US overdraft fees up 35% in two years – and banks told to say sorry

Research  released this week shows that American banks collected nearly $24 billion in overdraft fees last year, an increase of 35% from just two years earlier.

The most common trigger of overdraft fees are small debit card transactions that could easily be denied for no fee, as had previously occurred.

In the UK, HSBC Chairman Stephen Green has said that the entire banking industry “owes the real world an apology”, and that a change in culture was needed to improve the public’s perception of bankers. “It also owes the real world a commitment to learn the lessons. Some of them are about governance and ethics and culture within the industry,” he said.


1 Response to “US overdraft fees up 35% in two years – and banks told to say sorry”

  1. 1 Clint 22 October, 2009 at 6:06 am

    It’s absurd. I’ve read that 45% of banks wouldn’t be profitable without these fees. As such, it’s no surprise that they design all sorts of schemes to maximize the amount of penalties incurred by customers.

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