A credit union legal effort is underway to stop the CFPB’s final overdraft rule from going into effect October 1, 2025. America’s Credit Unions and other financial services organizations filed a preliminary injunction late Wednesday asking the court to halt the implementation date and prevent credit unions and other financial institutions from spending undue time and resources preparing while a legal challenge to the final rule is still underway. 

America’s Credit Unions filed a lawsuit with other financial trades last week, saying the final rule exceeds the bureau’s statutory authority and threatens to harm consumers. 

The CFPB finalized its rule last week, capping overdraft fees at $5 for financial institutions above $10 billion in assets.

America’s Credit Unions has continually raised concerns about the proposed rule with the bureau and Congress, including testimony before the Senate Banking Committee and a House Financial Services subcommittee. Credit union overdraft services are regulated, and members must opt-in to use them.

Watch for further updates on any new developments.