A federal regulator sued TCF National Bank, alleging that it tricked customers into paying big overdraft fees.
The Consumer Financial Protection Bureau filed suit against the bank in U.S. District Court in Minnesota on Thursday. The CFPB seeks undisclosed civil penalties and redress for consumers. TCF is based in Wayzata, Minnesota, and has 341 branches in Arizona, Colorado, Michigan, Minnesota, South Dakota and Wisconsin.
Overdraft fees are charges banks assess when a purchase with your debit card, ATM or check puts your account balance in the red.
Over the first three quarters of 2016, 626 large banks took in $8.4 billion from overdraft and “non-sufficient funds” fees, according to the U.S. Public Interest Research Group, a federation of consumer advocacy groups.