What are junk fees? Biden admin cracks down on this amid inflation

What are junk fees? Biden admin cracks down on this amid inflation

On October 26, President Joe Biden announced a crackdown on so-called junk fees.

This includes new steps to effectively ban banks from issuing surprise overdraft fees and deposit fees on bounced checks.

His speech announcing this new move is his effort to provide more “breathing room” relief to American consumers.

This move came despite the economy and inflation remaining top concerns to voters 13 days before the midterm elections.

Biden said that the new moves on junk fees will save Americans billions of dollars in unfair fees.

He has reportedly directed his administration to reduce or eliminate junk fees entirely.

A slew of major banks is already seen ditching overdraft fees.

The president also highlighted new rules for airlines and travel websites to disclose fees for picking a seat, checking a bag and other add-ons.

Biden said his broader plan is to tackle hidden and surprise charges against companies sneaking bills just because they can.