U.S. digital banking group Ally Bank announced on Wednesday it has officially eliminated overdraft fees on all accounts. The bank revealed that every Ally Bank customer is eligible and there are no requirements or restrictions. The elimination of overdraft fees notably is the latest example of Ally’s “Do It Right” commitment.
“For over a decade, Ally has been leveraging its direct bank model to pass value back to customers with no minimum balance requirements, no monthly maintenance fees, no ACH transfer fee, and a large nationwide, no-fee ATM network with over 43,000 Allpoint ATMs. Ally has never charged overdraft fees for debit card transactions or charged more than one overdraft fee per day.”
Speaking about the decision to eliminate the fees, Ally Financial CEO, Jeffrey Brown, stated:
“This is a significant advancement for consumers as we live out our mission and live up to our name – being a true ally. Overdraft fees are a pain point for many consumers but are particularly onerous for some. It is time to end them. Nationwide, more than 80% of overdraft fees are paid by consumers living paycheck to paycheck or with consistently low balances – precisely the people who need help stabilizing their finances. Eliminating these fees helps keep people from falling further behind and feeling penalized as they catch up.”
Ally Financial Inc. claims to be a leading digital financial services company and a top 25 U.S. financial holding company offering financial products for consumers, businesses, automotive dealers and corporate clients. It is also one of the largest full-service auto finance operations in the country.