Bank Overdraft Revenue Surges

It's Benzinga, bringing Wall Street to Main Street. U.S. banks collected $1.6 billion in overdraft fees in the third quarter, up 9.4% from the previous quarter and the highest amount in four years, according to Reuters. J.P. Morgan's overdraft fees rose 32%, and Wells Fargo's increased 17% since the first quarter of 2025, collecting a combined $590 million in the third quarter. Citi eliminated the fees in 2022. Bank of America's overdraft fee revenue has risen 49% since the first quarter of 2025 to $55 million, well below J.P. Morgan and Wells Fargo. The bank reduced its overdraft fee from $35 to $10 in 2022 following a critical CFPB report. Fees have risen steadily since Congress overturned a Biden-era rule that would have capped overdraft charges at $5 per transaction. Overdraft fees have risen steadily, climbing 23 percent since the first full quarter of Trump's second term, but remain well below their all-time highs. Economists warn that rising overdraft fees could signal deteriorating consumer finances. For all things money, visit Benzinga.com.