EverBank is an online bank that offers numerous financial products to customers. One of its products is called the EverBank WorldCurrency CD. The concept is that a customer makes a deposit in US dollars, EverBank converts the dollars into the foreign currency of the customer's choice, and then EverBank opens a Certificate of Deposit which eventually matures and gives interest in the foreign currency.
Some customers of EverBank opened up WorldCurrency CDs denominated in Icelandic krona. In 2008 the government of Iceland implemented certain currency controls which lead to certain events occuring in the foreign currency exchange markets.
During part of this time, when various customers' krona WorldCurrency CDs would come due, EverBank would unilaterally decide to not renew the CD but rather to convert the CD back into US dollars.
A number of these former EverBank Icelandic krona WorldCurrency CD holders contend that EverBank converted their krona CD's into US dollars at an importune time and rate. This lawsuit seeks to make these customers whole.
Yes, there is an actual class action lawsuit. It was originally filed in April 2009 in California state court but was transferred to federal court. The case information is as follows: Vathana v. EverBank, Case No. C 09-2338 RS, United States District Court for the Northern District of California, Hon. Richard Seeborg, presiding. On March 15, 2010, the Court certified the case as a class action. On March 9, 2012, the Court entered judgment in favor of defendant EverBank. The next step is to appeal to the 9th Circuit Court of Appeals.
