CFPB warns banks against charging unverified overdraft fees, enforcing rules against "phantom opt-in" practices.
The Consumer Financial Protection Bureau (CFPB) has warned banks to refrain from charging overdraft fees without verified customer consent. The agency issued guidance to help enforce rules against "phantom opt-in" practices, where banks claim consent without evidence. The CFPB emphasizes that banks must prove consent exists, aiming to protect consumers from unlawful fees. This follows actions taken against certain banks for misleading customers regarding overdraft charges.
September 17, 2024
7 Articles