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Highly Competitive Banking Industry Provides Consumers Unprecedented Choice & Transparency
Ahead of Congressional hearings this week featuring the CEOs of seven leading banks, the Consumer Bankers Association (CBA) is reiterating the benefits afforded to consumers within the highly competitive banking industry today and the significant impact bank-led innovations will continue to have in the lives of hardworking Americans for years to come.
The Power Of Choice
In the video above entitled, The Power Of Choice, CBA underscores banks’ commitment to meet evolving consumer demands and deliver for the millions of Americans they serve:
- Well-Regulated Industry: As opposed to many segments of the economy where Americans are charged fees, fee charges and disclosures in banking are heavily regulated at the federal and state levels. In some instances, these oversight requirements have been in place for more than half a century.
- Highly Competitive Landscape: Because the banking industry is among the most competitive in the world, banks are incentivized to constantly review and modernize products and services – and potential fees that come along with them – to meet evolving demand and attract new customers, fostering even greater transparency and choice for consumers.
- Empowered Consumers: Thanks to new bank-led innovations, consumers are now empowered with the financial tools they need to anticipate or avoid fees. In contrast to many fees charged by other industries, banks are required by law to disclose potential fees before a consumer chooses a product or service.
The Impact Of Innovation
Recent bank-led innovations in the overdraft marketplace are providing consumers even greater choice and flexibility to make informed financial decisions. According to new data from Curinos, the impact of these new products and polices for consumers is significant and wide-reaching:
- Overdraft fees are expected to fall by 68% between 2008 and the end of 2023. Curinos also projects institutions with pledged and adopted reforms will reduce overdraft fees by 50% in the period 2019 to 2023.
- These changes are expected to result in $167 in annual savings per U.S. adult by year end 2023.
- If current trends continue, consumers could save more than $28B in the five-year period between 2021 to 2025.
To learn more about how America’s leading banks are delivering for the families, small businesses, and communities they serve, visit www.BanksMakeItPossible.com.