A San Jose, Calif., attorney has slapped the $9.4 billion SchoolsFirst Federal Credit Union, $6 billion Star One Credit Union and $1.3 billion Kern Schools Federal Credit Union with class action lawsuits that allege overdraft shenanigans.
The court documents, filed June 21 in Northern California U.S. District Court, contain the same language used in lawsuits against big banks like Bank of America, Wells Fargo and others.
Attorney Fernando Chavez and his plaintiffs accuse the big California credit unions of deceptive business practices that involve "the systematic manipulation and re-ordering of electronic debit transactions from the highest dollar amount to the lowest dollar amount … to maximize the amount of overdraft fees collected."
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