Imagine a mom trying to buy diapers. She goes to the store and charges them to her debit card without realizing she doesn't have enough money in their account. Suddenly, with overdraft fees, those diapers went from $30 to $60.
An already cash-strapped mom struggling to survive just saw the cost of her basic necessities double.This is the reality of exorbitant overdraft fees charged by U.S. banks.Sign the petition and demand Congress reintroduce caps on overdraft fees!These fees are ridiculous and backwards.
Why punish a person who is running low on money by making them pay a fee?An overdraft fee is basically like interest on a loan. When a bank customer tries to make a purchase beyond their account's balance, the bank temporarily loans them the money. The customer is expected to pay this back, and an overdraft fee is added on -- and this fee is often way more than the original purchase.
"In one example, a $3 cup of coffee can end up costing someone more than $30."Let's be clear. These overdraft fees are not necessary expenses that the banks are collecting -- they are the embodiment of greed.
Big banks make $8 billion a year in overdraft fees. They are making billions of dollars of profit off of the backs of people and families that are, by definition, the most "cash-strapped."
So, in order to protect consumers, the Biden administration passed a regulation to cap these fees at $5. This was a simple, effective, and common-sense move that would have prioritized vulnerable people over banks' profits.
But recently, Republicans in the House and Senate voted to overturn this rule -- taking the side of billion-dollar banks and letting them continue to rob their customers. We cannot stand by and allow this. As the Trump administration runs the U.S. economy into the ground with aggressive, nonsensical tariffs and inane policies, it is more important than ever that the lower and middle classes be able to hold onto as much of their money as possible. This means reintroducing the cap on overdraft fees.
Sign the petition to put pressure on our Democratic senators and congresspeople, and demand they reintroduce overdraft caps to protect consumers!