In The News
After Navy Federal Overdraft Fees Case Dropped, Experts Warn Troops Will Need to Be More Vigilant
Military.com – By Konstantin Toropin
July 10, 2025
“Former officials from the Consumer Financial Protection Bureau, or CFPB, are calling the watchdog’s choice to let Navy Federal Credit Union off the hook for charging its members — almost exclusively service members, veterans and their families — millions in illegal overdraft fees unprecedented, and they warn that the agency doesn’t seem to living up to its promise to protect troops from financial scams and predatory acts.”
“In November 2024, the consumer protection agency announced that Navy Federal had “illegally harvested tens of millions of dollars in junk fees” and that the financial institution had agreed to a settlement requiring the return of $80 million to its customers and payment of a $15 million fine. Last week, The Associated Press reported that the CFPB had dropped the case and the accompanying consent order that included the settlement, seemingly letting the credit union off the hook.”
“Military.com reached out to Navy Federal with several questions relating to this case but did not receive a response before publication, including specifically asking the company what it planned to do with the money it agreed to pay out in November.”
Big on TV advertising:
“Last year, USAA also agreed to settle a class-action lawsuit for $64.2 million over improperly charged fees and high interest rates that violated federal protections for service members who held loans.”
“When Navy Federal entered into its settlement with the CFPB, it not only agreed to the repayments and the fine, but also to stop charging the banned overdraft fees.”
“Both former CFPB officials who spoke with Military.com say that these actions are unlikely to happen now.”
“Meanwhile, dropping the settled case — something that the former officials said was unprecedented — flies in the face of repeated claims being made by Trump administration CFPB leaders that the agency is looking out for troops and veterans, advocates said.”
The Consumer Financial Protection Bureau is a federal agency.
Related:
Don’t lie to people and maybe they would be more patriotic.
National pride is declining in America
Photo-
Something from the last century
Post-Vietnam guilt
The guilt doesn’t seem to work towards staying out of undeclared/unwon wars, maintaining the barracks or managing federal contracts related to TRICARE.
A giant flag ritual at the next ball game will make it all good.