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Pew Survey: Customers Confused about Overdraft Fees

Pew Survey: Customers Confused about Overdraft Fees

A new study conducted by the Pew Charitable Trusts found that more than half of individuals who overdrew from their checking account were not aware that they had signed up for overdraft coverage that would lead to a fee.

The survey noted that more than one-third of respondents did not even know that their bank offered overdraft coverage until they were hit with a few, according to MSNBC.

The results of the study come nearly two years after the Federal Reserve required banks to change their overdraft policies for debit cards to provide an opt-in clause for the overdraft protection plan, the news source said.

"The study confirmed the concerns we have about whether those who overdraft understand if they opted-in to overdraft protection," Susan Weinstock, director of Pew's Safe Checking in the Electronic Age Project, told the news source. "More than half of those who had overdrafted didn’t think they had opted-in to overdraft coverage when they had."

The New York Times reports 90 percent of Americans have a checking account, emphasizing the importance of understanding banks' overdraft policies.