NC's Josh Stein wants banks to get rid of overdraft fees

North Carolina Attorney General Josh Stein is asking banks to completely eliminate overdraft fees.

Posted 6:10 p.m. Apr 7, 2022 — Updated 10:10 p.m. Apr 7, 2022

RALEIGH, N.C. — North Carolina Attorney General Josh Stein is asking banks to completely eliminate overdraft fees.

Stein is one of more than a dozen attorneys general throughout the U.S. who have signed off on a letter asking banks like JPMorgan Chase, US Bank, and Wells Fargo for "increased financial inclusion." The move is an effort to help families and consumers struggling with inflation at the gas pump, grocery store and other expenditures.

“Overdraft fees harm the most vulnerable among us,” said Stein in a release. “By eliminating them, these banks can make an instant improvement in the financial health of so many North Carolina working families. They should do so right away.”

Stein says overdraft fees harm the most vulnerable people, adding to debt they're already unable to afford. A report from the Financial Health Network shows people were charged more than $12.4 billion in overdraft fees in 2020. In recent months, Citibank and Captial One have announced that they are eliminating overdraft fees.

Citing studies, Stein said overdraft fees have disproportionately affected vulnerable families by burdening them with additional debts.

The Consumer Financial Protection Bureau found that JPMorgan Chase, U.S. Bank, and Wells Fargo are among the top five U.S. banks in total assets.

Suggest A Correction