The 46-year-old from Malmö, south Sweden had her fine reduced after initially being charged with causing bodily harm.
According to thelocal.se, the bus driver originally claimed that the woman had launched an unprovoked attack with a piece of fruit as he stopped to let some passengers off the vehicle.
As people disembarked, she allegedly ran on to the bus, started shouting and then hit him with the banana without warning.
"She hit me right in the face with the half-eaten banana. I had banana all over me, on my tie, my shirt and my eye," he told The Daily Aftonbladet last November.
The driver added that he had found the experience particularly humiliating as it was witnessed by the crowd of remaining passengers.
He also claimed that later in the day, he had experienced pain in his eye and visited the doctor. The physician went on to diagnose vitreous detachment, which he said was caused by the banana incident.
The woman refuted the claims and said that the driver had stopped the bus inches away from her and her daughter, who she was teaching to drive. She said that when she ran on to the bus to complain about how he had nearly hit their car, the banana simply slipped out of her hand.
Lund District Court had initially found in the driver's favour after a witness report supported his version of events. The woman was then sentenced to pay a fine as well as damages of 6,200 kronor ($930, £580).
At the time of the ruling, the woman said it was "unreasonable that a banana could cause this much damage" and vowed to appeal the decision.
This week, the appeals court eventually agreed with her assessment and changed the sentence, giving her a significantly smaller fine and reducing the damages payout to just 600 kronor.
Last year, a woman from Ayrshire underwent hypnotherapy and neuro-linguistic programming in order to overcome her fear of bananas. The 23-year-old said her fear had stemmed not from violent encounters with the fruit, but having been force-fed them as a toddler.