Winner 2013 Webby Awards for Best Political Website
Top Banner, Site wide
Apr 23, 2014

 Choose a size
Text Size

Top Leaderboard, Site wide





The Divide


Truthdig Bazaar
Escape From Camp 14

Escape From Camp 14

By Blaine Harden
$10.20

more items

 
Ear to the Ground

Overdrafts: The Banking Penalty That Just Won’t Die

Email this item Email    Print this item Print    Share this item... Share

Posted on Jun 10, 2012
garryknight (CC BY-SA 2.0)

Despite the 2010 update to the Electronic Fund Transfer Act, which was intended to protect customers from ghastly overdraft fees, customers who for whatever reason fail to get the necessary protection—and complicated contract language on the part of banks is certainly one of them—are still getting plowed with high penalties when they overdraw.

—Posted by Alexander Reed Kelly

CNN Money:

… Pew’s study found that many financial institutions are failing to clearly disclose the costs associated with overdraft protection and that the fees are still unnecessarily high, especially when so-called extended overdraft penalty fees kick in.

Overdraft penalty fees, which are charged the first time you overdraft your account, came in at a median of $35 at banks and $25 at credit unions, unchanged from the previous year’s survey, Pew found. But extended overdraft penalty fees, which are incurred if your account remains overdrawn for a certain period of time, have increased by 32% to a median fee of $33. About 99% of checking accounts charge an overdraft penalty fee, and 64% of those accounts also incur an extended overdraft fee—up from 45% in 2010.

Read more

More Below the Ad

Advertisement

Square, Site wide

New and Improved Comments

If you have trouble leaving a comment, review this help page. Still having problems? Let us know. If you find yourself moderated, take a moment to review our comment policy.

Newsletter

sign up to get updates


 
 
Right 1, Site wide - BlogAds Premium
 
Right 2, Site wide - Blogads
 
Join the Liberal Blog Advertising Network
 
 
 
Right Skyscraper, Site Wide
 
Join the Liberal Blog Advertising Network
 

A Progressive Journal of News and Opinion   Publisher, Zuade Kaufman   Editor, Robert Scheer
© 2014 Truthdig, LLC. All rights reserved.