Government Investigates Bank Overdraft Fees

According to WNYC news, the Consumer Financial Protection Bureau is looking to overhaul the way banks charge consumers overdraft fees. The agency will conduct research to find out how fees are calculated and the standards used for implementing them. This data will then be used to revamp the rules on such penalties. It is proposed that banks made over $15 million dollars last year in overdraft charges alone. According to CFPB director Richard Cordray, the majority of charges come from a very small minority of banking customers, in particular young checking account owners, and low income earners who are less likely to be able to afford paying back such charges.

Last year, a Federal Reserve rule was enacted to require customers to sign up for programs that charge overdraft fees. As a result, the number of overdraft fees have declined. Despite this, banks are finding new ways to recoup and make money from charging consumers various other fees for transactions.

Do you think banks have gone overboard with charging fees to customers?

FCC's New Rules on RoboCalls

According to CNN.com, the FCC is set to approve new regulations limiting the use of robocalls, pre-recorded messages sent to consumers by an automated dialer rather than a human being. The new rule requires written permission before any company can contact a consumer via text or cell phone using this method. Previously, telemarketers would be able to do so simply if an established business relationship was in existence, for example, a bank could robocall its customers to sell them other products like insurance or a credit card.

In addition to the written permission requirement, companies must also include an opt-out option for every pre-recorded message sent. The new rules do not apply to phone calls made by human telemarketers, but consumers are advised to place their number on the National Do Not Call Registry if they wish to avoid these types of unsolicited sales calls.

Have you received robocalls on your cell phone? What do you think about the new regulations?

Do Not Call Registry Scam

Scammers have found a new way to get consumers to give up personal information. According to kiiitv.com, schemers are calling people and actually pretending to represent The National Do Not Call Registry. Apparently, they offer consumers an opportunity to sign up for the Do Not Call list in exchange for their personal data. Obviously, these calls are not coming from the Federal Trade Commission and should not be responded to, warns Alan Bligh of the BBB.

The real National Do Not Call Registry allows consumers to list their phone number to limit the number of telemarketing calls the receive. Once a number is registered, it does not expire. For more information or to get on the federal Do Not Call Registry, visit www.donotcall.gov