NEW YORK (AP) — The Consumer Financial Protection Bureau, led by President Trump’s administration, has dropped a case against Navy Federal Credit Union. The case involved $80 million in refunds for illegal overdraft fees charged to service members. The issue, known as “authorized positive overdraft fees,” occurred when transactions were approved but later incurred fees due to insufficient funds. Navy Federal stopped the practice in 2022 and had partially refunded customers. Previously, the credit union agreed to pay a $15 million fine and refund affected members. The CFPB provided little explanation for withdrawing the settlement, and Navy Federal has not clarified if refunds will continue.
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