The resolution killing the rule, which passed the House 217-211, will now head to the White House for President Donald Trump’s signature.
Right now, there is no cap on the overdraft fees that banks can legally charge.
Banks and banking groups had previously sued over the rule, arguing that it would have led to consumers leaning on worse, less-regulated services.
Democrats strongly opposed the effort and said the rule would help consumers who can’t afford the fees.
The CFPB estimated the rule would have saved consumers about $5 billion in annual overdraft fees, or $225 per household that typically experiences the fees.
The Republican effort to overturn the rule is “shamefully targeting the American people,” said Rep. Rashida Tlaib, D-Mich.
“Overdraft fees have morph(ed) from an occasional, ad hoc courtesy provided to consumers to a line of business.”. »