HomeAbout

TL;DR CNBC


Biden administration unveils proposed changes to big banks' overdraft fees - TL;DR CNBC

Biden administration unveils proposed changes to big banks' overdraft fees

Publishing timestamp: 2024-01-17 12:52:48


Summary

The Consumer Financial Protection Bureau has proposed new rules targeting big banks' overdraft fee practices. American consumers have paid an estimated $280 billion in bank overdraft fees since 2000. The new rules aim to close a loophole that has exempted overdraft loans from consumer protections. The regulations would apply to banks with more than $10 billion in assets and are expected to be finalized in the coming year. Banking trade groups are opposed to the changes. The proposed rule offers two options for big banks to approach overdraft coverage. The first option treats overdraft loans as credit line loans subject to regulations, while the second option allows banks to continue offering overdraft coverage as a courtesy service with limited fees. The final rule will be published next year.


Sentiment: NEGATIVE

Tickers: RF

Keywords: u.s. economyfinancialsregions financial corppoliticsbanksbreaking news: politicsbusiness newsproducts and serviceswashingtonjoe biden

Source: https://www.cnbc.com/2024/01/17/biden-administration-unveils-proposed-changes-to-big-banks-overdraft-fees.html


Developed by Leo Phan