Credit unions across the country were hit recently with class-action lawsuits over their overdraftdisclosures, but at least two are suing the plaintiffs rightback.

Since September, at least a dozen credit unions in nine stateshave been sued in federal court over their overdraft practices.Often, the dispute is over whether and how credit unions disclosethe use of available balances when applying overdraft fees.However, two credit unions – the Bakersfield, Calif.-based KernSchools Federal Credit Union and the Bethpage, N.Y.-based BethpageFederal Credit Union – are fighting back by countersuing for breachof contract.

Should CUs be concerned about theoverdraft lawsuits?
Yes, thenoncompliant ones should. Yes, compliant CUswill be caught in the wake. No, these suitsare baseless. OtherPlease Specify:

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Kern Schools said it wants $615.09 plus interest from ChristinaMoralez, who filed a class-action suit against the credit union onSept. 23, 2015. Bethpage said it wants $889.70 plus interest fromSheila McDermott, who filed a class-action suit against the creditunion on Oct. 14, 2015.

The Redlands, Calif.-based McCune Wright and the Santa Monica,Calif.-based The Kick Law Firm represent both Moralez andMcDermott, as well as the plaintiffs in 10 other overdraft cases filed in recent months. McCune Wrightand The Kick Law Firm did not respond to requests for comment.

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