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Banks look at overdraft fee alternatives


 
In less than a week, Keri Fitzpatrick, a self-described lunch lady, was dinged for $175 she definitely didn’t have.
A succession of automated payments over two days for her phone, two credit cards and car insurance pushed her TD Bank account into the red, socking her with $140 in overdraft fees. Then another unexplained fee surfaced Friday, even though her paycheck had landed and she couldn’t find any other pending charges.
Fitzpatrick, 29, said she should’ve been paying closer attention she assumed she had more money in her account. But she still couldn’t believe how quickly the charges piled up. ....

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Wells Fargo, Other Banks Continue To Take Advantage Of Minorities


Wells Fargo branch in San Francisco (iStockAndrei/Stanescu)
An investigation by a local ABC affiliate uncovered that Wells Fargo and other large U.S. banks finance many predatory lenders that target minority borrowers with high-interest fees.
WFAA, a Dallas ABC affiliate, explored how large banks won’t lend to, but continue to make money off minority residents in southern Dallas, including buying and profiting from low-income apartments that perpetuate crime and blight.
According to the investigation, Southern Dallas has 88 payday lender storefronts. Payday lenders offer quick loans marketed as a way to pay for rent, or a necessary car repair. However, deep in the fine print are interest rates of up to 400% that are nearly impossible to pay off. ....

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