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Press Releases

February 25, 2022
Calls for federal regulators to protect all Americans from harmful overdraft fees WASHINGTON, D.C. – Citigroup (Citi), one of the five largest banks in America, announced yesterday it will end all overdraft fees and non-sufficient fund fees (aka bounced check fees). It is the biggest bank thus far to do this. Center for Responsible Lending (CRL) Policy and Litigation Counsel Nadine Chabrier issued the following statement: Overdraft fees kick people when they are down. Their costs are borne by financially vulnerable consumers. These fees disproportionately harm Black and Latino...
January 11, 2022
WASHINGTON, DC – Bank of America, America’s second-largest retail bank with about $2.35 trillion in assets, today announced it will reduce overdraft fees and non-sufficient funds (NSF) fees (aka bounced check fees) for its consumer banking customers. Center for Responsible Lending (CRL) President Mike Calhoun issued the following statement: Bank of America’s decision will provide much-needed relief for customers who least can afford the burden of overdraft fees and should lead other financial institutions to drop these fees that disproportionately impact low-income, Black and Latino...
December 22, 2021
79 Groups Ask CFPB to Provide Much Needed Oversight for Emerging Credit Products WASHINGTON, D.C. — The Center for Responsible Lending, Consumer Federation of America, National Consumer Law Center, Student Borrower Protection Center, and 75 additional organizations called for Consumer Financial Protection Bureau (CFPB) Director Rohit Chopra to carefully examine fintech credit products and fee models that are evading consumer protection laws and creating debt traps for consumers. Read their letter. The groups applauded the CFPB for its recent inquiry into five large buy now, pay later...
December 1, 2021
WASHINGTON, D.C. – This morning, Capital One, America’s sixth-largest retail bank, announced a complete end to all overdraft fees and non-sufficient fund (NSF) fees (aka bounced check fees) for its consumer banking customers. It is the only bank among the ten largest to take this step. Center for Responsible Lending (CRL) President Mike Calhoun issued the following statement: The people who are most frequently charged overdraft are the people who can least afford it. This financial burden falls disproportionately on low-income and Black and Latino Americans. The high cost of repeat...
June 30, 2021
WASHINGTON, D.C. -- Rep. Carolyn B. Maloney (NY-12) today introduced the Overdraft Protection Act of 2021. This legislation, aimed at establishing fair and transparent practices related to provision of overdraft coverage programs, would provide strong consumer protections and protect vulnerable populations from abusive bank practices. Center for Responsible Lending (CRL) Senior Policy Counsel Rebecca Borné released the following statement: We applaud Congresswoman Maloney for her efforts to curb abusive overdraft fees imposed by banks, which disproportionately affect low-income and...
June 2, 2021
Today, Ally Bank announced a complete end to its overdraft fees. In response, Center for Responsible Lending (CRL) Senior Policy Counsel Rebecca Borné issued the following statement: The evidence is clear that overdraft fees are levied most frequently on families who can least afford it, disproportionately harming low-income and Black and Latino Americans. Abusive overdraft practices are causing people who are struggling to get by to lose their bank account – something diametrically opposed to the financial industry’s claim it wants to bring more Americans into the mainstream banking...
June 3, 2020
Banks collected more than $11.68 billion in 2019 through abusive overdraft practices that drain consumers’ checking accounts Congress, Regulators, and Banks all have the responsibility and power to ease burden on consumers WASHINGTON, D.C. – A new report released today by the Center for Responsible Lending (CRL) finds that in 2019 banks collected more than $11.68 billion in overdraft-related fees through abusive practices that drain massive sums from consumers’ checking accounts. Now, in the midst of a global pandemic and unprecedented economic turmoil, CRL is calling on Congress to...
July 2, 2019
WASHINGTON, D.C. – The Center for Responsible Lending (CRL), National Consumer Law Center (on behalf of its low-income clients), Americans for Financial Reform Education Fund, National Association for the Advancement of Colored People (NAACP), National Coalition for Asian Pacific American Community Development (National CAPACD), and National Fair Housing Alliance (NFHA) late yesterday submitted a letter to Consumer Financial Protection Bureau (CFPB) Director Kathy Kraninger urging her not to weaken the Federal Reserve Board’s 2009 overdraft “opt in” rule. Under the Rule, which went into...
August 7, 2018
Banks engage in unfair practices to drive up overdraft fees WASHINGTON, D.C. – Today, the Center for Responsible Lending (CRL) released Unfair Market: The State of High-Cost Overdraft Practices in 2017, a report analyzing the overdraft fee revenue generated by banks and the overdraft practices of the 10 largest banks across the United States. According to Federal Deposit Insurance Corporation (FDIC) data, banks with over $1 billion in assets collected more than $11.45 billion in overdraft and non-sufficient funds (NSF) in 2017. "These banks drain billions of dollars annually from their...
August 2, 2018
WASHINGTON, DC — Today, U.S. Senators Corey Booker (D-N.J.) and Sherrod Brown (D-Ohio) introduced the Stop Overdraft Profiteering Act to crack down on unfair overdraft fees. The bill would establish reasonable safeguards for checking account holders; restore transparency to the checking account market; and ultimately encourage banks to expand responsible small dollar loan offerings rather than perpetuate harmful overdraft fee practices. Abusive overdraft fees strip billions every year from the pockets of American families, often through practices designed to maximize overdraft revenue for...

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