Overdraft Fees Are Trapping Consumers On Social Security In A Cycle Of Debt

Overdraft Fees Are Trapping Consumers On Social Security In A Cycle Of Debt

The Center For Responsible Lending has put together a report that examines the disastrous effect of overdraft fees on Americans who depend on Social Security for all or part of their income. Despite the fact that they’ve had checking accounts all their lives (and presumably know what they’re doing), each year older Americans pay 4.5 billion dollars in overdraft fees– and on average they actually pay more in fees than they receive in credit when the overdraft is triggered by a debit card transaction.