<!--banner ads -->






<!--article body -->




<!--breaking news -->





<!-- article header, including ads -->





Fed: banks need customer consent on overdraft fees

New Fed rule will bar banks from charging overdraft fees without customer consent


• 
  By Christopher S. Rugaber, AP Economics Writer
  
• On 7:58 pm EST, Thursday November 12, 2009
• 
  <form class="buzz" method="post" action="http://buzz.yahoo.com/vote/" id="media-buzz-top">
  
  
  
  
  
  
  
  
  Buzz up! 58
  </form>
  
  
• Print
• 
  

  Companies:

  
  
  • Bank Of America Corporation
  • Jpmorgan Chase Co.
  • Wells Fargo Company
  
  







<!-- /.mod.related-companies -->




WASHINGTON (AP) -- Banks will have to secure their customers' consent before charging large overdraft fees on ATM and debit card transactions, according to a new rule announced Thursday by the Federal Reserve.

Banks earn as much as $25 billion to $38 billion annually from overdraft fees, Fed officials said, but that total includes check overdrafts.

Many larger banks, including Bank of America Corp., JPMorgan Chase & Co., U.S. Bank and Wells Fargo & Co. began instituting similar "opt-in" plans in late September after coming under fire for the fees.

Nice kickoff to a very relevant topic. We connect on so many topics of interest as a society that it seems only natural that the workplace would be a fit if the dialog could be well structured for the organization. Alas, current data is, as you stated, anecdotal. My firm is building a database about social media to move this idea beyond the anecdotal and into actionable knowledge.

It's also interesting to think how our human experiences are enhanced by connecting on topics. You mention World of Warcraft and surfing - but think about how connections enhance our experience with other examples such as wine tasting, sports, dining, vacations and so many other areas of life. We look to peers and trust their opinions more than we trust marketing from a company.

We're seeing a resurgence in connecting over the new Web 2.0 as it were.

Not all banks are as keen to tap their customer base for ideas though. On its site, Bank of America specifically asks people not to contact it with proposals.

The firm's "unsolicited idea submission policy" states: "Bank of America and its associates do not accept or consider unsolicited ideas, including ideas for new or improved products, processes or technologies, product enhancements, advertising and marketing campaigns, promotions or new product names. Please do not send any original materials, suggestions or other items."

And just to ram home the point, BofA issues a stern coda: "If, despite our request not to send us your ideas, you still do, then regardless of what your communication states, the following terms shall apply to your idea submission. You agree that: (a) your ideas will automatically become the property of Bank of America, without compensation to you, (b) Bank of America can use the ideas for any purpose and in any way, and (c) any information you provide will be considered non-confidential."