Published: March 2023

Regulation urged to rein in excessive overdraft fees

A dozen advocacy organizations joined the Center for Responsible Lending in urging the Office of the Comptroller of the Currency (OCC) to require that OCC-supervised banks reform their predatory overdraft fee programs.

Advocates wrote to the Office of the Comptroller of the Currency (OCC) to urge the agency to require that OCC-supervised banks make necessary reforms to their inequitable, predatory overdraft fee programs. The effort comes as a merger between Toronto-based TD Bank and Memphis-based First Horizon Bank is pending. While TD charges the equivalent of US$3.50 per day for overdrafts in Canada because the country regulates such fees, the bank levies U.S. customers more than $100 per day—an amount that bears no relationship to the bank’s actual costs. The vast bulk of these fees are paid by low-balance accounts. The letter requests the comptroller to require reform of these abuses before any OCC-supervised bank is allowed to expand.

Lead Organization

Center for Responsible Lending

More Information

Click here to read the coalition letter.

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