Consumer Banking and Payments Law: 7.2.4.3.3 Fee restrictions
In order to take advantage of the exception for incidental overdrafts, the issuer is not permitted to charge any overdraft fees or other fees that are only imposed when that credit is extended.365 This includes overdraft fees, periodic interest on the overdraft, late payment fees, or any fees for delinquency or default.366 There is an exception that allows the issuer to impose a charge for the actual costs of collecting the credit, such as attorney fees, if otherwise permitted by law.