Navy Federal Credit Union has reached an agreement with the Consumer Financial Protection Bureau (CFPB) regarding overdraft fees on personal checking accounts. As part of this settlement, Navy Federal will pay a $15 million fine to the CFPB.

In a statement, Navy Federal emphasized its cooperation with the CFPB investigation and commitment to legal compliance. "Navy Federal fully cooperated with the CFPB’s investigation and we will continue to comply with all applicable laws and regulations, just as we always have and as we believe we did here," said the credit union. The organization stated that this settlement allows them to focus on serving their members and their families.

The credit union highlighted its mission of prioritizing members' needs by providing resources, tools, and support for financial growth. They also expressed a commitment to supporting military personnel, veterans, and their families in achieving financial goals.

Overdraft services at Navy Federal offer members an alternative to payday lenders by allowing necessary purchases without long-term debt. The credit union aims to help members avoid overdraft fees through specific programs and has been refunding certain fees since January 2023.

Navy Federal reported that its member-driven mission results in savings of an average of $461 per year for each member, amounting to over $4 billion annually. With upcoming enhancements in 2025, these benefits are expected to exceed $4.5 billion.

The credit union plans further refinements in fee avoidance processes and will eliminate non-sufficient fund fees for personal checking accounts starting Q1 2025. Members can still benefit from various overdraft options such as Optional Overdraft Protection Service (OOPS), Overdraft Savings Transfer, and Checking Lines of Credit.

Founded in 1933 with seven members, Navy Federal now serves over 14 million globally as the world's largest credit union. Membership is open to Department of Defense personnel and Coast Guard affiliates along with their families.

For more information about Navy Federal Credit Union, visit navyfederal.org.