In regard to the overdraft
agreement, Wolters Kluwer Financial Services Senior Attorney Kurt Stertz stated, "The standard generally is that the disclosure has to be substantially similar to the model form.
To avoid being hit with unauthorised overdraft
charges, customers should be encouraged to arrange an authorised overdraft
limit with their bank, even if they don't think they're going to use it.
This builds up the debt on the card, but allows your overdraft
to be repaid by your income.
The CFPB found that overdraft
policies vary greatly at financial institutions, which can be confusing for consumers.
Whoever you are with, if you do need to use your overdraft
, remember to always agree it with the bank first, as charges and fees on unauthorised borrowing are even more eye-watering.
protection program isn't the only game in town; make sure customers understand that.
The research comes after figures from the Bank of England showed that overdraft
rates soared to a record high during August.
Most banks offer different types of overdraft
protection services and programs.
In a statement, the Halifax said customers said they "want a clear overdraft
charging structure" and the Au1 a day represents "a simple set of daily fees".
The bank is basically saying that it has a new benefit for you, called the "Discretionary OverDraft
SOME ARKANSAS BANKERS are preparing for a dip in overdraft
fee revenue as a result of the Federal Reserve Board's new rule that prohibits financial institutions from charging overdraft
fees on some transactions without the customer's authorization.
Federal Reserve Board rules that take effect July 1 will require banks to get customers' permission before enrolling them in overdraft
services for ATM and debit card transactions.