Home » ‘We’re Taking Them On’: Biden Looks To Slash Bank Overdraft Fees

‘We’re Taking Them On’: Biden Looks To Slash Bank Overdraft Fees

This is the gazillionth example of how hard President Biden has been working for the middle class, and it boggles my mind that his poll numbers are so low. I don’t get it. Earlier today, Susie Madrak reported that the White House announced that some student loan borrowers enrolled in Biden’s SAVE plan may see their remaining balance wiped away starting next month. And now, Biden is looking to slash overdraft fees. These are the things that affect regular Americans, so of course, Republicans will object to it. If it were a tax cut for the wealthiest, they’d throw their support all over it.

Local 10 reports:

The cost to overdraw a bank account could drop to as little as $3 under a proposal announced by the White House, the latest effort by the Biden administration to combat fees it says pose an unnecessary burden on American consumers, particularly those living paycheck to paycheck.

The change could potentially eliminate billions of dollars in fee revenue for the nation’s biggest banks, which were gearing up for a battle even before Wednesday’s announcement. Exactly how much revenue depends on which version of the new regulation is adopted.

Banks charge a customer an overdraft fee if their bank account balance falls below zero. Overdraft started as a courtesy offered to some customers when paper checks used to take days to clear, but proliferated thanks to the growing popularity of debit cards.

Biden took to Xitter to explain that the overdraft fees are an act of exploitation.

A bank CEO named his boat ‘Overdraft.’ Holy fuckballs.

Biden’s proposed rule would allow banks only to charge customers what it would cost them to break even on providing overdraft services. This would require banks to show the CFPB the costs. Joe is doing what we wanted him to do when he got into office. Quick! Better lower those poll numbers. We can’t have that!


January 2024