Lucas,
As the Great Recession drags on, the Big Banks are looking for new ways to suck more money from the wallets of struggling consumers. Call it "trickle up" economics.
These banks are adopting the predatory tactics of "payday" lenders that trap consumers in cycles of high-cost debt, saddling them with triple-digit interest rates and draining their checking accounts through unfair fees.
But the Consumer Financial Protection Bureau (CFPB), the Office of the Comptroller of the Currency (OCC) and other bank regulators have the authority to crack down on these abusive practices.
Tell the OCC to crack down on predatory banking.
This week, the OCC wants to hear comments from the public regarding two predatory banking practices: overdraft programs and "deposit-advance products," which are bank payday loans.
Instead of charging consumers for overdrafts, banks can easily give consumers the opportunity to decline the purchase for no fee when they lack sufficient funds.
Banks should be banned from peddling predatory "payday" loans. Instead of preying on consumers, banks should provide responsible small loans, free of tricks and traps.
You can bet the OCC is hearing from lobbyists representing banks engaging in these predatory practices - banks like Wells Fargo, Regions Bank, Fifth Third Bank, U.S. Bank and Guaranty Bank.
Oppose the tricks and traps of "trickle up." Make sure the bank regulators hear from you.
Go to www.citizen.org/predatory-banking-comment
Thanks for all you do,
Rick Claypool
Public Citizen's Online Action Team
action@citizen.org
P.S. Your messages have a huge impact. Just a few months ago, more than 10,000 activists like you urged the Securities and Exchange Commission (SEC) and other agencies to reform the way Wall Street pays itself. Bloomberg News ( subscription required ) reported on it, saying "The flood of letters and e-mails is the largest for any of the SEC's rules since the act's passage."