Soto v BPPR Settlement: Eligibility, Payment Timeline & Key Details 2024

Table of Contents#

1. What Is the Soto v BPPR Settlement?
2. Full Eligibility Criteria for Settlement Payments
3. How Settlement Payments Were Distributed
4. Official Settlement Payment Timeline
5. Expected Payment Amounts
6. Frequently Asked Questions
7. References

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What Is the Soto v BPPR Settlement?#

Filed in January 2020 by lead plaintiff Pedro Soto-Melendez, the Soto v BPPR class action lawsuit challenged BPPR's practice of reprocessing rejected electronic transactions (debit card purchases, ACH bill payments) up to 3 times, charging separate $15 NSF fees for each reprocessing attempt. Plaintiffs argued this practice was deceptive, as customers only attempted a single payment, and the fees far exceeded what BPPR's own account agreement permitted. The complaint alleged that a single rejected ACH payment could result in$45 in NSF fees — three separate $15 charges — despite the account agreement stating that only "one determination of availability of funds" would be made per item.

In December 2022, BPPR agreed to a $5.5 million non-admission settlement, meaning it did not acknowledge any illegal activity, but agreed to distribute the fund to eligible class members. The U.S. District Court for the District of Puerto Rico granted final approval on March 14, 2023.

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Full Eligibility Criteria for Settlement Payments#

You qualified for a settlement payment if you met all of the following criteria: ✅ You held a consumer checking account with BPPR between February 1, 2016 and April 1, 2022 ✅ You were charged 2 or more separate NSF fees on the same reprocessed debit card or ACH transaction during the class period ✅ You did not submit a formal opt-out request before the opt-out deadline of February 12, 2023

Excluded Parties#

The following groups were not eligible for payments:

• BPPR executive officers, employees, and their immediate family members
• The judge presiding over the case and their immediate family members
• Customers who opted out of the class action before the February 12, 2023 deadline

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How Settlement Payments Were Distributed#

No claim form was required to receive a settlement payment. Class members who did not opt out automatically received their share of the settlement fund. The distribution method depended on your account status:

• Current BPPR customers: Payments were distributed as automatic account credits
• Former BPPR customers without active accounts: Payments were sent as paper checks to the last known address on file

If you believe you were eligible but did not receive a payment, you can contact the settlement administrator to check your status and update your address.

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Official Settlement Payment Timeline#

The settlement followed this timeline:

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Expected Payment Amounts#

The $5.5 million settlement fund was allocated as follows:

• Up to 33% ($1.815 million) for attorney fees and litigation costs
• Up to $10,000 service award for lead plaintiff Pedro Soto-Melendez
• Settlement administrative costs (managed by Kroll Settlement Administration)

The remaining funds were distributed pro rata to eligible class members based on the number of excess NSF fees they were charged during the class period. Actual payment amounts varied depending on the total number of valid claims. Reports from class members who received payments indicated amounts ranging from a few dollars to approximately $33, reflecting the pro rata distribution across a large class.

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Frequently Asked Questions#

Q: I didn't receive a settlement payment, am I still eligible?#

A: If you were a BPPR checking account customer who was charged multiple NSF fees on the same transaction between February 2016 and April 2022, and you did not opt out, you may have been eligible. Contact the settlement administrator at 833-709-0653 to check your status. Payments were sent to the last known address on file, so if you moved during the class period, your check may have been undeliverable.

Q: Do I have to pay taxes on my settlement payment?#

A: The payment is generally considered a refund of previously paid bank fees, so it is typically not taxable for most filers. Consult a tax professional for guidance specific to your financial situation.

Q: Can I still object to the settlement?#

A: No. The objection deadline passed on February 12, 2023, along with the opt-out deadline. The settlement received final court approval on March 14, 2023.

Q: How do I update my address or payment method?#

A: Contact the settlement administrator, Kroll Settlement Administration LLC, at 833-709-0653 or by mail at PO Box 225391, New York, NY 10150-5391 to update your contact information.

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References#

1. Official Soto v BPPR Settlement Website: https://www.prbankfeeclassaction.com
2. United States District Court for the District of Puerto Rico, Case No. 3:20-cv-01057: Soto-Melendez v. Banco Popular de Puerto Rico
3. ClassAction.org Case Filing: https://www.classaction.org/news/banco-popular-de-puerto-rico-hit-with-class-action-over-allegedly-unlawful-insufficient-funds-fees
4. Top Class Actions Settlement Summary: https://topclassactions.com/lawsuit-settlements/closed-settlements/banco-popular-de-puerto-rico-bppr-nsf-fees-5-5m-class-action-settlement/