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New Federal Rule Caps Bank Overdraft Fees at $5

1 min read
Source: CNBC
New Federal Rule Caps Bank Overdraft Fees at $5
Photo: CNBC
TL;DR

The Consumer Financial Protection Bureau (CFPB) has finalized a rule limiting bank overdraft fees, potentially saving consumers $5 billion annually. The rule allows banks to charge a $5 fee, cover costs, or disclose the interest rate on overdraft loans, significantly reducing the average $35 fee. This move, part of the Biden administration's crackdown on excessive fees, faces opposition from banking groups and its future is uncertain, especially with potential changes in CFPB leadership under the Trump administration. The rule is set to take effect on October 1, 2025.

Topics:top-newsfinance#banking-regulation#biden-administration#cfpb#consumer-protection#finance#overdraft-fees
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  1. CFPB announces rule limiting bank overdraft fees  CNBC
  2. New Federal Rule Limits Overdraft Fees at Large Banks  The New York Times
  3. Biden Administration Cracks Down on Bank Overdraft Fees  The Wall Street Journal
  4. Consumers could see a $5 overdraft fee in 2025 under a final rule — or maybe, not  Detroit Free Press
  5. Overdraft fees could be capped at $5 under new federal rule  ABC News

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