The Fed Wants to Hear from Consumers About Overdraft Loans
Banks and credit unions are allowed to automatically enroll their customers in expensive overdraft “protection” programs, where they approve ATM and debit card purchases that put your balance in the red, only to sock you with a $34 fee for each overdraft.
People only overdraw their accounts by an average of $17—but still pay $34 for each overdraft. No wonder banks make over $17 billion per year in overdraft fees! Read more about overdraft loans and the Fed’s proposal.
Tell Congress and the Fed that consumers should have the right to “opt-in” to overdraft programs. If they don’t hear from you, they may pass new regulations which don’t do enough to protect you.
Has your checking account been drained by unexpected, unauthorized overdraft fees? If so, be sure to tell the Fed and Congress your overdraft loan story when you send your email!