French HillChairman

Washington, February 13, 2025 -

Today, House Financial Service Committee Chairman French Hill (R-AR) and Senate Banking Committee Chairman Tim Scott (R-SC) introduced Congressional Review Act (CRA) resolutions to overturn the Biden Administration’s Consumer Financial Protection Bureau’s (CFPB) final rule capping overdraft fees at banks and credit unions. The committee leaders cited the rule’s impact on access to important financial services and reiterated that lawful and contractually agreed upon payment incentives promote financial discipline and responsibility. 

Chairman Hill was joined on the resolution by Reps. Bill Huizenga (R-MI), Ann Wagner (R-MO), Andy Barr (R-KY), Roger Williams (R-TX), William Timmons (R-SC), Ralph Norman (R-SC), Dan Meuser (R-PA), Byron Donalds (R-FL), Andy Ogles (R-TN), Maria Salazar (R-FL), Troy Downing (R-MT), Mike Haridopolos (R-FL), Tim Moore (R-NC), and Glenn Grothman (R-WI). Senators Mike Crapo (R-ID), Roger Wicker (R-MS), Jim Risch (R-ID), Jerry Moran (R-KS), John Boozman (R-AR), Thom Tillis (R-NC), Kevin Cramer (R-ND), Cynthia Lummis (R-WY), Bill Hagerty (R-TN), Katie Boyd Britt (R-AL), and Pete Ricketts (R-NE) co-sponsored Chairman Scott's resolution.

Chairman Hill said, "Senate Banking Committee Chairman Tim Scott and I were clear when we told federal agencies – including the CFPB - to stop all midnight rulemaking, which former Director Chopra blatantly disregarded. As I have consistently said, the CFPB needs guardrails on its enforcement and rulemaking powers, and this rule is another clear example of why. The CFPB’s actions on overdraft is another form of government price controls that hurt consumers who deserve financial protections and greater choice. Our CRA will help overturn this harmful rule and is a next step toward ensuring the CFPB halts all ongoing rules until it answers to Congress, just like any other non-independent federal agency. Chairman Scott and I will continue to work with our fellow Republicans to rein in the agency with statutory direction."

Chairman Scott said, “The Biden Administration’s CFPB routinely targeted legitimate payment incentives and practices in pursuit of political headlines over sound policies. The overdraft rule was yet another example – many consumers rely on overdraft services to make ends meet and limiting this practice will push Americans to riskier financial products. I’m proud to lead the effort to overturn this misguided rule and protect Americans’ access to important financial services.”

For text of Chairman Hill's CRA resolution, click here.

The CRA has the support of key stakeholders, including the Consumer Bankers Association, Independent Community Bankers of America, American Bankers Association, and America's Credit Unions.

Consumer Bankers Association (CBA) President and CEO Lindsey Johnson said, “We commend House Financial Services Committee Chair French Hill and Senate Banking Committee Chair Tim Scott for introducing this critical resolution to overturn the Biden-Chopra CFPB’s misguided rule imposing government price controls on overdraft services. This rule is a blatant overreach—one the Bureau never had the authority to impose in the first place. Millions of hardworking Americans, including the one in five without access to credit, rely on overdraft services as a valuable financial lifeline, yet the Biden-Chopra CFPB’s overdraft rule threatens to cut off their access to this essential bank product. We thank Rep. Hill and Sen. Scott for their leadership in standing up for consumers and preserving access to financial products that provide consumers flexibility and security when they need it most.” 

Independent Community Bankers of America (ICBA) President & CEO Rebeca Romero Rainey said, “The Independent Community Bankers of America (ICBA) strongly supports Chairman French Hill and Chairman Tim Scott’s Congressional Review Act Resolutions to scrap the flawed CFPB rule on overdraft protection,” stated Rebeca Romero Rainey, ICBA’s President and CEO. “Community banks provide a wide range of beneficial products and services in a competitive marketplace that customers may select to address situations in which they’ve overdrawn their account, including overdraft programs. The CFPB’s arbitrary restrictions will have a negative ripple effect on customers and businesses that rely on overdraft services by causing them to experience the harsh realities of rejected payments. Chairmen Hill’s and Scott’s CRAs are needed to stop the CFPB’s overdraft rule, which exceeded the bureau’s statutory authority under the Truth in Lending Act, violated existing regulations that have determined overdrafts are not extensions of credit, and was released at the 11th hour of the outgoing administration.”

American Bankers Association President & CEO Rob Nichols said, "We welcome Chairman Hill and Chairman Scott’s leadership in advancing this Congressional Review Act resolution to overturn the CFPB's misguided overdraft rule, and we strongly urge all members to support it. This rule - finalized in the eleventh hour of the last administration – reverses 55 years of regulatory precedent by the agencies charged with enforcing it and the courts. More importantly, it will harm rather than help consumers by limiting access to a service they value and appreciate. This flawed rule exceeds the Bureau's statutory authority, and this CRA resolution presents an important opportunity to stop it. We again want to thank Chairman Hill and Chairman Scott for leading this effort." 

Further Background:

On December 17, 2024, Chairman Hill sent letters to all agencies under the House Financial Services Committee’s jurisdiction, including the CFPB, warning against finalizing partisan rulemakings prior to President Trump taking office. On December 23, 2024, Chairman Hill released a statement opposing the rule and Director Chopra’s midnight rulemaking.

On November 17, 2024, Chairman Scott sent a letter to the White House calling on the Biden Administration’s financial and housing regulators to cease all rulemaking activity. At a December 2024 committee hearing, Chairman Scott called out CFPB Director Rohit Chopra for ignoring his demands to pause rulemaking and pressing forward with an aggressive agenda. On December 12, 2024, after the CFPB finalized the overdraft rule, Chairman Scott released a statement opposing the rule and Director Chopra’s midnight rulemaking.