Zions Bancorp. in Salt Lake City is the latest bank to rein in overdraft and nonsufficient funds (NSF) fees.
The $91 billion-asset company said in a press release that the changes, which will take place on July 13, include the elimination of a continuing overdraft fee and the end of NSF fees for items that are returned unpaid because of nonsufficient funds.
Zions plans to reduce the NSF fee by more than 20% for items that are paid. It will increase the overdraft cushion amount from $5 to $30.
The company said the changes should save customers about $7.4 million in annual fees.
The changes “will help us build better pathways to inclusion for those members of our community who currently are unbanked or underbanked due to concerns about overdraft fees in traditional financial institutions,” Scott Anderson, Zions’ president and CEO, said in the release.
“Removing roadblocks for consumers who have historically been priced out of the banking system is an important step in our efforts to promote economic inclusion,” Anderson added.