Strunk Issues Call To Action

HOUSTON - Strunk & Associates, a financial advisory service known for its implementation of the original Overdraft Privilege Service Program, expressed its concerns to its credit-union partners regarding to House Bill HR 946.

"While we applaud the good intentions of the bill and its authors and express our willingness to engage in a dialogue to improve the legislation, we must oppose the bill in its current form," the letter read.

According to the letter, there is 88% support for overdraft protection.

"Our, and your, experience shows very clearly that credit unions' discretionary overdraft payment practices actually save consumers much more than they pay to their financial institutions-in fees they would have to pay merchants, retailers and other payees of insufficient funds transactions, including typical 'returned item fees,' 'late fees,' 'penalty fees' and 'fines.'...When a consumer is protected by ours or similar products, the need to navigate a maze of merchants and third-party collection agents, to resolve the problem and the risk of negative credit reporting are reduced or eliminated, especially when the overdraft occurs while paying a mortgage or other critically important debt."

The letter urged its credit-union partners to call the representatives from their state and express their concerns with HR 946. (c) 2007 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved. http://www.cujournal.com http://www.sourcemedia.com