News

Durbin and Reed want banks to provide fee disclosure forms up front

Dick DurbinTwo Democratic senators want banks to provide consumers with a one page form that describes all of the fees they will have to pay for their checking accounts.

Sens. Dick Durbin (D-Ill.) and Jack Reed (D-R.I.) said a fee disclosure form would prevent banks from adding hidden fees and allow consumers the opportunity to compare their options with other banks, according to TheHill.com.

Durbin and Reed sent the newly created Consumer Financial Protection Bureau a letter on Thursday asking them to make the form a standard adoption in the financial industry.

“Simply put, consumers have had enough of banks that try to sneak fees past them that are hidden in fine print or imposed with no notice at all,” the Senators wrote, TheHill.com reports. “While we recognize that the CFPB is still in its formative stages and that it has many important tasks currently under way, we urge you to prioritize this matter and to use your regulatory authority to quickly ensure transparency for checking account fees."

The senators included a one page model developed by the Pew Health Group that requires disclosures on bank fees. The form has already been adopted by the Pentagon Federal Credit Union and the N.C. Teachers Credit Union, according to TheHill.com.

Comments are closed.