Capital One To Become First <br />Major US Financial Company, to Ditch Overdraft Fees.<br />The company announced <br />the end of overdraft fees for <br />its retail customers on Dec. 1.<br />We will completely eliminate overdraft and non-suļ¬cient funds (NSF) fees for all Capital One consumer bank customers, Rich Fairbank, Capital One CEO, via CNBC.<br />In doing so, the company forgoes nearly $150 million in yearly revenue accrued by such fees.<br />Overdraft fees have been criticized by customers and consumer groups for years.<br />The advent of fintech companies that offer similar account services as major banks but without the threat of overdraft fees.<br />likely plays a role in Capital One's <br />business model shift.<br />While Capital One maintains fewer physical branches than other major U.S. banks, .<br />the company has more than <br />70,000 ATMs around the country. .<br />The banking industry accrued <br />more than $14 billion in <br />overdraft fees in 2019 alone.<br />Bank of America and PNC Bank recently incorporated features that make it less likely for a customer to overdraft on their accounts.<br />But neither company has revealed plans to <br />end overdraft fees completely.<br />Wells Fargo recently <br />issued a noncommittal <br />statement on the issue.<br />[Wells Fargo] continues to evaluate our products and services, including overdraft services, as the <br />marketplace evolves, Wells Fargo Statement, via CNBC.<br />The policy shift for Capital One customers kicks in beginning in the new year
