Senator Elizabeth Warren, the ranking member of the U.S. Senate Committee on Banking, Housing and Urban Affairs, together with Senators Richard Blumenthal and Bernie Sanders, sent letters to 25 banks seeking information on their overdraft and non-sufficient fund fee policies, citing the repeal of a Consumer Financial Protection Bureau rule that would generally have capped overdraft fees at USD 5. The letters were sent to banks identified as collecting the most overdraft revenue, earning the highest overdraft revenue as a share of profits, or otherwise notable for overdraft-related consumer harm. The senators cited CFPB findings that 35% of consumers with incomes between USD 35,001 and USD 65,000 were charged overdraft and NSF fees, compared with 18% of consumers with incomes between USD 100,000 and USD 175,000, and argued that high fees can lead to cascades of failed payments and account closures. They also referenced CFPB estimates that the repealed rule would have saved consumers up to USD 3.5 billion annually, or USD 225 per fee-paying household. The banks were asked to provide answers by September 12, 2025.
U.S. Senate Committee on Banking, Housing and Urban Affairs 2025-09-02
U.S. Senate Committee on Banking, Housing and Urban Affairs minority seeks details from 25 banks on overdraft and NSF fees after repeal of CFPB USD 5 cap
Senator Elizabeth Warren and colleagues from the Senate Banking Committee have requested information from 25 banks about overdraft and non-sufficient fund fee policies, following the repeal of a CFPB rule capping overdraft fees at USD 5. The senators highlighted CFPB findings on the disproportionate impact on lower-income consumers and noted the repealed rule could have saved consumers up to USD 3.5 billion annually.