St. Louis Fed, Report: Is the Era of Overdraft Fees Over?
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“Banks have responded to consumer, competitive and regulatory pressures to overhaul their overdraft programs, and that trend is expected to continue. Most of the action to date has occurred at very large institutions; the vast majority of the nation’s banks (and credit unions) have yet to make changes. Financial institutions, like other firms, must operate in the black. As a result, the speed at which they make changes will depend largely on the relative importance of overdraft and NSF fee income to their bottom lines and on whether banks can compensate elsewhere for lower overdraft fee revenue.”