MS Man Filed Class Action Over Child Support Payment Debit Card Fees

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A Mississippi man has filed a proposed class action against Comerica, Inc. and Comerica Bank over the fees incurred as a result of the forced use of debit cards by individuals who receive child support payments.

The 21-page lawsuit says the plaintiff receives child support payments from the non-custodial parent of his daughter through a program overseen by Mississippi’s Department of Human Services (DHS). Before switching to the at-issue debt card system, the DHS used to send custodial parents child support payments through a paper check. According to the case, some time ago Mississippi stopping issuing paper child support checks and opted for recipients to receive the fund through MasterCard-branded debit cards. All child support recipients in Mississippi were automatically enrolled in the new debit card program, the lawsuit says.

The plaintiff claims the defendants “routinely” assess fees on child support debit card transactions that directly violate its own terms of use. The lawsuit details numerous instances of the plaintiff attempting to use his debit card on in-network ATMs and still being hit with illegal transaction violation fees. From the lawsuit:

“These improper charges incurred by [the plaintiff] are representative of millions of dollars of improper fees that Comerica wrongfully assessed and deducted from the account of child support recipients throughout the country,” the lawsuit claims. “These improperly seized funds should rightfully have been available to parents for the care and support of their children.”