Wednesday, November 2, 2011

Bank of America Pulls Back On Its Fees

Remember that Bank of America announcement which stated they'd begin to charge their customers $5 per month just to use their money in the form of a debit card to try and end run financial reform and screw the little guy to the tune of $3 billion profit a year and other banks were following suit? Yeah... not so much.

Despite an outpouring of complaints online and at branch offices, the bank had remained steadfast in its plans until last Friday, according to a person briefed on the situation, planning to ease just some of the conditions for avoiding the fee. But over the weekend, after two major competitors — Wells Fargo and the nation’s largest bank, JPMorgan Chase — said they were backing away from their plans to levy similar charges, two high-ranking Bank of America officers recommended to Brian Moynihan, the bank’s chief executive, that the bank simply drop the fee.
...[Change.Org founder Ben] Rattray and other consumer advocates said the outcry was about much more than fees. “Bank of America’s new debit card fee was the last straw for many consumers who are tired of banks that got bailed out that are now turning around and hiking fees,” said Norma Garcia, manager of Consumer Union’s financial services program. “There was this phenomenon with banks and others confusing passivity with loyalty. And consumers are saying, ‘You can’t take us for granted anymore.’ ”
And don't tell me the Occupy Wall Street had no influence.


Annette said...

I have been with BofA for a number of years... I am still switching my account over. This really pissed me off. Soon as my check comes in tomorrow I am going to open another account at a local bank here in town and close my BofA account and let them know this is exactly why I am doing it. I hope even though they changed their tune and are not going to charge this stupid fee others will still close out their accounts.

Broadway Carl said...

You're doing the right thing, Annette. If you read the whole article you'll notice that they still don't get it. They thought it was gracious of them to be up front about screwing over their customers. All they came away with was thinking they'll just hide their fees the next time to avoid the controversy.