BANKS SLOWLY
RECONSIDER
OVERDRAFT
FEES, AMID
PUBLIC
PRESSURE
The banking industry appears to have overdone it
on overdraft fees.
After decades of raking in billions of dollars
from mostly poor Americans short of cash in
their accounts, the biggest banks — under
pressure from lawmakers and regulators — are
slowly decreasing their reliance on the widely
unpopular practice.
A number of large banks have taken steps this
year that would reduce the amount they take
in from overdraft fees, which they charge when
customers make payments or withdrawals in
excess of their account balance. Capital One, the
nation’s sixth-largest bank, announced last week
that it would end all overdraft fees next year.
Other banks have made it harder for customers to
trigger an overdraft fee.
