On Wednesday, the Republican-controlled House passed two resolutions along party lines overturning rules—on capping bank overdraft fees and oversight of consumer payment apps—that were adopted in the last months of 2024 by the Consumer Financial Protection Bureau (CFPB). The votes represent major wins for the consumer banking industry and Big Tech companies that offer—or are planning to offer—digital wallet services.
Both rules are being overturned by the Republicans using the Congressional Review Act, a law that allows Congress to reverse agency rules within 60 legislative days of them being finalized by passing joint resolutions of disapproval in both chambers, then having the president sign the bills into law.
In a vote of 217-211 in favor, with five House members abstaining, the House overturned a $5 cap on bank overdraft fees. The rule, finalized by the CFPB in December as part of the Biden administration’s clampdown on “junk fees,” was set to take effect later this year for banks and credit unions with more than $10 billion in assets. According to Consumer Reports, large banks typically charge $35 for overdrafts of less than $26. The CFPB estimated the cap would have saved Americans up to $5 billion a year in fees.
