Canadian TD Bank customers can cash in on $16 million settlement soon

Some TD Bank users in Canada will receive a chunk of a massive class-action settlement soon.

Last Thursday, the Ontario Superior Court of Justice approved a settlement reached between TD Bank and Toronto law firm Koskie Minsky LLP over an ongoing class action regarding non-sufficient funds (NSF) fees.

The bank agreed to pay $15.9 million for the ongoing class action.

According to a statement from Koskie Minsky — the agency appointed as class counsel — TD allegedly charged multiple NSF fees on a single cheque issued or payment made. The financial institution denies all liability.

The Ontario Superior Court of Justice certified the class action on December 7, 2022.

Since the settlement has been approved, eligible class members will automatically receive a direct deposit of approximately $88 into their TD personal deposit account, according to the law firm.

Who’s eligible for this TD Bank settlement?

If you are a current or former customer of TD Bank in Canada who was charged on multiple NSF fees on re-represented pre-authorized debit transactions between February 2, 2019, and November 27, 2023, you may be eligible.

Koskie Minsky says there is no need to make a claim or sign up to receive the $88 compensation if you are eligible.

You’ll need to meet all of the following criteria to receive the payment, according to the law firm:

1. Is or was a personal deposit account holder with TD Bank.
2. Their personal deposit account with TD was charged a non-sufficient funds fee by TD Bank on a re-presented pre-authorized debit transaction from February 2, 2019, to November 27, 2023.
3. Their personal deposit account with TD remains open at the time of distribution.

The funds are expected to be distributed to eligible class members in early April.

The law firm says Canadians will be notified by TD Bank through EasyWeb, advising them that the settlement has been approved and that they are eligible to receive compensation.

Those who aren’t sure if they’re eligible are advised to contact Class Counsel here to confirm.

Meanwhile, another TD Bank class-action lawsuit has been settled in the Superior Court of Quebec.

The financial institution will also pay out $22 million to eligible TD employees over a class-action lawsuit that claims the company “failed and omitted to disclose that the increase in revenue was driven by an unethical, illegal and predatory sales program.”