this again is why I will pipe in I like biden. So many things have come out of the agencies of this administration. He can’t make congress function but he can sure as heck streamline stuff at the executive level.
But I heard people disagree with some of his stances, so it’s a coin toss between him and that other guy who quotes Hitler /s
something something pedophile
Fuck yeah this is a win for consumers, assuming there is no loophole or other way to bypass this regulation… Assuming…
Loophole of the “payment not received on time fee” of $40.
Obligatory - Join a credit union. They’re non profit financial institutions that offer the same service as a bank. As a non profit, their fees and rates are much better.
When I moved states and closed my accounts with the local bank I’d been with since my first bank account (and never once paid a fee to) I looked into the credit unions in my area. The fees were absurd, I finally found one that looked decent and then found that there was a $6 fee any time you transferred or withdrew money from any savings accounts. I’m not paying to access my own money. Ended up going with another small local bank and haven’t paid a fee yet. Customer service is great too, I give them a call and get a real person the next county over and the few times I’ve actually gone to a branch they’ve been almost too nice.
I probably come off as a Fidelity shill with how much I’ve mentioned them on Lemmy, but it’s a genuinely good platform for banking. They’re not a traditional bank. They’re a brokerage that offers checking and savings accounts that you can directly buy/sell securities with.
I moved all my assets to them after Chase pissed me off one too many times and it was the greatest decision I’ve ever made. Account to account transfers are instant (I’ve transferred like $60k and they didn’t give a fuck) and they front you the money for external incoming transfers that are still in pending. You never have time periods where you can’t access your money because it’s in the ether that is our antiquated banking system.
No minimums, no transfer fees, no stock/ETF purchase fees, and they pay ATM withdrawal fees automatically (including my $10 ATM fee in Vegas). The one time I had to call them to request a chargeback on my credit card the whole call, including waiting, took 5 minutes.
By far my favorite feature though is you can buy into money market funds like SPAXX in your normal accounts, so you get 5% APY on your money. However, it’s still treated as normal USD so any transactions automatically pull from it.
$8 fee but at 75% interest.
I love the bank system of charging you extra money for being broke. Have they capped overdraft fees yet or addressed how they run charges from highest to lowest to maximize fees?
I would like the nixing of closing account fee. You should not be allowed to charge folks to leave. Actually and no hiding with the contract crap.
The banks won’t take a billions hit, they will simply start charging for something else.
It’s not a “late fee”, it’s a “past due convenience charge”!
An account restoration fee.
Yeah, well, fuck lenders. I hope it’s bad for them. It should be bad for them.
I got rid of my bank accounts after my direct deposit got messed up and they hit me with a “monthly maintenance fee” for being under their minimum.
Switched to a credit union super fast.
I’ve been with a credit union for over a decade now, never looking back.
it’s not like they don’t make that shit in interest in a day anyway
Peg it to the federal minimum wage.
I think it should be lower still. $5 max.
But really they need to go after interest rates. That’s where the real theft occurs.
Should be 0. If you’re late on a payment, you pay compounding interest. The idea that you can somehow charge a fee on top of that is absolutely insane.
Good
I actually think this is going to be bad for consumers.
I don’t like exploitative fees, but this will reduce the amount of credit available to people through traditional means and that will push people on to exploitative Buy Now Pay Later companies instead.
BNPL aren’t legislated like credit cards are, and can be more usurious.
The other option is a reduction of credit available results in reduced demand and mild to severe recession, which is also bad for poor people.
And yet these types of predatory fees are a very American thing (and of course probably many parts of the world I have no experience with) for the comparison below I will focus on US vs Europe.
Most European credit cards debit the full amount at the end of the month. If you don’t have enough money in your bank account, there is no overdraft fee. The overdraft becomes a loan which you pay a couple percent interest. Then eventually if you don’t pay that for long enough and the interest rising a bit more, the bank reaches out to you, and offer to close your count and make a payment plan for you. Otherwise it goes to collections.
The above happened to me when I was a student. I was able to quickly open another bank account for like 2 euros with another bank as well, and eventually paid off my debt.
