CBA Applauds House for Approving Resolution to Invalidate Biden-Chopra CFPB Overdraft Rule

If Signed by President Trump, Consumer Access to Overdraft Services Will Be Preserved

WASHINGTON, D.C. – Consumer Bankers Association (CBA) President and CEO Lindsey Johnson today released the following statement applauding the U.S. House of Representatives for voting to preserve consumer access to overdraft services by approving a Congressional Review Act (CRA) resolution to invalidate the Biden-Chopra era CFPB overdraft rule:

"We applaud the House for joining the Senate in voting to preserve consumer access to overdraft services by overturning the Biden-Chopra CFPB's misguided rule to impose government price controls on this vital financial product.

"Today’s House vote affirms what lawmakers, economists, and consumers have been saying for months: the Biden-Chopra CFPB’s overdraft rule is deeply flawed and harmful to the very people it claims to help. Both Chambers of Congress voting to overturn this onerous rule marks a significant victory for millions of Americans—especially the one in five without access to credit—who rely on overdraft services to pay for essentials and cover emergency expenses.

"The Biden-Chopra government price controls were an illegal overreach of the CFPB’s authority that would restrict consumer choice and undermine financial inclusion. We thank these Members of Congress for standing up for Americans who value the flexibility and protection overdraft services provide. We look forward to the resolution advancing to President Trump’s desk, where his signature would ensure that consumers can continue to access this important financial lifeline."

About the CRA Resolutions

Senate Banking Committee Chair Tim Scott (R-S.C.) and House Financial Services Committee Chair French Hill (R-Ark.) in February introduced CRA resolutions to invalidate the CFPB overdraft rule, which was finalized after the presidential election under the outgoing Biden-Chopra CFPB and was directly tied to political campaign messaging. The U.S. House Financial Services Committee approved the resolution last month. The U.S. Senate also approved the resolution last month.

Contrary to false messaging from former Biden former Transportation Secretary Pete Buttigieg and others about what the resolutions would do, these resolutions, if approved and signed into law by President Trump, would preserve the highly-competitive choices that consumers have to a myriad of overdraft services that best meet their needs.

CBA Advocacy

• To get the facts on the value of overdraft services, learn why government mandates are misguided, and read what others are saying about this misguided rule, visit OverdraftFacts.com.
• To read how consumers value overdraft services, click HERE.
• To read what subject matter experts are saying about the CFPB’s misguided rule – and why lawmakers must act to stop it, click HERE.
• To read our letter of support to lawmakers urging them to approve the overdraft CRA resolutions, click HERE.
• To read CBA President and CEO Lindsey Johnson’s statement on filing litigation against the CFPB overdraft rule, click HERE.
• To view CBA’s recent industry survey demonstrating the reduction in consumer liquidity posed by the CFPB’s rulemaking, click HERE.
• To view CBA's national empirical survey on consumer need for overdraft products, click HERE.
• To view CBA’s analysis of the cumulative impact of the CFPB’s overdraft rule on banks’ ability to offer low and no-cost checking products, click HERE.