Biden administration aims to reduce consumers’ nearly $9 billion in overdraft fees

According to the Consumer Financial Protection Bureau, Americans paid nearly $9 billion in overdraft fees in 2022. Speaking of fees, data also suggests Americans lose $65 billion per year in junk fees for items such as concert tickets, plane tickets, cell phones, credit cards and hotel rooms.

Brian Shearer, who serves as a senior advisor at the Consumer Financial Protection Bureau, says they’re crafting policies to save money for consumers, despite some economic experts who believe junk fees, for example, will just be tacked on to the initial price.

More recently, President Joe Biden announced his plan for reducing banks’ overdraft fees from an average of $35 down to $3.