More bad news for bank customers: Debit card fees

NEW YORK (AP) -- Will a monthly debit card fee soon be the norm? Bank of America said Thursday that it plans to start charging a $5 monthly fee when customers make debit card purchases. The fee will be rolled out starting early next year.

Paying to use a debit card was unheard of before this year and is still a novel concept for many consumers. But several banks have recently introduced or started testing debit card fees. That's in addition to the spate of other unwelcome changes checking account customers have seen in the past year.

Bank of America's announcement carries added weight because it is the largest U.S. bank by deposits.

The fee will apply to basic accounts, which are marketed toward those with modest balances, and will be in addition to any existing monthly service fees. For example, one such account charges a $12 monthly fee unless customers meet certain conditions, such as maintaining a minimum average balance of $1,500.

SOURCES:finance.yahoo.com...


I'm about to close my account with them.



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BoA can dig it's own grave I know the local branch is dying because our company finance department sent out memos on the best and worst local banks. Well it didn't really say best and worst but gave a line by line account of the banks fees and interest because some wanted to start charging for automatic deposit. Just use the credit card and pay it off every month

I don't see what the difference is. You get charges on debit even if you go to ATM machine that isn't from that bank, only they get more out of you. $5 Adds up to $60 a year, you won't even notice $5 a month gone. Considering you rack the fees up using the other ATM at 3.56 a pop on each use. You still end up paying that much.

Now, if they were to charge you $5 for EACH debit use then you have reason to be mad and upset.

Just my take.

I could buy Money Orders for less than $5.
Also I will go back to old fashioned mail order instead of buying on the internet.
This will curb a lot of internet sales.
Wait till the sellers start screaming.

Use cash. Pull your money out of the bank and use it as needed. Chances are you're making a pittance, if any, interest while they are making loans based on your deposit.......and charging you for the privilege of them doing so!

They are counting on the fact that you've gotten hooked on the convenience of using a card rather than using cash and will pay for said convenience.

It is a PIA to use cash but if everyone pulled a large chunk of their money out of the banks and started paying with cash, the banks would be in deep doodoo. Unfortunately I don't know of a means to completely excise ourselves from the use of plastic but do believe if for local transactions we moved to cash you'd see the banks change their policies FAST.

I also believe that people would be more reticent to spend their money when handing it over as cash rather than swiping a card. It's one thing to swipe a card for that 3D TV, it's quite another to physically hand that sum over in 20's. Granted the debit card usage comes directly from your bank account but I believe there is a psychological link to using plastic that makes us more apt to use them than to plunk over a wad of cash.

They sure know how to shoot themselfs in the foot!

Everytime I turn around I'm getting smacked with fees because of my debit card. They can kiss my rear I'll close my account. I'll just carry cash.

reply to post by sam_inc


for years we heard about a cashless society, and now they want us to go back to using cash.

and they'll collect fewer fees from merchants, that's interresting.

but i guess we play the game, the end of debit card era.

Originally posted by wantsome
Everytime I turn around I'm getting smacked with fees because of my debit card. They can kiss my rear I'll close my account. I'll just carry cash.

If people follow suit and do what you just described, the banks will either bend to our will or go bankrupt. They need us more than we need them!

Was wondering why I was recently charged a $10 "ATM Withdraw Fee", of course that's on top of the local ATM fees. Never happened before, this was the first month. But they never told us about it. I'm going to get my $10 back and close my account.

I guess I should add I'm using a local bank just to spite the post below me. Screw all banks.

I'll say it again, no one on this board should be banking with ANY of the big banks. They were heavily involved in the economic collapse, screwed us in the bailouts and are continuing to screw us. Everyone should have moved their banking to a credit union or community bank yeasr ago. If anyone on ATS is stll banking with BoA you should be ashamed of yourself.

you want bad news ?

read the ammortization schedule in your mortgage

5 monthly fees, lol

The more you LET "them" do...the more they're gonna do...regardless of how you feel! Why do you people keep funding these money changers??? Don't you know HOW to USE your money....or do you like getting USED by it???

Originally posted by Manhater
I don't see what the difference is. You get charges on debit even if you go to ATM machine that isn't from that bank, only they get more out of you. $5 Adds up to $60 a year, you won't even notice $5 a month gone.

5 bucks may not be noticed but its the principal behind it. The damn banks should feel PRIVLIDGED to have my money and your money at their institution. For them to start charging me to utilize my own account warrants them all the middle fingers I can afford.

reply to post by sam_inc


in defense of the bank.... they have removed the $1500.00 minimum balance IF you have over $250. direct deposit credited to the account...

as far as the service fees for debit card transactions.... i have 2 scheduled monthly debits
and perhaps 3 ATM withdrawls per month...
from what you suggest i will 'Lose' approximately $25 monthly for them 'digitally processing my transactions...


if that be the case... i will move my account & think about subjecting their transaction centers to disabling adventures.............a'la 'V' for Vendetta

I've used big banks in the past. Mostly while in the military because there is usually branches all over. After charging interest for everyday I was negative and tried to charge me close to $500 bucks, I closed the account. I understand charging someone for not budgeting their money but to hit someone for $35 a day til they get back into the positive is some greedy BS. Been using a local back now since 2006. I've never had a problem with them. I will never use another "Too Big To Fail" banks ever again.

Originally posted by bozzchem

Originally posted by wantsome
Everytime I turn around I'm getting smacked with fees because of my debit card. They can kiss my rear I'll close my account. I'll just carry cash.

If people follow suit and do what you just described, the banks will either bend to our will or go bankrupt. They need us more than we need them!

I have been a BOA customer for years. I have wanted to close my account so many times with them. I just noticed on my monthly statement, for the first time in years, a $12 service charge. I was like wth? I haven't gone to the bank to find out about it yet, but I am going to.

My problem is, and I would be curious how you all deal with this, if I close my account, how do you cash checks, or pay bills without a debit, or checking account. Quite frankly, I do e-pay through my account. It's easy, and quick. I also have direct deposit for child support, from another state, if I closed my account how would I go about cashing my checks with out an account? I know most banks wont cash checks unless you have an account with them So how do you handle that?

I understand the upset of fees, but people forget that banks are businesses. Not a governmental run like, say the USPS. All those fees they charge their clients are their main, if not only, source of profit. And it is because of a restriction lain on them by the government that has forced them to up their fees or bring about once non-existance fees. Without it, I have been told, within as little as six months banks would lose millions, causing them to collapse. Banks are OFFERING you a service. They have no obligation to serve you. Do you see other businesses offering you their services for free? No. Because that is not how a business works. Fees suck. They do. But that is how banks make money. And please, next time you are in a bank and the sting of those fees irk you, don't take your frustration out on the tellers. They have no control over the matter.


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and that's why I do business with a credit union and I keep cash in a safe in case the SHTF and the banks shut down without allowing people access to their funds.

Charging you $5 to have access to your money...are you insane?

Originally posted by St Udio
reply to post by sam_inc

 

in defense of the bank.... they have removed the $1500.00 minimum balance IF you have over $250. direct deposit credited to the account...

Serious?
In defense of the assailant, he did promise to stop choking her to death if she agreed not to scream during the rape.