George S. May Business Blog

Banks rake in record dollars in overdraft fees — Hint: the number is in the BILLIONS

This is astonishing, and moreover, flat out robbery if you ask me…

From the Financial Times

“US banks stand to collect a record $38.5bn in fees for customer overdrafts this year, with the bulk of the revenue coming from the most financially stretched consumers amid the deepest recession since the 1930s, according to research. The fees are nearly double those reported in 2000.

The finding is likely to increase public hostility towards the financial sector, which has been under political pressure to ease the burden on consumers by increasing credit availability and lending more fairly after being bailed out by taxpayers.”

You can find the full story here

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