Esme’s Blog: Bank Of America

So Bank of America is going to charge debit card fees of $5 a month if you use your card for purchases. Other banks are ready to follow. Wells Fargo is testing a $3 fee. Regions will implement a $4 fee.

Banks say they need to make the change to accommodate for a change in federal law that cuts the amount of money banks receive from a credit card swipe for a purchase from 44 cents to 24 cents.

During the financial crisis Bank of America received $45 billion in taxpayer assistance. It’s an amount they have since repaid. The company is still clearly struggling, its stock is down more than 50 percent this year.

But is this the way to convince customers you are the bank to do business with? Already the backlash is significant. On blogs and websites, customers are promising to jump ship. Fox New Anchor Gerri Willis even cut up her BOA debit card on air.

Since the financial crisis, as banks have continued to up their fees many consumers are turning to credit unions with their lower fees for financial services. As big banks continue to tighten their lending requirements, making even the most basic of loans tough to get, and as fees continue to grow across the board, perhaps we will see consumers abandon accounts or switch banks altogether.

Look no further than Netflix to realize what angry consumers can do. After changing its fees, Netflix has been in freefall. In the last 10 weeks, the company stock has lost 65 percent of its value or $10.5 billion. When enough of the little guys get angry and act, the big guys get their message loud and clear.

  • Exp

    BOA is in freefall because of the same type of bad and arrogant decisions by executives that Netflix made: Those of thinking the sheep will always be there to hand you money no matter how bad you whip them. They must really think that they are so far above the little folk that they believe themselves to be untouchable or infallible. They make plenty of money just off of taking out money, paying almost no interest, and lending it out and taking in 3-7 percent. The problem in their minds is that they’re not making ENOUGH money (to guarantee their bonus checks) so they go to the customers and try to wring some more blood out of stones.

    If TCF makes the same decisions, I’ll be taking my money out of there so fast it’ll leave a sonic boom.

    • DS

      This same line of thought can be said for the Pro sports industry. When is enough money enough and how long will the public continue to support it?

    • iswearbuyit

      I couldn’t agree more. Greed is so rampant these days.

      I say we stick it to banks really hard. Especially those that deal in credit cards.

      They jack up interest rates and collect insurance payment when people default on them.

      Making money both ways.

      We are forced to sit and suck on it.

      I have letters to Senators on my site that will help facilitate credit reform, for those of you that are interested.

      Google me by name.

  • Janice

    Go for the Credit Union. In the late 1980’s an employee of Norwest (now Wells Fargo) told me I was a nuisiance account, didn’t have enough money and I would be happier at a Credit Union with other low income people. I went to a Credit Union and am very happy. I’m still with the same Creidit Union.

    BTW, at the time I was told this my husband and I were both in professional carreers and made a six-figure income between us. I’m sure we made more than the bank clerk, but were happy we followed her advice.

    Banks haven’t changed. I’m currently in the process of changing banks for my 90-year old mother. She has had the same acoount since 1948 (various bank names, same account she and my father had together) and Wells Fargo is now,for the first time that I am aware of, going to start charging her for the account. This is how customer loyality and longevity is rewarded. The personal account I closed in the late 1980s had been opened for me in 1951.

  • Al

    Lousy republicans.

    • DS

      Are you kidding, who do you think wants to raise your taxes? WAKE UP

      • just sayin

        You beat me to it DS…. Bunch of idiot liberals that don’t pay attention.

      • GD

        Are you serious? Well, I guess if you’re in the upper two percent of income earners, you might get your taxes raised–to the level they were before the idiot from TX ruined this country. Boo hoo.

  • just sayin

    BTW- Bank of America has lost over 85%.

    Wellsfargo is starting to implement fees, but not in Minnesota yet… not that I read anywhere.

    I will probably have to leave them if that happens too.

  • Herb


    WAKE UP. Unless you have been living on Mars, Taxes need to be raised, there is no money for social programs, medical programs, roads, education and basic services that allow society to run and made America great, until Republicans decided that ANY TAX shortfall should be made up by cutting critical programs rather than taxing massive profits (mostly provided by those who need to borrow money each month to survive)

    Republicans are DEADBEATS who expect everyone else to pay the bill while they continue to wage war on the middle and lower class. THERE IS NO DEFENSE FOR THIS KIND OF GREED AND ANTI SOCIAL AGENDA, SO DON’T EVEN BOTHER SPOUTING THE FOX DEFENSE LIES. Everybody knows!!

    • travis

      The repulican answer to everything is to cut taxes. We have a revenue surplus: Cut taxes! We are trillions in debt: Cut taxes! We have a surplus of jobs: Cut taxes! We have no jobs: Cut taxes! It is true that government has been getting bigger and bigger. But it is also true that people are paying less in taxes today than at any other time in history. The answer to every problem can’t be to cut taxes… its half of why we are in this problem.

      • stubby

        NO, the problem is that 50% of ALL wage earners pay NO FEDERAL INCOME TAX. Don’t take my word for it …look it up. The top 10% of wage earners pay 65% of the tax load. So…ok let’s raise taxes on everyone. Make the bottom 50% pay SOMETHING!. Let’s take away the mortgage deduction, the deduction for kids, take away the earnd-income credit. 60% of all Americans receive more from the government that they contribute. That, in a nut shell my friends, is the real problem.

        • GD

          Spoken like a true Foxbot/Ditto Head.

          • stubby

            typical lib, can’t refute, so attack….nice job there GD

        • travis

          so lets cut taxes!!

    • DS

      I didn’t say anything about cutting taxes, I just want them to stop/reduce spending. Why is that such a radical idea to those on the left?

    • DS


      You must not work in the private sector because if you did you’d uderstand that if you overspend, you must make cuts to make the budget work out by the end of the fiscal year. Thats how it works in the business world. If we were taxed 50% the goverment would spend it and still keep coming back for more.
      You’re sitting in a tub of warm water that’s being gradually heated and you don’t even know it.

    • Joe Biden

      Hey Herb and friends. I guess you didn’t hear me on the radio or the news. I went on the air and decided it was time to quit blaming Bush since he hasn’t been around in a while. I told America that the problem rested on us, the Obama administration. If I can do it, you should to.

  • Dale

    Great! Now the media will have customers switch to Credit Unions who do NOT pay income tax. If we get enough people changing to credit unions we can all pay more taxes!!

    Why don’t you switch to your Locally Owned Community Bank who pays taxes, keeps your deposit dollars in your community to help the community grow and helps people who pay taxes in your community to keep your community vibrant.

    • Duh

      Banks pay taxes? GE doesn’t, so why do you think big banks do?

  • travis

    so… we individually move tens of thousands of dollars a year through a bank… and the way they repay us is to charge for doing so? Something isn’t right here.

    • stubby

      What isn’t right is the cause of this problem.. Obama’s boys told the banks they can’t charge merchants X amount of money per transaction for using their cards. The banks said fine we’ll get our money elsewhere. Well folks guess where they are getting it from? It’s the government sticking it’s nose where it doesn’t belong. Let the markets sort this type of thing out, they always do.

  • another

    FIND ANOTHER BANK!!!!!!!!!!!!!!!!!!!

    • Henry

      They will all be doing it soon thanks to the dems regs!

  • StraycatStrut

    This of course hurts the poor. Times will be better when BO is outta office. The limp President / Social Organizer from Kenya really does not get it….. and the libs calling names on anything they can comment on shows why the counrty is in such division and poor economic dull drums.

  • Kevin Kolosky

    I think the fee is legitimate. If a Bank provides a service that people want they should be able to charge a reasonable fee for that service. Debit cards are a service that people want.

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