The national average price for overdrafts (ODs) on checking accounts rose to $30 as of June, matching the national average charged by banks the past four years. The cost of overdrafts has risen steadily since 2009, according to a new study, which shows credit unions again remain the best deal for consumers.
Credit unions' average for 2013 is $28, one dollar higher than in December 2012, but still considerably lower than what banks have charged the past five years studied, according to data from Moebs Services, a Chicago-area economic research firm specializing in financial services. Banks have charged an average $30 since 2010, when they increased the price from $29. Credit unions charged $25 from 2009 through 2011 before increasing the fees in 2012 to $27.
"Despite the increases by credit unions (the past two years), their OD fees remain $2 lower than banks, which is still a statistical difference," said Michael Moebs, economist and CEO of Moebs Services. "Credit unions' falling OD volume forces them to increase price to maintain revenue. Overall industry OD revenue fell in the first quarter to an annualized total of $31.1 billion," he said.