Banks in the United States are poised to make $38.5 billion in customer overdraft fees this year, the Financial Times said, citing research by Moebs Services.
A large portion of the revenue is likely to come from the most financially stretched consumers, according to the paper.
It said the research showed that many banks have increased charges on overdrafts and credit cards in order to boost profits.
The median bank overdraft fee rose this year by one dollar to $26, the paper said, citing the Moebs data.
"Banks are returning to a fee-driven model and overdraft fees are the mother lode," Mike Moebs, the company's founder was quoted by the paper as saying.
Overdraft fees accounted for more than 75 percent of service fees charged on customer deposits, the paper cited Moebs as saying.
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My bank upped my monthly service fee from $10 to $12 with not even the courtesy of a reach around!
ReplyDeleteAnswer: Keep enough money in the bank to avoid overdrafts, or find a bank with free money order services and just use those. Stop auto drafts for your bills, and pay them yourself.
ReplyDeleteThe rest of your money take it out and get you a safe or something to keep it in.
Best yet, close your account(s) completely.
Jews
ReplyDelete