by Pam Martens and Russ Martens
Wall Street on Parade
Yesterday, during a Senate Banking Committee hearing, Senator Chris Van Hollen of Maryland caught our attention when he said that there are three U.S. banks that “make 100 percent of their profits on overdraft fees.” He named the three banks as First Texas, Academy Bank and Woodforest National Bank. Van Hollen explained that most folks paying these fees are living paycheck to paycheck and many don’t even know that they’ve over-drafted their account because many banks provide no warning at the time the overdraft is occurring.
The Consumer Financial Protection Bureau (CFPB) issued a report on overdraft fees in 2017, finding the following: