Published
December 6, 2024
Updated
August 1, 2026
The $570,000 Tri County Area Federal Credit Union settlement provided automatic cash, deficiency-balance, and credit-reporting relief for certain Pennsylvania vehicle borrowers.
Current Status
The official documents page includes the final approval order following the January 3, 2025 fairness hearing. Eligible class members did not file claims; benefits were automatic for people who remained in the class. The administrator’s public site does not post a payment date or completion report, so distribution should not be described as confirmed.StatusFinal Approval; Distribution Not Announced
Action RequiredNone for Eligible Class Members
Cash Fund$570,000
Additional ReliefDeficiency Elimination and Credit-Report Request
What Was the Tri County Area FCU Lawsuit About?
The lawsuit alleged that Tri County Area Federal Credit Union failed to provide borrowers with notices containing disclosures required by Pennsylvania law after repossessing and selling their vehicles. The credit union disputed the allegations, maintained that its notices satisfied the law, and asserted that some borrowers still owed deficiency balances after auction. The parties settled without a trial, admission of wrongdoing, or finding that the credit union violated the law.Who Is Included?
The class generally covers people who purchased a vehicle as a consumer good, financed the purchase through Tri County Area Federal Credit Union or had the financing assigned to it, had the vehicle repossessed, had a Pennsylvania address at the time, and were sent a post-repossession notice from August 22, 2016 through October 17, 2022. Eligibility was determined from the credit union’s records. Receiving the court-authorized notice indicated that the administrator identified the borrower as part of the class.What Cash Relief Did the Settlement Provide?
The credit union agreed to create a $570,000 gross settlement fund. Approved administration expenses, attorney fees and expenses, and the court-approved service award are paid from that fund. The remaining net amount is divided proportionately among class members. For a loan with multiple borrowers, the household or account allocation could be divided among the co-borrowers. The exact payment therefore depended on the final fund deductions and account records.What Happened to Deficiency Balances?
The settlement also required elimination of disputed post-auction deficiency balances totaling approximately $550,429.85. A deficiency is the balance a creditor claims remains after applying vehicle-sale proceeds to the loan. Under the settlement, eligible balances were eliminated automatically after final approval. That non-cash benefit was separate from the class member’s share of the $570,000 cash fund.What Credit-Reporting Relief Was Included?
Tri County Area Federal Credit Union agreed to request that consumer reporting agencies remove references to the affected auto-loan account from eligible class members’ credit reports, subject to the settlement’s terms and the limits on the credit union’s obligations. The agreement required the request; it did not allow OpenClassActions to alter a report or guarantee how quickly every reporting agency would display an update.Was a Claim or Proof Required?
No claim form was required. The administrator relied on the credit union’s repossession and notice records, so class members who did not opt out were set to receive cash and any applicable account or reporting benefit automatically. The December 5, 2024 exclusion and objection deadline has passed. This was not a receipt-based settlement and there is no new form to file.What Happened at Final Approval?
The court scheduled the fairness hearing for January 3, 2025. The administrator’s official documents page now includes a final approval order, establishing that the case moved beyond preliminary approval. The homepage and FAQ still retain some forward-looking historical language, but the posted court order controls the current approval stage.Have Payments and Account Changes Been Completed?
The public administrator site does not identify the date on which cash was distributed, confirm a second distribution, or report completion of all deficiency and credit-reporting changes. It would therefore be inaccurate to state that a particular class member was paid or that every report has already changed. Identified class members should use the official site to review the order and any later administrator update.What Should Class Members Keep?
Keep the original notice, auto-loan and repossession records, any administrator payment record, and copies of credit reports showing later changes. OpenClassActions is not the administrator, credit union, or consumer reporting agency and cannot verify a deficiency balance, change a report, or issue a settlement payment.Official Information
Review the latest information on the official Tri County Area FCU settlement website website.
Case
Shainline v. Tri County Area Federal Credit Union
Case Number
2022-16043
Court
Court of Common Pleas, Montgomery County, Pennsylvania
Cash Fund
$570,000
Covered Notices
August 22, 2016–October 17, 2022
Exclusion Deadline
December 5, 2024
Claim Form
Not required
Official Website
official Tri County Area FCU settlement website
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