After more than two decades as customers, Mrs. P and I dropped Bank of America completely – including mortgages – in 2010. Even if we hadn’t changed then, BOA’s announcement that it will begin charging a monthly fee for using a debit card would have caused me to dump them now. Citi is moving in the same direction with more fees and all of the other big banks are sure to follow.
< I am fed up with most large (as in “to big to fail”) financial institutions. You should be too. Do not let yourselves be burdened with more monthly financial overhead.
Yes, I understand that the average consumer checking account is not a profit-maker for the mega-banks. In that sense, you can reasonably conclude that the new fees are intended to drive you away.
So let it work.
The obvious course of action is to find a bank that does not (yet) charge fees for a checking account. Some folks are not making this move because they believe that after they change banks, their new bank will also add fees. That’s probable, if you choose another large bank. But there are plenty of options in smaller banks.
The big bank account fees are being imposed because of new federal banking regulations that limit fees (“interchange fees”) that can be charged by the banks to retailers for debit card transactions. Those regulations exempt banks that have less than $10 billion in assets. Thus, the smaller banks (if you consider $10 billion small) do not feel the pressure to increase fees. I am sure you can find plenty of those in your community and online. We did.
Don’t procrastinate. Moving to a smaller bank can be a win-win proposition, with no fees and higher earnings on your deposits. Good hunting!