CRACKDOWN

Bureau to Investigate Overdraft Fees

First big initiative for consumer watchdog.

The Consumer Financial Protection Bureau launched its first big initiative Wednesday, announcing that it would look into the overdraft fees that banks charge their customers, a practice worth billions of dollars. The inquiry is to investigate the fees that an economic research firm, Moeb $ervices, say amount in up to $38 billion in revenue for banks in 2011. Banks charge up to $35 for each overdraft, enabling customers to overdraft but slapping a fee that, the firm said, is most hurtful to low-income individuals. A 2008 study found that 46 percent of young-adult account holders incurred overdraft charges. The CFPB is said to be seeking out a “penalty fee box” for customers’ account statements that would detail the total costs incurred due to overdrafts.