Bank of America has agreed to a $2.25 million class action settlement following allegations that the financial institution improperly hit customers with duplicate out-of-network fees during single ATM visits. The legal challenge focuses on a specific pattern of automated transactions where account holders were charged multiple times for making a balance inquiry alongside cash withdrawals at independent terminals.
The litigation centers entirely on third-party ATM machines operated by FCTI, Inc., which are located inside 7-Eleven convenience stores across the United States. According to the lawsuit, customers using these specific terminals faced layered, consecutive fees for a single session, a practice that consumer advocates heavily criticize as a prominent example of hidden corporate junk fees impacting everyday banking consumers.
Who is eligible for the Bank of America ATM settlement?
The settlement class includes both current and former Bank of America account holders who were assessed more than one out-of-network balance inquiry fee during a single visit to an FCTI-owned ATM at a 7-Eleven location. The specific timeframe covered by this lawsuit spans from May 1, 2018, through November 26, 2021.
Under the terms of the agreement, the distribution process depends on your current account status. Active Bank of America account holders do not need to take any direct action to receive their portion of the settlement, as funds will be distributed automatically. However, former account holders must explicitly submit a valid claim form to participate in the cash payout.
Deadlines and hearing schedules for account holders
For former account holders looking to secure their payout, the strict deadline to file a claim is June 29, 2026. Failing to file by this date will result in a forfeiture of any financial compensation from the fund. The legal proceedings will culminate later in the summer, with a final approval hearing scheduled for August 21, 2026, where a judge will officially sign off on the distribution plan.
A crucial restriction applies to consumers who have participated in previous legal actions against the ATM operator itself. Individuals who already recovered funds or filed claims under the separate Weiss v. FCTI, Inc. class action settlement, which concluded with a $10 million payout, are completely barred from receiving compensation under this new Bank of America fund.
Understanding the FCTI and 7-Eleven fee structure
The underlying dispute highlights the complex relationships between major retail banks, independent ATM networks, and convenience store chains. While Bank of America operates thousands of its own branded kiosks, transactions handled via the FCTI network inside retail environments triggered automated out-of-network rules, causing the system to double-dip on processing fees during consecutive actions like checking a balance right before withdrawing physical cash.
According to data outlined in the USA Today report, the settlement aims to resolve these long-running disputes over automated fee layers without the bank admitting to any systemic wrongdoing or legal liability. The total settlement amount of $2.25 million will be used to cover administrative costs, legal fees, and direct cash benefits to verified claimants who faced duplicate transaction penalties.
Those seeking to check their eligibility or monitor the status of the distribution can access specific logistical steps detailed via the official Fox 10 Phoenix coverage, which outlines the structural management of the claims portal ahead of the summer deadlines.