Overview

• Sens. Elizabeth Warren, Bernie Sanders and Richard Blumenthal sent letters on Sept. 2 to 25 banks requesting detailed disclosures on overdraft pricing, revenue and policies.
• Congress used the Congressional Review Act to overturn the CFPB’s late-2024 overdraft rule, which President Donald Trump signed in May after the rule set a $5 cap or cost-based pricing and classified overdrafts under lending laws.
• The lawmakers asked whether banks plan to raise fees, whether they will voluntarily follow the repealed standards and how much overdraft revenue they now expect.
• Recipients include JPMorgan Chase, Wells Fargo, Truist and PNC, along with smaller institutions such as Woodforest National Bank and Arvest.
• Democrats cite nearly $250 million in CFPB-overdraft refunds since 2022 and argue fees disproportionately hit lower-income customers and contribute to account closures, estimating the nixed rule would have saved up to $3.5 billion annually as the administration moves to shrink CFPB staffing and courts weigh those actions.