A 15-year legal battle over SunTrust Bank’s overdraft fees has ended with a $240 million settlement — and if you were a SunTrust customer in Georgia, money could be coming your way.
The case, Bickerstaff v. SunTrust Bankargued something that most banks don’t want you to think about: that Overdraft fees are actually disguised interest charges – and that SunTrust charged rates that violated Georgia’s usury laws.
The original plaintiff who started this fight died in 2014. The case outlived him. That’s how hard banks will fight to keep charging you €36 every time your debit card is €20 overdrawn.
$240 millionTotal settlement
$32–$36Per overdraft rate
15 yearsDuration of the legal battle
What the lawsuit was about
Charles Daniel Bickerstaff filed the class action in 2010. arguing that SunTrust’s fixed costs are overdrawn – $32 or $36 per transaction – was actually interest charges. Under Georgian usury laws, interest rates are capped. If you are overdrawn by €5 and are charged €36, the calculation of that ‘interest rate’ is astronomical.
The argument is elegantly simple: an overdraft is a short-term loan from the bank. The fee is the price of that loan. That makes it interesting. And when it comes to interest, Georgian law says there is a cap.
The math that mattered: SunTrust charged a flat fee of $36 for overdrafts of $500 or less. On a $20 overdraft that is paid off in a few days, that $36 amount amounts to an annual percentage rate (APR) in the thousands – far higher than Georgia’s usury limits. The court agreed that this argument was valid.
SunTrust (now Truist) fought this case through all courts in Georgia. The Georgia Supreme Court sided with consumers. When Truist appealed to the U.S. Supreme Court in January 2026, the Court refused to hear the case. Days later, Truist agreed to settle for up to $240 million.
Who is eligible for a payment
Based on the class definition in the caseyou may qualify if all of the following applies:
- You were one Georgian citizen continuing from the date the lawsuit was filed through October 6, 2017
- You had one or more SunTrust Bank Accounts
- Between July 12, 2006 and October 6, 2017you had at least one overdraft of $500 or less via an ATM or PIN transaction
- You bridging costs paid as a result of that transaction
- You did no refund received of those fees
Important: This settlement currently applies to Georgia residents only. The case fell under Georgian usury laws. If you were a SunTrust customer in another state, this particular settlement won’t cover you, although it could set a precedent for similar claims elsewhere.
How to make a claim
The settlement is pending court approval. The official settlement website is:
suntrustoverdraftclassaction.com
This is what you can expect:
- The settlement agreement was signed on January 20, 2026
- It is expected that a request for preliminary approval will be filed with the court
- Once approved, group members will receive a message with instructions on how to file a claim
- Payments to class members are subject to the submission of valid claims
What to do now: Even if the claims process isn’t open yet, bookmark it the settlement website and come back regularly. If you still have old SunTrust bank statements showing overdraft fees from the period 2006-2017, keep them; these may support your claim.
What this means for consumers
This matter is more important than one bank in one state. This is why:
The precedent
- The court ruled on the overdraft fees can are regarded as interest
- That means usury laws can apply to bank charges
- Other states with usury limits could see similar lawsuits
- Banks may reconsider fixed rate overdraft structures
The reality check
- This only applies (for the time being) to residents of Georgia
- The claims process has not yet started
- Individual payments depend on the total number of valid claims submitted
- Truist still makes billions annually – $240 million is a line item
The lawsuit was originally intended up to $452 million in damages and prejudgment interest. The $240 million settlement is roughly 53% of that amount – which is actually a strong recovery for a class action.
The financial consequences for Truist
For perspective on what $240 million means for a $542 billion bank: Truist included $130 million in costs charged to fourth quarter 2025 earnings as a result of this settlement. That reduced earnings per share by 12 cents for the quarter and 18 cents for the full year.
The bank took fifteen years and took this case all the way to the U.S. Supreme Court before reaching a settlement. That tells you how much was at stake – not just the money, but also the legal precedent that overdrafts equal interest.
The bigger picture: American consumers paid an estimated $9.1 billion in overdrafts and NSF fees in 2022 aloneaccording to the CFPB. While that’s down from 2019’s peak of $15.5 billion, it’s still a huge revenue stream for banks — and lawsuits like Bickerstaff The question arises whether these fees are legal at all.
A 15-year fight: timeline of the case
- 2010: Charles Daniel Bickerstaff files a class action complaint against SunTrust Bank in Fulton County, Georgia
- 2014: Original claimant dies; case is pursued on behalf of the class
- 2016: Rules of the Supreme Court of Georgia that overdraft fees may be considered interest under the usury laws
- 2019: Court of Appeal of Georgia class action certification with green light
- 2019: SunTrust merges with BB&T to form Truist Financial
- 2025: The court issues an omnibus order on several motions after discovery is completed
- January 2026: The US Supreme Court refuses to hear Truist’s appeal
- January 20, 2026: Settlement agreement signed for up to $240 million
Debt is math, not morality. And sometimes the math proves the bank wrong.–Steve Rhode
What should you do if you have debts?
If overdrafts have been contributing to your debt problems – or if you’re struggling with debt for any reason – know that you have more options than just paying them off:
- Check your eligibility – Bookmark suntrustoverdraftclassaction.com and check back later when the claims process opens
- Understand ALL your options — Take the free Find Your Path quiz to see which approach works best for your specific situation
- Don’t touch your pension — Even if bank fees get you in trouble, your 401(k) and IRA are protected. Never cash them to pay unsecured debts.
Key Takeaways
- SunTrust (now Truist) agreed to pay up to the maximum $240 million to settle a 15-year overdraft class action
- The case found that overdraft fees can be classified as interest charges subject to usury laws
- Be eligible class members Residents of Georgia with SunTrust accounts that paid overdraft fees on transactions of $500 or less between July 2006 and October 2017
- The settlement is pending court approval – Bookmark the official website for updates on filing claims
- This precedent could impact similar lawsuits against other banks in states with usury limits
Frequently asked questions
How much money will I get from the SunTrust overdraft scheme?
Individual payment amounts have not yet been announced. The total settlement amounts to up to $240 million, and payments will depend on the number of valid claims filed. The more people who file, the smaller each individual payment, but given the size of the settlement, payments may make sense. The original lawsuit sought $452 million, so the recovery rate is approximately 53%.
Do I need to file a claim to receive payment from the SunTrust settlement?
Yes. Under the settlement terms, payments to class members are contingent on filing valid claims. The claims procedure has not yet been opened; the settlement is pending court approval. Visit suntrustoverdraftclassaction.com for updates on when and how to submit.
I had a SunTrust account, but I don’t live in Georgia. Am I eligible?
This settlement applies to Georgian citizens who maintained continuous residence in Georgia during the class period (from the date the lawsuit was filed through October 6, 2017). If you were not a resident of Georgia at the time, you are not part of this class. However, the legal precedent – that overdraft fees can be considered interest – could potentially support similar claims in other states with usury laws.
SunTrust became Truist. Does this arrangement still apply?
Yes. SunTrust merged with BB&T in 2019 to form Truist Financial. Truist inherited this lawsuit and is the entity paying the settlement. The class period covers SunTrust’s pre-merger operations from July 2006 to October 2017.
What should I do if I no longer have my old SunTrust bank statements?
Although the specific claims process has not yet been announced, class action settlements typically use banking information to verify eligibility. SunTrust (now Truist) likely has records of overdraft fees charged during the class period. However, having your own information can help support your claim and speed up the process. If you have any old statements, keep them.
(Source: American banker | Official settlement website | FindLaw case record)
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