Bank of America announced Tuesday that it is doing away with overdraft fees on purchases made with debit cards.
That decision could cost the bank tens of millions a year in revenue and put pressure on other banks to do the same.
Bank officials said that effective this summer, customers who try to make purchases with their debit cards without enough money in the accounts will be declined. Debit purchases account for roughly 60 percent of overdrafts at Bank of America.
A new federal rule will soon require banks to get permission to provide certain overdraft services.
Information from the New York Times
