your account was jointly held, all account holders will receive a single payment, made out to all parties.

Why Class Action Lawsuits Matter

Class action lawsuits are a powerful tool for consumers to hold large corporations accountable. When a company as large as Bank of America is accused of violating consumer rights, individual lawsuits may not be feasible due to the high costs and legal complexities involved. However, by joining together, consumers can present a unified front, making it more likely that the case will be heard and that justice will be served.

In this case, the settlement not only provides financial compensation to affected account holders but also requires Bank of America to change its business practices. As of August 2017, the bank no longer aggregates judgment debtors’ accounts before calculating exempt amounts, and as of February 2023, it agreed to retain exempt funds in judgment debtors’ accounts.

Bank of America’s Commitment to In-Person Banking

Despite the increasing popularity of digital banking—over 90% of Bank of America’s client interactions occur online—the bank continues to prioritize its physical presence. Holly O’Neill, president of consumer, retail and preferred banking at Bank of America, has stated that the bank is always evaluating new markets and believes that digital business growth is accelerated in areas where the bank has a physical branch.

This dual approach—maintaining a robust digital platform while expanding its brick-and-mortar locations—helps Bank of America serve a diverse customer base and adapt to changing consumer preferences.

Other Notable Bank of America Settlements

Bank of America has a history of settling large-scale lawsuits. In 2014, the bank’s board of directors supported a proposed settlement of more than $16 billion to resolve government probes into the sale of toxic mortgage-backed securities, marking the largest federal settlement with a single corporation in U.S. history at the time. The settlement included $9 billion in cash penalties and between $7 billion and $8 billion in consumer relief.

More recently, in April 2025, Bank of America was ordered to pay $540.3 million in a lawsuit brought by the Federal Deposit Insurance Corp. (FDIC), which accused the bank of paying less than it owed for deposit insurance.

Key Bank of America Settlement Details

Q: Do I need to file a claim to receive a payment from the Bank of America settlement?
A: No, eligible class members who do not exclude themselves will automatically receive a payment.

Q: How much will I receive from the settlement?
A: Payments are estimated to be around $35 per claimant, but the final amount may vary.

Q: What if my account was jointly held?
A: Joint account holders will receive a single payment made out to all parties.

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