The Biden administration finalized a rule that will cap overdraft fees at $5 at the largest banks and credit unions in a move that is expected to save consumers $5 billion a year if it survives likely court challenges and a change in control of the White House.

The new rule would cap the fees consumers are charged when they spend more money than they have in their accounts. It will only apply to banks with more than $10 billion in assets, which encompasses about 150 of the 9,000 banks and credit unions in the U.S.

Banks have several options on how to comply with the rule — capping the overdraft fees at $5, setting them at another amount that covers their costs and losses, or treating them as a line of credit that provides similar disclosures to customers like signing up for a credit card.

There are also questions as to whether the rule will remain in place if Trump returns to the White House, if elected. During Trump’s first term in office, he took a laxer approach to bank regulation and is reportedly looking to shrink the number of bank regulators in Washington during his second term. He has not indicated publicly what he will do with the overdraft rule but will get to appoint a new Consumer Financial Protection Bureau director who is unlikely to take the aggressive regulatory approach that the Biden administration has.

Overdraft coverage was created as a niche service when checks were a prominent source of payment that took days to clear, but evolved into a lucrative endeavor for banks as debit cards became more popular and people made more daily purchases that could result in accounts going into the negative.

The CFPB said the new rule closes a loophole that allowed banks to use overdraft fees as loans that increased consumer costs by billions. It also prevented tens of millions of consumers from losing access to banking services and negatively impacted credit ratings, according to the agency.

“For far too long, the largest banks have exploited a legal loophole that has drained billions of dollars from Americans’ deposit accounts,” CFPB Director Rohit Chopra said in a statement. “The CFPB is cracking down on excessive junk fees and requiring big banks to come clean about the interest rate they’re charging on overdraft loans.”

Cracking down on so-called “junk fees,” unpopular charges various industries levy on consumers, has been a priority for the Biden administration.

Consumer advocacy groups have cheered the cap on overdraft fees as a way to protect the most vulnerable Americans. Overdraft fees are most likely to be felt by low-income households or people living paycheck-to-paycheck who frequently have to contend with expenses costing more than their balance. A study last year by PYMNTS found paycheck-to-paycheck consumers are six times more likely to use overdraft services.

Several large banks like Chase, CitiBank and Capital One had already gotten rid of overdraft charges entirely amid mounting public pressure. But institutions with the charges in place still average about $29 per overdraft, according to an October survey by Bankrate.

“In the grand scheme of things, I think this overdraft fee rule is just not worth the fight for the banks, it brings more bad press and reputation risk to them than the value of the overdraft fees that they’re gaining from that in the current environment,” said Cliff Rossi, a professor of finance at the University of Maryland’s Robert H. Smith School of Business who also worked in high levels of risk management for several large banks.

The CFPB predicted its new rule would save each household that pays overdraft fees $225 per year.

The banking industry has lined up in stiff opposition to the rule, which will take effect in October unless the Trump administration steps in or it is tossed in court.

A lawsuit has already been filed challenging the rule in court by the Mississippi Bankers Association and American Bankers Association, trade groups that represent banks. In the filing, the groups argued that the CFPB overstepped its legal authority by treating overdraft fees like loans and failing to consider the costs and benefits of the rule.

“The CFPB’s final overdraft rule exceeds the bureau’s statutory authority, ignores thoughtful industry and stakeholder feedback, and will harm the very consumers the CFPB claims to protect,” ABA President and CEO Rob Nichols said in a statement. “Surveys consistently show that Americans understand and appreciate overdraft protection, and if this rule is allowed to move forward, many Americans will lose this service. Consumers don’t want that to happen, which is why we have joined this litigation. We look forward to the court’s review.”

Some surveys have found that consumers prefer to have an overdraft fee incur over having their transactions declined, but consumer advocacy groups and regulators have questioned how much it costs financial institutions to offer the service.

“There’s many other battles going on. I know it was a really good revenue stream for a while, but those overdraft fees have been declining over time as a source of revenue for banks, so I’m not sure why they’re so adamant about it,” Rossi said.

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