TD Bank Class Action Settlement in Canada – How to Claim & Eligibility

TD Bank Class Action Settlement in Canada – For many Canadians, TD Bank is a trusted name in banking—a place to stash savings, pay bills, and manage daily finances. But in recent years, some customers discovered they were being charged fees they didn’t expect, sparking lawsuits that have now led to significant class-action settlements. In 2024 and heading into 2025, TD Bank has settled multiple class-action lawsuits, offering millions in compensation to affected customers.

These settlements cover issues like non-sufficient funds (NSF) fees, overdraft charges, and even high-pressure sales tactics. If you’ve been a TD Bank customer, you might be wondering: Am I eligible? How do I get my money? This detailed guide will walk you through the latest TD Bank class-action settlements in Canada, focusing on how to claim your share, who qualifies, and what to expect—all explained in plain, easy-to-follow language.

What’s Happening with TD Bank Settlements?

TD Bank, officially known as Toronto-Dominion Bank, has faced several legal challenges from customers who felt they were treated unfairly. These class-action lawsuits—where a group of people sue together—have accused the bank of things like charging multiple fees for the same transaction, hiding fee details, or pushing unnecessary products. Rather than fight these claims in court for years, TD Bank has agreed to settle, putting aside millions of dollars to pay affected customers. Here’s a look at the key settlements making waves in 2024 and 2025:

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1. NSF Fees Settlement ($15.9 Million): This one’s about those pesky non-sufficient funds fees. Customers claimed TD charged them multiple NSF fees (around $48 each) on a single payment—like when a pre-authorized debit was tried again after failing due to low funds. The Ontario Superior Court approved this $15.9 million settlement in February 2024.
2. Overdraft Fees Settlement ($32.2 Million): Another lawsuit tackled overdraft fees charged between June 2019 and September 2022. Customers said they got hit with fees on transactions that were okayed when their balance was positive but settled when it dipped negative. This $32.2 million deal got final approval in October 2024.
3. Shareholder Settlement ($22 Million): This one’s different—it’s for people who bought TD Bank shares between December 2015 and March 2017. After a 2017 CBC report exposed aggressive sales tactics, the stock dropped, and investors sued, claiming TD misled them. The settlement was approved in early 2024.

These settlements mean real money for eligible Canadians—anywhere from $88 to $150 per account for NSF and overdraft claims, or up to $3.90 per share for investors. Let’s break down each one so you know where you might fit in.

NSF Fees Settlement: $15.9 Million for Unfair Charges

What’s It About?

Imagine you set up an automatic bill payment, but your account’s a bit short. The payment fails, and TD charges you a $48 NSF fee. Fair enough—but then the merchant tries again, and TD charges another $48 for the same bill. Customers argued this was unfair and unclear in TD’s policies. The lawsuit, led by law firm Koskie Minsky LLP, said TD shouldn’t double-dip like that. After years of legal back-and-forth, TD agreed to pay $15.9 million to settle, without admitting fault.

Who’s Eligible?

You might get a piece of this if:

• You’re a Canadian resident.
• You had a personal deposit account (like a chequing account) with TD Bank.
• You were charged an NSF fee on a “re-presented pre-authorized debit transaction” between February 2, 2019, and November 27, 2023.
• Your TD account was still open when the settlement funds were distributed (around April 2024).

If your account’s closed now, you’re out of luck for this one—the money only went to active accounts.

How Much Can You Get?

After legal fees and other costs, about $9.74 million was left to split among eligible customers. Early estimates pegged the payout at around $88 per account, though it could vary depending on how many people qualified. Some sources suggest it might’ve reached $150 for those hit with multiple fees.

How to Claim It?

Good news: if you’re eligible, you don’t have to do anything! TD automatically deposited the money into active accounts in April 2024. No forms, no hassle—just check your statement from that month. If you didn’t see a deposit and think you should’ve, contact Koskie Minsky LLP at their settlement page or Service Canada at 1-800-277-9914.

