Friday, February 24, 2012

Morning roundup: How many overdraft fees should a bank collect per day?

Here's a look at what's news in banking and finance this morning:

  • How many overdraft fees should a bank collect from a single customer per day? The Huffington Post takes a look at the issue in light of the Consumer Financial Protection Bureau's new interest in overdraft fees. Bank of America caps the number at four, meaning it will take up to $140 in overdraft fees per day. BB&T set the limit at eight, which would add up to $280.
  • Speaking of overdraft fees, Forbes magazine says Bank of America, JPMorgan Chase and Wells Fargo in particular are due for more discomfort as the CFPB's probe begins.
  • Banks are hopeful that a rise in business spending could mean the start of an economic recovery, Reuters reports.
  • The banking lobby pushed regulators crafting the Volcker Rule to include restrictions on foreign firms in a bid to get foreign governments on their side, Bloomberg says.


Anonymous said...

It depends on how the overdrafts were generated.

I used to work for Citibank and they would collect them for something as silly as a small debit card purchase at McDonalds.

And do this several times a day rather than reject the transaction.

If the transaction is interactive, and not a clearing check, they should just reject the transaction, not process that $1.59 transaction and add a $40 overdraft fee.

As I've seen them do.