Banks and credit unions are preparing for an unusual phenomenon — the midmonth payday on Sunday, Aug. 15, when millions of consumers may learn the hard way they were supposed to have opted-in for overdraft protection on their checking accounts.

"It's going to be a free-for-all," said Michael Moebs, the founder and principal of Moebs Services Inc., a Lake Bluff, Ill., company that provides overdraft and other consulting services to 2,000 credit unions and banks.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.