Overdraft Loans

Excessive overdraft fees charged by banks and credit unions can cause devastation for financially vulnerable families. Many lenders used predatory policies and practices designed to repeatedly extract excessive fees from customers who could least afford them. Overdraft fees are a leading cause of financial institutions closing a consumer’s account and reentry into the banking system often is exceedingly difficult, increasing the financial insecurity of many consumers. CRL advocates for legislators and regulators to rein in the size and frequency of these fees. We estimate that the savings from these fee eliminations will be between $3 billion to $4 billion for working families.

Filter Results

The Overdraft Protection Act of 2009

The Overdraft Protection Act of 2009

Eric Halperin, director of CRL's DC office, submitted testimony to the Financial Services Committee of the U.S. House on H.R. 3904, the Overdraft Protection Act of 2009. He called the Act a crucial measure for protecting consumers from abusive bank overdraft fees, which have reached $23.7 billion per year. The Federal Reserve Board has failed to address the problem, and...
More
Testimony
Overdraft Fees

Consumer Financial Protection Agency Could Have Stopped Abuses that Plague Americans Today

Consumer Financial Protection Agency Could Have Stopped Abuses that Plague Americans Today

CRL shares stories of everyday people affected by financial abuse and emphasizes the need for the Consumer Financial Protection Agency to ensure that they and others are protected from such abuses in the future. The Dow closes at 10,000 points, putting it back to where it was a year ago when Lehman Brothers collapsed, and Wall Street rejoices. But the...
More
Mortgage Lending Overdraft Fees

Senate bill S 1799 would reform out-of-control overdraft practices

Senate bill S 1799 would reform out-of-control overdraft practices

Banks and credit unions skim cash from accounts through unfair overdraft practices Rather than discouraging customers from overdrawing their accounts, the system most banks and credit unions now use creates additional overdrafts and maximizes the number of fees they can charge. CRL finds that bank fees for overdrafts increased 35 percent in two years, rising to nearly $24 billion per...
More
Research
Overdraft Fees

Consumer Financial Protection Agency Could Have Stopped Abuses that Plague Americans Today

Consumer Financial Protection Agency Could Have Stopped Abuses that Plague Americans Today

CRL shares stories of everyday people affected by financial abuse and emphasizes the need for the Consumer Financial Protection Agency to ensure that they and others are protected from such abuses in the future. The Dow closes at 10,000 points, putting it back to where it was a year ago when Lehman Brothers collapsed, and Wall Street rejoices. But the...
More
Research
Mortgage Lending Overdraft Fees

CRL supports a strong, non-preemptive Consumer Financial Protection Agency

CRL supports a strong, non-preemptive Consumer Financial Protection Agency

October 20, 2009 Members, Financial Services Committee U.S. House of Representatives Washington, DC 20510 Dear Representative: As the Financial Services Committee prepares to continue its markup of H.R. 3126, we write to express our support for a strong, non-preemptive Consumer Financial Protection Agency (CFPA). In this regard, we call your attention to two issues that are expected to come up...
More
Mortgage Lending Overdraft Fees

CRL supports a strong, non-preemptive Consumer Financial Protection Agency

CRL supports a strong, non-preemptive Consumer Financial Protection Agency

October 20, 2009 Members, Financial Services Committee U.S. House of Representatives Washington, DC 20510 Dear Representative: As the Financial Services Committee prepares to continue its markup of H.R. 3126, we write to express our support for a strong, non-preemptive Consumer Financial Protection Agency (CFPA). In this regard, we call your attention to two issues that are expected to come up...
More
Research
Mortgage Lending Overdraft Fees

Overdraft Explosion: Bank fees for overdrafts increase 35% in two years

Overdraft Explosion: Bank fees for overdrafts increase 35% in two years

Today's overdraft practices are designed to drive up the fee revenue of banks and credit unions and not to discourage customers from overdrawing their accounts. Our report shows that fees are climbing very quickly and affecting millions of Americans every year. Over 50 million Americans overdrew their checking account at least once over a 12 month period, with 27 million...
More
Research
Overdraft Fees

The Impact of Bad Lending State-by-State

The Impact of Bad Lending State-by-State

How has your state fared in the financial crisis? These state-by-state fact sheets show some of the major costs of bad lending in recent years. They include delinquencies and foreclosures, the cost of bank overdraft loans and, where applicable, the cost of payday lending. We also include data showing the share of high-rate (subprime) mortgages made by national banks that...
More
Research
Mortgage Lending Overdraft Fees

Neglect and Inaction: An Analysis of Federal Banking Regulators’ Failure to Enforce Consumer Protections

Neglect and Inaction: An Analysis of Federal Banking Regulators’ Failure to Enforce Consumer Protections

Read a condensed version of this report (PDF) Introduction For too long the responsibility for protecting consumers has been fragmented among various federal regulators whose primary focus was the safety and soundness of the banking system. Consumer protection often went neglected, if anything, an afterthought or a box to check. Federal regulators' failure to restrain abuses that led to today's...
More
Research
Mortgage Lending Overdraft Fees

Financial Reform that Protects Consumers

Financial Reform that Protects Consumers

Consumer Financial Protection Agency (CFPA) In recent years, federal bank regulators looked the other way as tricky financial products with hidden costs and fees crowded out responsible loans. Dangerous products have stifled true innovation, depriving consumers of meaningful choices and leading the nation into today's financial crisis. We don't always need more regulation, but rather more effective regulation that is...
More
Mortgage Lending Overdraft Fees
Displaying 51 - 60 of 91