Durbin applauds banks for checking account disclosure forms

Sen. Dick Durbin (D-Ill.) sent a letter Wednesday applauding banks for following his advice and voluntarily adopting a disclosure form designed to make checking account terms and fees easier for consumers to understand.

“Citi’s and Town and Country Bank’s decision to voluntarily adopt a simple and clear fee disclosure form will help their customers and shows that transparency and fairness are a good business plan,” Durbin said. “Giving consumers clear, upfront and accurate information about the fees that they will be charged will allow consumers to make sound financial decisions. 

“It’s time for banks and credit unions across the country to join the growing number of financial institutions who’ve decided to put their customers first.”

In his letter to Citi — one of the largest banks in the United States — Durbin said he was glad they decided to be “upfront and honest” with costumers.

“I believe your customers will value your demonstrated commitment to transparency,” Durbin wrote.

The new forms will outline all the basic checking account terms and conditions — including ATM fees, interest rates, overdraft penalties and account closing fees — in a concise, easy-to-read, one-page format.

Last year, Chase, the nation’s largest bank, announced it too would adopt a similar form.

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