Susan Tompor: Bill Proposed to Help Consumers Close Their Bank Accounts

October 10, 2013
Detroit Free Press 

Unhappy consumers who want to leave their bank face many frustrations, such as added fees and reopening of accounts that they thought they had closed. Their experiences have prompted the proposal of the Freedom and Mobility in Consumer Banking Act, which would require the U.S. banking system to create clear rules for closing a bank account.

If passed, the bill would allow consumers to close an account, of any remaining balance, without having to pay a fee. Banks would have to provide the customer with a list of all automated transactions, such as direct deposit and bill payment, that will help the account holder determine which transactions to move to a new account. The law also would protect consumers from having old accounts reopened without their permission if a third party tries to make a deposit to or payment from that account, an action that has caused some customers to be charged overdraft fees on accounts that had been terminated.

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