Scotiabank $10.45 Million NSF Fee Settlement, Check If You Qualify — Canaan Alexander v. The Bank of Nova Scotia

Scotiabank NSF Fee Settlement — Key Facts

Field	Detail
Settlement Amount	$10,450,000 CAD
Action Required	None. Payments are automatic — there is no claim form.
Who Qualifies	Canadian resident, current BNS personal deposit account holder, charged a duplicate NSF fee on a re-presented pre-authorized debit between June 21, 2020, and April 30, 2024
Estimated Payout	Approximately $42.82 per eligible customer
Settlement Status	Approved by the Ontario Superior Court of Justice on June 12, 2026
Court & Case Name	Ontario Superior Court of Justice — Canaan Alexander v. The Bank of Nova Scotia
Law Alleged	Breach of contract and unjust enrichment claims tied to duplicate NSF fee charges
Class Counsel	Koskie Minsky LLP
Distribution Method	Direct deposit into your existing BNS account
Last Updated	July 17, 2026

If you bank with Scotiabank and got hit with two NSF fees on the same bounced pre-authorized payment sometime between mid-2020 and early 2024, you may already be getting money back — and you don’t have to do anything to get it.

Who Is Scotiabank and Why Are They Being Sued Over NSF Fees?

The Bank of Nova Scotia is one of Canada’s five largest banks. This case, along with nearly identical ones against TD, RBC, CIBC, and BMO, argued the bank charged customers twice for a single failed pre-authorized payment — once when it first bounced, and again when the same merchant tried to run it a second time.

What Did Scotiabank Do to Customers Between 2020 and 2024?

The lawsuit, known as Canaan Alexander v. The Bank of Nova Scotia, alleged Scotiabank charged a $48 NSF fee when a pre-authorized debit bounced, then charged a second $48 fee when the same merchant re-submitted the exact same payment within 2 to 30 days. Plaintiffs argued customers never agreed to pay twice for one failed transaction, and that the burden fell hardest on people already living close to a zero balance.

Scotiabank denies any wrongdoing. They’re not admitting they did anything wrong. Most companies don’t when they settle. That doesn’t mean the case wasn’t real — it means both sides decided a trial wasn’t worth the risk after the case was certified as a class action in April 2024.

This isn’t an isolated Scotiabank problem. TD settled a similar case for $15.9 million in 2023, RBC settled for $7.05 million in 2025, and CIBC has a $10 million settlement awaiting court approval at a hearing set for October 19, 2026. BMO is the only one of the five major banks still without a resolved case. If you bank with more than one of these institutions, it’s worth checking your statements from each one separately.

Who Qualifies for the Scotiabank NSF Settlement?

Here’s exactly how to know if this case includes you.

• Canadian residents who currently hold a personal deposit account with Scotiabank
• Accounts that were still open and able to accept deposits when payments went out
• Customers charged a $48 NSF fee on a pre-authorized debit, followed by a second $48 NSF fee from the same merchant, for the same amount, within 2 to 30 days, between June 21, 2020, and April 30, 2024
• People who’ve since closed their Scotiabank account are not eligible for this automatic distribution, since payment only goes to accounts still open and able to receive deposits

You will not qualify if Scotiabank’s records show you were already reimbursed for the fee, or if the fee wasn’t tied to a re-presented payment.

Scotiabank Customers Outside Ontario — Are You Still Covered?

Yes. This settlement covers Canadian residents nationwide, not just Ontario. The case was filed and approved in Ontario because that’s where the lawsuit was brought, but eligibility isn’t limited to Ontario residents.

Not sure if you qualify? Contact class counsel directly at [email protected] — there’s no cost to ask, and you don’t need your own lawyer to receive this payment.

Related article: Block’s $45 Million Cash App Settlement, Why There’s No Claim Form for Consumers

How Much Will Scotiabank Customers Get?

Eligible customers are getting approximately $42.82 each, a flat pro-rata amount rather than a payout tied to how many duplicate fees you were charged. That number moved slightly from the roughly $40 estimate given when the settlement was first proposed, now that the final class size and fund allocation are settled.

That’s not a lot of money individually. But multiplied across roughly 148,000 affected customers, it’s the kind of quiet correction that only happens because someone was willing to sue over a fee most people wrote off as an annoying mistake.

You Don’t Need to File Anything

This is the part worth repeating: there is no claim form for this settlement. On or around July 13, 2026, Scotiabank began notifying eligible customers directly through the Message Centre on Scotia Online and the “My Updates” section of its mobile app. If you’re eligible, Scotiabank deposits the money straight into your account over the coming months. You don’t need to submit paperwork, prove anything, or contact anyone unless you think you were wrongly left out.

This works the same way TTCU Federal Credit Union’s overdraft fee settlement paid out automatically without a claim form — a growing pattern for straightforward duplicate-fee cases where the bank already has the records to identify who’s owed money.

If you believe you were eligible but never received a notice, contact Koskie Minsky LLP at [email protected] or 1-833-786-0009.

Scotiabank NSF Settlement — Key Dates

Milestone	Date
Class Action Certified	April 8, 2024
Settlement Agreement Reached	January 21, 2026
Court Approval Hearing	June 12, 2026
Settlement Approved	June 12, 2026
Customer Notices Sent	On or around July 13, 2026
Payments Distributed	Ongoing, over the coming months

Frequently Asked Questions

Do I need to file a claim for the Scotiabank NSF settlement? 

No. This settlement has no claim form. Eligible customers are identified from Scotiabank’s own records and paid automatically by direct deposit.

Is the Scotiabank $10.45 million settlement legitimate?

 Yes. It was approved by the Ontario Superior Court of Justice on June 12, 2026, and is being administered by Koskie Minsky LLP, the court-appointed class counsel.

When will Scotiabank settlement payments be sent?

 Distribution began after the June 12, 2026, court approval and is continuing over the following months. If you haven’t received a notice or payment yet, contact class counsel directly.

What if I closed my Scotiabank account before the settlement was approved?

 You won’t receive an automatic payment through this distribution, since payments only go to accounts that are still open and able to accept deposits. Contact class counsel to ask about your specific situation.

How is this different from the TD, RBC, CIBC, and BMO cases?

 These are separate lawsuits against separate banks, though they allege the same type of duplicate NSF fee practice. A settlement or payment from one bank’s case doesn’t affect your eligibility under another bank’s case.

Will my Scotiabank settlement payment affect my taxes? 

This is a Canadian settlement, so U.S. 1099 reporting rules don’t apply. Check with a Canadian tax professional if you have questions about how a settlement payment of this size is treated.

Sources Used in This Article

• Koskie Minsky LLP — “Scotiabank Duplicative NSF Fees Class Action” case page: https://kmlaw.ca/cases/scotiabank-duplicative-nsf-fees-class-action/
• Investment Executive — “Scotia reaches NSF fees class action settlement”: https://www.investmentexecutive.com/news/scotia-reaches-nsf-fees-class-action-settlement/
• Investment Executive — “Ontario court certifies fourth NSF fee class action”: https://www.investmentexecutive.com/from-the-regulators/ontario-court-certifies-fourth-nsf-fee-class-action/

Disclaimer: This article is for informational purposes only and does not constitute legal advice. This settlement is governed by Canadian law, not U.S. law, and eligibility and process differ from U.S. class action settlements. For advice about your specific situation, consult a qualified lawyer.