When you think about predatory financial practices, what do you think about? Payday loans? Subprime mortgage lenders? I've come to think that the big banks - the ones with the familiar brand names and shiny reputations - as the worst of the bunch. It's just that we are so used to the way things work, we don't see the manipulation anymore. Take overdraft fees. Banks manipulate transactions in just about every way possible to maximize the chances of an overdraft "protection" loan that has everything to do with generating fees, and nothing to do with service or protection for consumers.

Overdraft fees generate obscene amounts of money for banks -- $10.3 BILLION in 2005 alone, according to a conservative estimate by the Center For Responsible Lending (CRL). If you think back, chances are you never asked for this program. It's usually buried in the fine print of ever-changing banking contracts. Could banks warn you before that $2 Starbucks triggers a $35 overdraft fee? Yes, but why spoil such a great cash cow? Instead banks have gone the other direction - investing in systems like Check 21 that speed up the processing of debits from your accout, leaving credits to trickle in when they must (but hopefully not before at least a few overdrafts kick in.) High to low check clearing is another great trick - then clearing all of the debits in batches before the credits - not because they occurred that way chronologically, but because it generates more bank profits.

Here are some other facts you might not know about overdrafts - ones that fly in the face of the classic bank justifications. Based on CRL's analysis of Forrester Data, looking at 5,000 customers with accounts at the 15 largest banks:

- 46% of all overdrafts are triggered by debit card point-of-sale (POS) transactions or ATM withdrawals (a wrench in the bank story that this service is all about your mortgage payment going through - not bad for a scare tactic though!)

- Overdraft fees from debit card POS equate to a shocking interest rate - the median would be more than 20,000% APR (and you thought your mortgage was expensive!)

- 75% of respondents in a 2000 person survey said they would choose to be warned prior to an overdraft. Only 2% said that they would complete the transaction if warned before triggering the fee (so much for providing a valuable customer service)

And the bank's final trick - playing off of our own feelings of shame and embarassment (How could I have let this happen? What a waste of money! Why can't I manage my own bank account?) Banks are quick to back this up with the touche of "choice" - "well you DID charge that last Subway sandwich - remember this was all YOUR fault (under their breath) never mind that we carefully stacked the odds against you." So we blame ourselves and not the bank. It's time to blame the bank.