Sen. Cory Booker sends letter to 13 banks to examine overdraft practices
Sen. Cory Booker (D-N.J.) sent a letter to more than a dozen banks Monday to inquire about their overdraft-fee programs.
The news comes after the Consumer Financial Protection Bureau filed a lawsuit against TCF National Bank in January, after the agency alleged that bank employees mislead customers into signing up for overdraft services.
Overdraft is offered by banks for customers who make purchases with their debit card, even if they lack sufficient funds in their account but are charged for the service. Many banks make the service optional for account holders, but a 2014 study by The Pew Charitable Trusts showed that across all banks, roughly half of account holders who overdrew their accounts paid a fee that they didn’t recall consenting to.
https://www.washingtonpost.com/news/get-there/wp/2017/07/17/sen-cory-booker-sends-letter-to-13-banks-to-examine-overdraft-practices/?utm_term=.7074580c8da3