Despite crackdown on junk fees, this banking surcharge just hit a record high

So-called junk fees can be tricky.

The Consumer Financial Protection Bureau has been scrutinizing some banking fees, including those for overdrafts and non-sufficient funds, that can catch customers by surprise — and are “likely unfair and unlawful,” according to the agency.

The consumer watchdog in the last several months has proposed a rule prohibiting financial institutions from charging certain fees on credit cards and issued guidance on some of the fees that can come with checking accounts. Since then, several banks announced they were eliminating overdraft fees or updating their policies to be more consumer-friendly, the CFPB said. 

But even though many banks lowered their fees for overdrafts and non-sufficient funds, fees for using an out-of-network ATM jumped to a record high, according to a new report by Bankrate.

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“ATM fees are biting harder than ever,” said Greg McBride, Bankrate’s chief financial analyst.

The average total fee a customer pays for an out-of-network ATM transaction rose to $4.73, a record high, Bankrate found, based on data from non-interest and interest accounts. This total combines the average fee the out-of-network ATM owner charges, $3.15, with the average fee the customer’s own bank charges the customer for the out-of-network transaction, $1.58.

On the upside, overdraft fees and non-sufficient funds fees are now significantly lower. The average overdraft fee fell 11% to $26.61 from last year’s average of $29.80, while non-sufficient funds fees hit an all-time low of $19.94, on average, according to Bankrate.