Fees are adding extra pain to some Americans’ epidemics. In 2019, according to the Center for Responsible Lending, large banks collected more than billion 11 billion in worddraft fees from their customers, with 9 percent paying more than 80 percent. For the first nine months of 2020, customers at large banks paid pr 6 billion in overdraft fees, according to Rebecca Borney, a nonprofit researcher who advocates better treatment of customers by financial institutions.
The total amount of penalty fees paid by the bank’s customers in 2020 may end up being less than last year, but such a large amount of penalty is paid by such a small subset of customers, so this fee will affect their financial amount. This year could be pretty bad.
Aside from the temporary battles some banks have waged around stimulus checks with their customers, banks have not made any changes to their overdraft policy during the epidemic, Mr Borney said. “Charging unreasonable fees, multiple fees per day, extended fees and other methods to change the cost of raising fees – these practices hurt those who struggle the most.”
On Christmas Eve, an artist living in Ut Gadan, Utah, Rewandrew Shorts, was wandering around to pay the electricity bill so he wouldn’t lose power and heat. Mr. Shorts, who has created murals and graphic design projects for local businesses, has been pushed out of his account at Nderdada Zion’s Bank in Salt Lake City after a series of automated deductions for home bills pushed the chain to 150 150. In negative territory.
When he called Ziens two days before Christmas, a representative told him he would probably have to pay the bank what he owed and settle for the remaining amount. The bank has changed its policy since President Trump signed the stimulus bill on Tuesday. A spokesman said Ziones would zero all negative balances of up to $ 2,000 for 30 days so customers could get their stimulus money.
Mr. Shorts described the stimulus payment of ુક 600 as “the equivalent of a bridge noodle, while my wife, child, myself and now my disabled business are drowning in the open sea.” But he still wants money. In the meantime, he scrapped together enough to pay his electricity bill.
Misha Roberts, a 26-year-old student at Ohio State University, introduced herself to her PNC on the day Congress passed the latest provocative law last week. will not be able to sign in to online account and find balance. She knew it was between $ 1,200 and 7 1,700 in the negative, thanks to a combination of bills for unaffordable basic expenses, which were automatically deducted from her account, and an overdraft fee.
