Remember transaction sorting? Banks preventing consumers from opting out of overdraft protection? Thought the new consumer protection laws had outlawed these practices and made them obsolete? Sure they’re obsolete and illegal NOW, but banks still have to make reparations for the past. Earlier this year, Bank of America agreed to pay $410 million to settle [...]
Entries Tagged as 'transaction sorting'
Bank of America to Pay $410 Million for Overdraft Practices
July 19th, 2011 · No Comments · Banking
Tags: bank accounts·bank of america·checking accounts·Opt Out·overdraft fees·transaction sorting·Wells Fargo
Wells Fargo Ordered to Pay $203 million for Manipulation of Overdraft Fees
August 13th, 2010 · 5 Comments · Banking
Wells Fargo just got a huge slap on the wrist for a bank fee gouging practice, called transaction sorting. Transaction sorting consists of maximizing overdraft fees by processing debits in an order favorable to the bank. It can turn a $5 cup of coffee into a $35 cup of coffee. Each overdraft cost the consumer [...]
Tags: financial reforms·overdraft fees·overdraft protection·transaction sorting·Wells Fargo
“Transaction Sorting” Maximizes Overdraft Fees for Banks
July 16th, 2009 · No Comments · Banking
With the new credit card laws about to go into effect, banks are scrambling to replace the usurious income they used to be able to generate through late fees and sudden high interest rates. Overdraft fees on checking accounts are now being referred to in the banking industry as the “motherlode”. The method for maximizing [...]
Tags: Banking Industry·bounced checks·Checking Account·debit charges·debit transaction·Mike Moebs·Nightline·overdraft fees·transaction sorting
