tagged w/ bank fees
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B of A announced that they will charge $5 debit card fees for customers having less than $20,000 in savings or investments with B of A, up from $5,000 they originally had planned.B of A announced that they will charge $5 debit card fees for customers having less... more
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ABC News heard that 135,000 Change.org members signed Molly Katchpole's petition against Bank of America's new $5 monthly fee to use a debit card. So the network tracked down CEO Brian Moynihan and forced him to respond to the petition. (Thanks, ABC News!)
The CEO was flustered and couldn't give a coherent explanation -- an embarrassing moment on national TV for the big bank (and the second night in a row that Molly's petition was a featured story on the newscast).
Bank of America is feeling the pressure from Change.org members. As more people speak out, Bank of America will be forced to cancel its new fee -- and other banks will be too scared to create their own new fees.
Add your name to Molly's petition demanding Bank of America cancel its new $5 debit card fee.
While you're signing, check out the amazing video from ABC News. It's inspiring to see one person's petition can make a bank CEO squirm on TV! Watch it here:
http://www.change.org/petitions/tell-bank-of-america-no-5-debit-card-feesABC News heard that 135,000 Change.org members signed Molly Katchpole's petition... more
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Millions of Americans are about to get stabbed in the back by their banks. Bank of America, JPMorgan Chase, Wells Fargo, Citibank and several other large banks are either already implementing outrageous new bank fees or are currently testing them. So are these ridiculous new bank fees going to be enough to get millions of Americans to finally boycott the big banks? When millions of Americans start paying a $5 fee every month to use their debit cards and when millions of Americans start paying a $20 fee every single month just to have a checking account hopefully that will be enough to wake them up. These fees are certainly not going to cause an "economic collapse", but they are incredibly annoying. The truth is that the big banks are trying to take advantage of us. It shouldn't cost $60 a year just to use a debit card. It shouldn't cost $240 a year just to have a checking account. What we need to do is to send an unequivocal message to the big banks: we don't want your stinking bank fees and we are switching banks.Millions of Americans are about to get stabbed in the back by their banks. Bank of... more
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Banks have been taking some highly controversial moves in order to make up lost revenue that they can no longer gather thanks to the regulation of “swipe fees” when customers use their banking cards.
But banks aren’t the only ones turning to the people with the least amount of funds in order to make sure they don’t lose their margin of profit. Parasole restaurant chain in Minneapolis is trying to recoup their own lost finances from increased banking and credit card fees — not by raising prices, but by taking it out of their servers’ credit card tips.
According to City Pages, a restaurant employee informed them that the owners of the chain have announced to the serving staff in their five Twin Cities restaurants that a new policy will be put in place where 2 percent of each waitstaff’s credit card tips will go back to the restaurant to compensate for the fees associated with customers using a credit or bank card rather than paying in cash. Servers, who are already working for minimum wage and tips, are incensed that their pay is being used to cover the lost profits, essentially asking them to take a pay cut to save money. “People aren’t tipping as much because the economy is bad,” the server said. “Now they’re asking us to take a 2% cut in income.”
So is this just an isolated event, or the beginning of a new trend? Just as an announcement about testing out debit card fees in August has already turned one bank into making the fee a permanent fixture that most banks are soon expected to follow, no doubt more restaurants will also be looking into ways to make their employees cover any changes in business expenses in order to leave their profit margin untouched.
Read more: http://www.care2.com/causes/restaurant-chain-takes-banking-fees.html#ixzz1Zpsj6nryBanks have been taking some highly controversial moves in order to make up lost... more
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Several days after 21-year-old Heather Lynn used her Wachovia debit card to donate $10 to Yele Haiti's earthquake fund, she noticed on her online billing statement that the bank had deducted a 3% "international service fee" from the donated amount. Since the four major credit card companies had waived their transaction fees on donations to Haiti, Lynn says, she assumed that Wells Fargo, Wachovia's parent company, had done the same.
