There is a new law meant to crack down on changes to the way banks can charge consumers overdraft fees.
Banks will no longer automatically offer consumers overdraft protections.
Cynthia Scott of OMC Financial Services says the new laws will help protect consumers from getting slammed with overdraft charges. "It does make the consumer more responsible because now you really have to check on what your balances are," she says.
If you choose to opt out of overdraft protection, Scott recommends consumers keep an emergency fund in their account to cover unexpected costs. It's also a good idea to sign up for e-mail alerts and texts to let you know when your account is low.
The new overdraft law does not apply to checks. Scott says the best advice for consumers is to make sure they keep track of exactly how much money is in their account. " Everyone should be checking their accounts daily so they know how much money they really have," she says.
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