New York Attorney General Letitia James is leading a multistate coalition of attorneys general asking the CEOs of JPMorgan Chase, Bank of America, U.S. Bank, and Wells Fargo to eliminate all overdraft fees on consumer bank accounts by this summer.
In a press statement issued by her office, James claimed the elimination of the fees would “create a fairer and more inclusive consumer financial system,” noting that studies have shown these fees “have disproportionately affected vulnerable families and communities of color by unnecessarily saddling them with additional debts that they cannot afford.” As a example, she noted cases where consumers were charged an overdraft fee for as much as $35 on purchases of $5 or less.
“For too long, excessive overdraft fees have hurt the most financially vulnerable New Yorkers,” said James. “Working families and low-income New Yorkers cannot afford to continue to be harmed by this unfair and punitive practice, while banks reap big profits. I am calling on the largest consumer banks in the nation to do the right thing and remove overdraft fees. We need a fairer and more inclusive banking system that supports all New Yorkers.”
Joining Attorney General James in sending the letters are the attorneys general of California, Connecticut, the District of Columbia, Delaware, Hawaii, Illinois, Iowa, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, Oregon, Pennsylvania and Washington; North Carolina”™s attorney general is also involved but is not making the request of Bank of America, which is headquartered in his state.
