Author Bio
Bram Berkowitz mainly writes in the financials bureau covering the banking sector. Prior to The Motley Fool, he wrote about and covered community and regional banks in New England for The Warren Group.
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The digital banking division of
Ally Financial (NYSE:ALLY) said today it is abandoning overdraft fees on all accounts for good. Every customer is eligible, and there are no requirements or restrictions, the company said in a statement.
"Nationwide, more than 80% of overdraft fees are paid by consumers living paycheck to paycheck or with consistently low balances -- precisely the people who need help stabilizing their finances," said Ally Financial CEO Jeffrey Brown. "Eliminating these fees helps keep people from falling further behind and feeling penalized as they catch up."