Key protections in H.R. 1456 - Consumer Overdraft Protection Fair Practices Act
Consumers are being hit with fees amounting to triple-digit interest rates on loans they did not ask for—and in many cases cannot afford—when they overdraw their bank accounts through checks, electronic transfers, debit card purchases, and ATM withdrawals. This is possible because the Federal Reserve Board has refused to close a loophole in the rules implementing the Truth in Lending Act that exempts overdraft loans from disclosure requirements. By bringing overdraft loans within the scope of the Truth in Lending Act, H.R. 1456 would provide the same basic consumer protections to checking...