In the 2020, amidst an international pandemic, around three banking institutions alone-JPMorgan Chase, Wells Fargo, and you may Financial regarding America-
taken in about $5 billion in overdraft fees, despite issuing press releases promising to act charitably toward Americans under financial duress.
Those 2020 figures, first reported by the outlook, went on to inform a congressional hearing that featured Sen. Elizabeth Warren (D-MA) starting battle with JPMorgan CEO Jamie Dimon, who forwarded some far-fetched theories about his bank’s behavior. They also went into a Consumer Financial Protection Bureau (CFPB) report typed in December, which estimated that overdraft fees churned out $15.5 billion in profits in 2019, and announced that the bureau would be ratcheting up scrutiny of the notoriously exploitative practice.
The consumer agency had issued some fines in the past over improper overdraft fees, like $122 mil in order to TD Financial and $30 million so you can TCF Bank. The vow to take on companies whose business models relied on gouging their most vulnerable customers has, in just a few short months, led to a series of announcements by banks backing off the practice. Continue reading “GOP so you can CFPB: Wade Easy on Banking institutions!”