Pew’s ‘Transaction Infraction’ demonstrates how banks reorder transactions to extract unnecessary overdraft fees

dumpbank

The Pew Charitable Trusts offers an interactive “Transaction Infraction” graphic to reveal how lenders reorder debits and withdrawals in a non-chronological order, in order to maximize over draft fees.

Click “Ms. Gutierez’s order “to reveal the chronological order of her transactions.

Click “How Wells Fargo reordered them” to reveal how the bank reordered the transactions to extract additional fees.

Brutal.

According to Pew, the federal district court in Northern California found that Wells Fargo’s large-to-small posting order for debit card transactions was an unfair and deceptive practice.

We’ll say.

Wells Fargo now posts the most common types of transactions, like debit card transactions, chronologically or low to high for all accounts.

It’s about time.

Check with your bank to find out the order in which they post transactions in order to minimize your overdraft fees.

For reals.

About the author

DeadlineNews.Com's Publisher, Executive Editor and Founder, Broderick Perkins, was the first real estate journalist to manage a daily newspaper's online real estate section. He parlayed more than 30 years of old-school journalism into a digital real estate news service offering "News that really hits home!" -- the Silicon Valley bootstrap, DeadlineNews.Com. Network with Broderick Perkins on LinkedIn, FaceBook, Twitter, Google+ and the Bloomberg Business Exchange.

Website by imagiNed Web Design