BofA Drops Non-Sufficient Funds Charge, Cuts Overdraft Fees
- Overdraft fees cut at BofA; Wells Fargo offers grace period
- Lenders follow Capital One, Ally in reworking the fees
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Bank of America Corp. and Wells Fargo & Co. are ditching non-sufficient funds fees and easing off on overdraft charges, in measures analysts said may heap pressure on other lenders to follow suit amid heightened scrutiny on the penalties.
Both banks will eliminate charges for non-sufficient funds in customer accounts, they announced on Tuesday. Bank of America will also reduce overdraft fees to $10 from $35 beginning in May while Wells Fargo will give customers a 24-hour grace period before incurring such costs, starting in the third quarter.