Dissecting CFPB proposed rule to close overdraft ‘loopholes’

The Consumer Financial Protection Bureau’s (CFPB) highly anticipated proposed rule on overdraft fees proposes to close a “regulatory loophole” by applying Truth in Lending Act principles to overdraft programs offered by depository institutions. Dodd Frank Update spoke with Kelvin Chen of the Consumer Bankers Association about the CFPB’s proposal, including aspects that may signal good intentions but not necessarily good policy.