New Federal Reserve Rule and Managing Your Bank Accounts

The Federal Reserve, as expected, has instituted a new rule which will make banks get the consent of account owners before charging overdraft fees when they make transactions beyond what they have in their account.
 
Many consumers have been outraged that they haven't been told their accounts include overdraft privileges, which are accompanied by fees anywhere from $25 to $35 dollar for each overdraft.
 
Now that the rule will be in place July 1, 2010, consumers will have to give their consent before allowing overdraft privileges on their account, which will affect ATMs and bank cards.
 
While this will be hailed as good news to some, the problem that accompanies it for those who don't want the overdraft privileges, is they will be refused action on whatever they are doing if they run out of funds, which could result in embarrassing and frustrating situations.
 
For those choosing to continue on with an overdraft on their account, the new rule will have no effect on them. Many bank customers actually like having an overdraft so they don't have to watch every nickel and dime they're spending.
 
What's interesting about this to me is that it will save people some money by escaping unexpected fees, but at the same time will also force consumer to watch more closely their account balances or they'll end up in what could be difficult circumstances. Picture stopping in the gas station with little more than fumes and finding out your account is tapped out!
 
The point is that the new rules will require banks to notify you about overdraft privileges and whether you want to use them or not.
Either way, you'll have to be more vigilant in the future with your account, as you'll still have to pay overdraft fees if you opt in to use the services, or you'll end up running out of money at important times when you most need it.