NAB first of four to pay for poor fee claims
A settlement could be on the way that would see about 30,000 NAB customers share in up to $40 million in compensation.
A deal would make NAB the first of the big four banks to deal with the class actions they all face over excessive fees.
Each of Australia’s big four banks has been found in breach of their corporate responsibilities, in cases involving tens of thousands of customers.
News Corp media outlets are reporting that paperwork has been lodged on the way to a settlement in the case, which has been running since 2011.
“We are doing this because we believe this is the right thing to do for our customers and our business,” Mr Thorburn said in a letter sent to council members on Tuesday night, published by News Corp.
A Federal Court hearing is due to start on November 18.
If the joint application by the bank and class action lawyers Maurice Blackburn to settle is accepted, NAB customers will be invited to join the case and receive their part of any resulting payout.
Once the total sum of the final settlement has been worked out, reports say NAB could distribute payouts to its customers by mid-2015.
It is estimated, based on the number of customers affected, that the final compensation figure will end up around $40 million.