Lynn, an art major at Old Dominion University in Norfolk, Va., immediately moved all her money to the Bank of Hampton Roads, a local community bank, and created a Facebook page to raise awareness of Wachovia's policy. The page, called "Wachovia = Fail," attracted more than 200 "fans" in a week and a slew of comments from people who are angry over Wachovia's ways of business.
http://www.huffingtonpost.com/2010/01/29/transaction-fee-on-haiti_n_442462.htmlSeveral days after 21-year-old Heather Lynn used her Wachovia debit card to donate $10... more
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Bank of America and JPMorgan Chase, two of the nation’s biggest banks, announced plans on Tuesday to drastically overhaul their debit card programs by lowering or eliminating fees, changing the way they credit transactions and allowing customers to opt out of overdraft protection.
The moves come as lawmakers and regulators in Washington push proposals to reform what critics say are excessive charges of which consumers are unaware. The penalties, known as overdraft fees, bring the banking industry tens of billions of dollars in revenue annually.
Bank of America said it would allow current customers to turn off the ability to spend when their account hits zero, starting Oct. 19. Next June, the bank plans to limit the number of times each year that current customers can overdraw their accounts when using a debit card at a store. It will let new customers choose whether they want overdraft protection when they are opening their account.
Chase plans to eliminate by the first quarter of next year a common industry practice that enraged many consumers. Instead of lumping a day’s worth of debit card and A.T.M. transactions together and then processing the highest amounts first — a practice that has caused large numbers of consumers to overdraw more quickly and pay more fees — it will credit the transactions chronologically. Chase also plans to allow customers to opt out of overdraft coverage.Bank of America and JPMorgan Chase, two of the nation’s biggest banks, announced... more
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Everybody knows that banks have jacked up fees on those who mismanage their checking accounts and credit cards.
Charges for late payments and exceeding your credit limit have almost tripled in the past decade. Bounced-check fees now average close to $30 -- with some banks charging as much as $45 for an NSF (nonsufficient funds) draft.Everybody knows that banks have jacked up fees on those who mismanage their checking... more
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US banks stand to collect a record $38.5bn in fees for customer overdrafts this year, with the bulk of the revenue coming from the most financially stretched consumers amid the deepest recession since the 1930s, according to research. The fees are nearly double those reported in 2000.
The finding is likely to increase public hostility towards the financial sector, which has been under political pressure to ease the burden on consumers by increasing credit availability and lending more fairly after being bailed out by taxpayers.
The Federal Reserve is working on rules on overdraft fees, and rules on customer charges could be a priority of the Obama administration’s proposed Consumer Protection Agency if approved by Congress.
Data from Moebs Services, a research company, show that the crisis has prompted many banks to lift charges on overdrafts and credit cards in order to boost profits.
The median bank overdraft fee has this year rose from $25 to $26, according to Moebs, the first time it has gone up in a recession for more than 40 years.
“Banks are returning to a fee-driven model and overdraft fees are the mother lode,” said Mike Moebs, the company’s founder.
Overdraft fees accounted for more than three-quarters of service fees charged on customer deposits, he said.US banks stand to collect a record $38.5bn in fees for customer overdrafts this year,... more
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Anyone who doubts the need for a Consumer Financial Protection Agency (CFPA) that looks out for individual consumers’ interests might want to take a look at a few recent statistics and reports that shed light on what life is like for banking customers under current government regulatory oversight.Anyone who doubts the need for a Consumer Financial Protection Agency (CFPA) that... more
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The resignation of Dan Sontag from his position as the head of the brokerage unit at Bank of America gives lie to a months long disinformation campaign waged by the bank against its own employees. It may well take years–and further personnel changes–before the “thundering herd” will trust its corporate parent again.The resignation of Dan Sontag from his position as the head of the brokerage unit at... more
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The CAP term sheet says:
Conversion price is 90% of the average closing price for the common stock for the 20 trading day period ending February 9, 2009
Keeping this real simple, the higher the conversion price, the more taxpayer wealth the bank’s owners extract.The CAP term sheet says:
Conversion price is 90% of the average closing price for... more
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Bank overdraft fees are getting higher and more punishing than ever.
That’s not news to anyone who regularly reads WalletPop, but in case you need more proof, the Consumer Federation of America has come out with a new survey, looking at overdraft fees charged by the nation’s largest banks.Bank overdraft fees are getting higher and more punishing than ever.
That’s... more
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