Lawmakers in Augusta will consider a bill aimed at restricting how banks impose overdraft charges.
The measure, proposed by Democratic state Sen. Mike Carpenter of Houlton, would prohibit banks from changing the order of transactions in order to maximize the amount of overdraft fees.
Carpenter says there are reports of some banks in other states that use this practice, called resequencing.
“I do suspect from talking to people that it may be going on, certainly with the larger, multi-national corporations," Carpenter says. "This amounts to billions of dollars to the bottom line, nationwide.”
Carpenter says consumers often end up paying overdraft fees that are triggered by other overdraft fees. Carpenter says, while he has not heard complaints in Maine, it's likely happening here.
