How Bank Practices Increase Overdraft Fees
The Transaction Infraction graphic demonstrates how banks can post debits and withdrawals in non-chronological order – a practice that can greatly impact the number of overdraft fees charged to a customer. Pew is encouraging an end to this practice and for banks to post transactions in a fully disclosed, objective and neutral manner that does not maximize overdraft fees. To interact with this tool, the user should compare the customer's order to how the bank processed them by toggling between the two tabs.
The federal district court in Northern California found that Wells Fargo's large-to-small posting order for debit card transactions was an unfair and deceptive practice. Wells Fargo stated that beginning in May, 2011, it will post the most common types of transactions, like debit card transactions, chronologically or low to high for all accounts. To minimize your overdraft fees, check with your bank to find out the order in which they post transactions.
This fact sheet focuses on the lessons learned from consumers who purchase and use prepaid debit cards. More info
An interactive map highlighting the checking account practices of the 10 largest U.S. banks and the percentage of people without bank accounts in all 50 states and the District of Columbia. More info
The Pew Health Group’s Safe Checking in the Electronic Age Project investigated checking accounts offered by the ten largest U.S. banks, which held nearly 60 percent of the nation’s deposit volume.
View an interactive graphic presenting a state-by-state overview of Underbanked or Unbanked households. More info
"Hidden or unexpected fees” were cited as the number one reason Greater Los Angeles’ working poor, those who are employed yet remain in relative poverty, closed bank accounts in the past year, surpassing job loss or lack of money, according to a survey of predominately Hispanic, low-income households. More info
Based on a study of checking account terms and conditions in April 2011, Pew developed a model disclosure form for checking accounts, similar to a nutrition label for food or a Schumer Box for credit card offers. More info
A graphic illustrating checking account risks at a glance, from the report "Hidden Risks: The Case for Safe and Transparent Checking Accounts" More info
A checking account is the most basic and necessary financial product for American consumers. Nine out of 10 Americans have a checking account, making it the most widely utilized financial services product in the United States.
View an infographic presenting figures from the most important findings of the report. More info
The Pew Health Group’s Safe Checking in the Electronic Age Project responds to the FDIC’s call for comments on FIL-47-2010, Overdraft Payment Programs and Consumer Protection. The FDIC issued proposed guidance for public comment on how banking institutions it supervises should implement and maintain oversight of automated overdraft programs. More info
"A study by the Pew Safe Credit Cards Project found that card issuers are complying with a new law this year that prohibits numerous deceptive practices. Previously, all card issuers tracked by Pew used at least one practice that is now illegal." More info