The Bank Fee Wake-Up Call

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I HATE Banks!!!!!!!!!! period
I hope everyone changes to a CU!!!!!!!

bank hater of TN 7:48PM October 24, 2011

Took about ninety minutes total to open a credit union account and cancel two BofA accounts.
First, since the credit union is geographically limited (yet offers several thousand ATM sites throughout America), any massive increase in customers will not be anywhere near the volume of a big national bank, hence fees will not automatically appear. Second, any non-corporate account holders should drop their fee-ridden banks, as it's easy to do and gives oneself peace of mind. Plus, my savings interest is much better now, enough to offset any fees if they were to occur.

Trevor of WA 9:21AM October 24, 2011

I am a former banker having retired after 46 years in the business. Banks are a service industry but they are also in business to make money. Consumers do not understand that regulators fault banks for not charging fees. Fee income is a part of all budgeting and also is a consideration when a bank is being examined.
Consumers also need to take responsibility for the bank services they accept. Read the fine print, balance your checkbook, ask questions, stop complaining about fees and take control of your financial affairs. You have options. Cash is the best option for those who cannot deal with balancing an account. You get what you pay for, if you want services then expect to pay for them. Community banks offer good alternatives to the large regional banks but they also have fee structures you should research and choose from to get the best deal for your circumstance.

Marsha Wheeler of FL 4:05PM October 22, 2011

In response to the above commenter, this is only half correct. While (lamely) attributing the increase to the Durbin Amendment, large banks with record profits are attempting, in the midst of a recession, to squeeze blood from the stones of their lower wage consumers so that profit margins don't dip. This is simply bad economics.
In other words, banks are failing to adjust to a recession by attempting, at all costs, to maintain a profit margin established during a prior period. Markets wax and wane. A bank that behaves as if it's oblivious to this fact, or refuses to acknowledge years of profit reduction will occur, does not possess the good sense to handle my funds.
I opened an account at a credit union this morning. My fiance already banks at one, and my younger brother and his wife switched their accounts this morning, as well. The beauty of on-line banking is that I was able to alter my direct-deposit paycheck, switch over my e-payments for my student loan and bills, and cancel all recurring transfers and bills at my old bank in under 30 minutes, all before heading to work this morning. Credit unions also possess lower rate caps on their credit cards, so after nearly a decade with on-time payments and an ever-increasing APR on my big bank credit card, the Visa from my credit union is barely over 1/3 the rate I was paying. I think as more people switch, the idea that it's too hassle prone will fade.

Dr Matthew of CA 6:13PM October 21, 2011

BofA's $5 fee and all of the other new debit-related fees banks are now charging are in response to the fall in revenues from debit card transactions that resulted from the passing of the Durbin Amendment and the subsequent Federal Reserve ruling to cap debit interchange at $0.22 + 0.05% of the transaction amount.
In other words, banks are adjusting to the new environment and they have every right, as well as a responsibility to their shareholders, to do so.
Well, apparently Sen. Durbin thinks that they should only generate enough revenues to cover their operational costs, never mind profits, which is a bad word in the senator’s vocabulary. But that is not how a business operates in an open economy. http://blog.unibulmerchantservices.com/why-are-banks-charging-new-debit-card-fees

G.S. of MA 5:00PM October 21, 2011