Martin & Jones, PLLC
Call today for a Free consultation.

US Banks to be Examined Regarding Overdraft Fees

The Consumer Financial Protection Bureau (CFPB) recently announced that it is reviewing bank practices to determine whether regulations aimed at curbing abuses with overdraft fees went far enough. The agency plans to decide by the end of the year whether additional rules and restrictions are needed to protect consumers.

In 2010, the Federal Reserve passed a rule requiring banks to obtain an “opt-in” from customers for overdraft protection on debit and ATM transactions. Prior to that rule, banks would typically automatically enroll customers in overdraft programs which allowed customer purchases and debits when insufficient funds were in the account at the time of the transaction. Banks typically charge as much as $35 per overdraft. Last year, banks charged customers $31.6 billion in overdraft fees, down from $33.1 billion in 2010.

The inquiry by CFPB is said to be focused on how banks persuade customers to enroll in overdraft protection programs. Examiners will look at online and mailed marketing material, as well as pre-printed scripts used by bank salespersons, to determine whether the marketing materials are misleading or whether they could be confusing to customers. The banks whose practices will be scrutinized include J.P. Morgan Chase & Co., Wells Fargo & Co., and Bank of America Corp.

No Comments

Leave a comment
Comment Information


Contact US Get Help Now

Send us an email or call us today at 800-662-1234 to speak with an attorney about your claim or to arrange a free consultation. It costs nothing to call and there is no obligation. In fact, we are not paid until your case is resolved. Se habla español. If you are unable to travel to one of our offices in Raleigh, Durham and Wilmington, we will meet with you at your location.

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Raleigh Office
410 Glenwood Avenue
Suite 200
Raleigh, NC 27603

Toll Free: 800-662-1234
Phone: 919-821-0005
Raleigh Law Office Map

Wilmington Office
1213 Culbreth Drive
Suite 121
Wilmington, NC 28405

Toll Free: 800-662-1234
Phone: 910-256-4005
Wilmington Law Office Map

Durham Office
302 East Pettigrew Street
Suite 330
Durham, NC 27701

Toll Free: 800-662-1234
Phone: 919-544-3000
Durham Law Office Map