Bank of America's CEO: Debit Card Fee Justified to Make Profit
CNN Money is reporting Bank of America's chief executive officer has said the bank's new debit card fee, which will be charged to customers beginning in early 2012, is justified.
Photos
CNN Money is reporting Bank of America's CEO has said the bank's new $5 debit card fee is justified.
The justification? The bank has a right "right to make a profit," Brian Moynihan said.
Bank of America announced last week that it would begin charging customers $5 per month to use their debit cards for purchases starting in early 2012.
Moynihan said the fee was necessary to have the "ability to be profitable" in a new banking environment with increased regulations, including a cap on the the debit card swipe fees banks charge merchants, according to CNN Money.
Barrow Patch recently asked its readers to sound off on the new fees.
Take our poll and tell us what you think about the bank's justification.
Marne M
9:50 pm on Thursday, October 6, 2011
I can't imagine how these fees are a surprise to anyone. Congress decided to step in and regulate how much the bank could charge businesses. The banks passed their profit loss down to us, just like any other business would do, given the same circumstance.
Since I have BoA, I imagine I'll just stop using my debit card to pay for things. It will probably save me a lot of useless purchases every month. I used to have to pay a fee just to have a checking account.
Deanna Allen
11:18 pm on Thursday, October 6, 2011
I have BOA, as well, and think I might just stick with using my debit card. It's convenient and if it saves me from having to drive to a BOA ATM to avoid additional charges at other ATMs.
Robert T
8:31 am on Friday, October 7, 2011
I also have BofA and will not use my debit card unless at an ATM. Luckily, I have been using a credit card as a debit card (paying it off monthly). I knew changes like this were coming when Dodd-Frank was passed. Sadly, I do not think this is the end of extra charges from banks. Eventually, people will slowly move their money to smaller banks that do not charge fees. I liked the conveinience of BofA when traveling, but the off chance I will need to find an ATM that does not charge me a fee will not outweigh the charges I face to have the "priveledge" to be a customer.