Also Read: Canada $500/M + $2,100 GIS Increase in 2024 – Eligibility & Payment Dates

Overdraft Fees Settlement: $32.2 Million for Tricky Charges

What’s It About?

This settlement tackles a different fee headache: overdraft charges. Between June 27, 2019, and September 30, 2022, some TD customers were charged overdraft fees (typically $35-$48) on debit card purchases or withdrawals. The catch? These transactions were authorized when the account had enough money, but by the time they settled (a day or two later), the balance was too low. Customers said this wasn’t their fault and sued for a $32.2 million settlement, finalized on October 10, 2024.

Who’s Eligible?

You could claim this if:

• You’re a Canadian resident.
• You had a TD Bank personal chequing account between June 27, 2019, and September 30, 2022.
• You got an overdraft fee on a debit card transaction that was authorized with a positive balance but settled with insufficient funds.

How Much Can You Get?

The $32.2 million gets divided among claimants, so your payout depends on how many fees you were charged and how many people claim. There’s no fixed amount yet, but it could range from $50 to $150+, based on similar settlements. Current customers got paid automatically; former customers had to file a claim.

How to Claim It?

• Current TD Customers: No action needed—TD deposited your share into your account within 60 days of the October 10, 2024, approval (around mid-December 2024). Check your December statement!
• Former TD Customers: You had to submit a claim form by a deadline (likely early 2024, before the final hearing). Visit the official settlement website (check updates at Service Canada) or call 1-800-277-9914 to see if late claims are still accepted.

Shareholder Settlement: $22 Million for Investors

What’s It About?

This one’s not about bank accounts—it’s for investors. In 2017, CBC reported TD Bank staff were pressured to upsell products, even if customers didn’t need them. When the story broke, TD’s stock fell 4.8 points, hurting shareholders. The lawsuit claimed TD hid these shady sales tactics, misleading investors. TD settled for $22 million, approved in early 2024, without admitting wrongdoing.

Who’s Eligible?

You qualify if:

• You bought TD Bank securities (stocks) between December 3, 2015, and March 9, 2017.
• You held some or all of those shares until March 9, 2017 (when the stock dropped).
• You’re a person or entity (like a small business) in Canada or elsewhere.

How Much Can You Get?

Payouts are capped at $3.90 per “damaged share,” but the exact amount depends on how many people claimed by the May 13, 2024, deadline. After legal fees, less than $22 million was distributed, so it’s a smaller slice per person.

How to Claim It?

The claim window closed on May 13, 2024. You had to submit a form online at TD Bank Canadian Shareholder Settlement with proof of your stock purchases (like brokerage statements). If you missed it, you’re too late—but keep an eye out for future TD lawsuits.

Tips to Navigate These Settlements

• Check Your Records: Dig into old bank statements or stock records to confirm fees or share purchases during the eligibility periods.
• Act Fast: Deadlines matter—especially for former customers or shareholders. Missing them means missing out.
• Go Direct Deposit: If you’re still with TD, sign up for direct deposit via your online banking to get payments quicker.
• Stay Informed: Follow updates from Koskie Minsky LLP, Service Canada, or TD’s official channels. Settlement details can shift!

Also Read: Boost Your CPP Pension by $2,700 in 2025 – Claim Your Increase

Chart: TD Bank Class Action Settlements in Canada – Key Details

What’s Next for TD Customers?

These settlements are a win for fairness—thousands of Canadians are getting money back for fees they shouldn’t have paid. The NSF and overdraft payouts (totaling over $48 million combined) went straight to bank accounts for current customers, while former customers and shareholders had to jump through a few hoops. If you missed out this time, don’t worry—TD’s faced other lawsuits (like a $70 million mutual fund case in 2024), and more could pop up.

For now, if you’re a TD customer, keep an eye on your account for unexpected deposits—or check with Service Canada if you think you were overlooked. These settlements also push banks to be clearer about fees, so you might see better policies down the road. Whether it’s $88 or $150, every bit helps, right? Here’s to banking that’s a little less stressful and a lot more fair in 2025!