In their lawsuit, the organizations allege that the CFPB exceeded its regulatory authority with this new regulation and that it did not appropriately consider how its actions will harm consumers, the Consumer Bankers Association (CBA) said in a press release.
“While it is unfortunate, CBA had no choice but to pursue legal action to counter the CFPB’s blatant statutory overreach with its misguided rule to ensure consumers continue to have access to liquidity through overdraft services,” CBA President and CEO Lindsey Johnson said in the release.
