The American Bankers Association says 18 percent of bank customers paid overdraft fees in the past year. New federal regulations require banks to get customer permission before charging fees to cover overdrafts from ATM and debit card transactions. So bank customers nationwide are being notified of their choice to opt in to overdraft protection plans. Until now, banks provided overdraft services automatically and charged customers between $10 and $38 per overdraft. The changes took effect July 1 for customers opening new checking accounts. They go into place Aug. 15 for those with existing accounts. Local banks are alerting customers to the changes.
You can read more about the issue in today's Business First.