Last year, overdraft fees charged by banks — representing a revenue stream tied to account use — slipped by 24% to $5.8 billion. The industry is off its peaks for those fees, as 2019 saw overdrafts/non-sufficient fee revenues near $12 billion, as estimated earlier this...
The Consumer Financial Protection Bureau (CFPB) aims to stop banks from charging overdraft fees based on what it calls “phantom opt-in agreements” — cases in which banks claim to have customer consent to charge overdraft fees but can provide no proof. The agency published a...
Canada’s federal budget, released this week, includes a proposal to limit the fees that banks charge customers for overdrawing their accounts. This move is expected to provide relief for low-income clients but could potentially impact the revenue of Canadian banks, Bloomberg reported Thursday (April 18). The proposed...
California state lawmakers are considering legislation that would limit the number of overdraft fees credit unions (CUs) can charge their members. Under SB-1075, the 100+ CUs now doing business in the Golden State would be prohibited from charging their customers more than three overdraft fees per...
March 05, 2024
Call it a form of fixed pricing in the banking industry. Financial services are joining the ranks of segments, such as pharma, where there are rules governing what enterprises can charge customers. And there may be some unintended consequences as a result. The Consumer Financial Protection Bureau finalized Tuesday (March 5) a rule that cuts what it […]
January 17, 2024
Labels are popular on Capitol Hill. And this week the labels are flying fast and furiously, aimed at big banks and credit unions. The Consumer Financial Protection Bureau (CFPB) put...
January 04, 2024
The calendar has barely turned to a new year — and the Consumer Financial Protection Bureau (CFPB) has already had a fair share of criticism. The most recent volley against...
October 12, 2023
Present economic and financial challenges have compelled individuals from various income brackets and credit backgrounds to resort to overdrafts — a form of credit whereby a consumer’s bank covers a...
November 07, 2024
The government has ordered America’s largest credit union to repay its customers $80 million. Navy Federal Credit Union was issued that order Thursday (Nov. 7) by the Consumer Financial Protection Bureau (CFPB) after the regulator found that the financial institution had charged members illegal overdraft fees. According to the CFPB, those fees — collected between […]
September 17, 2024
The Consumer Financial Protection Bureau (CFPB) aims to stop banks from charging overdraft fees based on what it calls “phantom opt-in agreements” — cases in which banks claim to have...
February 11, 2024
America’s three biggest consumer banks saw their overdraft fee revenues fall 25% in 2023. J.P. Morgan Chase, Bank of America and Wells Fargo collected $2.2 billion in total in those fees last year, a recent...
January 17, 2024
The White House wants to limit the overdraft fees banks can charge customers. To that end, the U.S. Consumer Financial Protection Bureau (CFPB) on Wednesday (Jan. 17) issued a proposal that would...
