October 26, 2022
Those hidden so called “junk fees” you sometimes get hit with at the bank could be going away.
Now hold up. It’s not all fees. Lots of them will stay and at this point these are just rules issued by the federal government they’re not new laws passed by Congress. But federal rules are issued all the time for corporate America and they usually get followed.
Biden said today surprise bounce check fees and surprise overdraft fees will no longer be allowed.
For example – if you deposit a check into your account from someone else and it bounces, but you didn’t know it would bounce – you can get hit with a $10-$20 fee. Those would no longer be allowed. Now the bank can charge more tailored fees especially if you’re repeatedly depositing back checks from the same person.
The other fee that won’t be allowed is the surprise overdraft fee that banks sometimes charge when –at the time of purchase– your balance shows you have enough money in your account but then you get hit with a overdraft fee later because of other transactions.
That’s not all, the President says these agencies are working on new rules to prevent hidden hotel booking fees, cable and internet termination fees, concert ticket fees and some airline fees too.
More from the Consumer Financial Protection Bureau about today’s “junk fee” announcement here.
More from the White House about today’s “junk fee” announcement here.
ADDITIONAL NEW RULE proposal to eliminate additional “junk fees” here.
