November 1st, 2011
11:54 AM ET

Bank of America dropping planned $5 debit card fee

Bank of America is dropping its planned $5 debit card usage fee after widespread customer complaints.

"In response to customer concerns and the changing competitive marketplace, Bank of America no longer intends to implement a debit usage fee," the company said in a statement. "We have listened to our customers very closely over the last few weeks and recognize their concern with our proposed debit usage fee,” said David Darnell, co-chief operating officer. “Our customers’ voices are most important to us. As a result, we are not currently charging the fee and will not be moving forward with any additional plans to do so."

SunTrust, Regions latest banks to retreat on debit fees

Read CNNMoney.com's original piece on the planned fee here.

READ FULL CNNMONEY.COM STORY
soundoff (221 Responses)
  1. Jim (retired AF colonel)

    Find your nearest CREDIT UNION and switch your accounts TODAY1

    November 1, 2011 at 12:49 pm | Report abuse |
  2. TGnotmybank

    ..."We have listened to our customers..." What a crock! They listened to nobody – if those of you who already left them would've stayed, this fee would've stayed! Nice try BOA, but I'm not buying your "concern – sounding" press release. The only thing you're concerned about is how you're going to get the bonuses you don't deserve this quarter.

    Pay back that hbailout the gov't gave you & things might get better for you. If you have already & I missed it, then there was no reason for this fee in the first place & proves that you're nothing but a bunch of crooks.

    November 1, 2011 at 12:50 pm | Report abuse |
  3. Wes

    Bank of America earned billions of dollars in profits last quarter, even as banking officials expressed concern recently about the effects of new regulations on their bottom line.

    The bank reported third quarter gains of $6.2 billion, compared to a $7.3 billion loss during the same quarter last year. The boost in profits came largely from an accounting gain and the pre-tax benefits from the sale of its stake in a Chinese bank.

    The increase in profits comes after Bank of America roiled customers by announcing that it will start charging customers $5 per month to use their debit cards for purchases in 2012. Shortly after the bank announced the fee, Bank of America CEO Brian Moynihan defended it, saying that the bank "has a right to make a profit."

    They will make up for the $5 fee in other ways. As of this month I will no longer be a B of A customer. I'm moving to a Credit Union. Top management get millions every year. CEO Brian Moynihan really meant, HE had the right to make a profit for himself. Several million a year is not enough take home pay for him!!!!!

    November 1, 2011 at 12:50 pm | Report abuse |
    • Sarah

      I moved to a credit union last month and am kicking myself for not doing it 20 years ago.

      November 1, 2011 at 1:08 pm | Report abuse |
    • mjinmd

      I agree that they will find another way to get that $5.00 fee. They are the biggest bunch of crooks on the planet, bar none. Soon I will be able to say to them: Take This Bank and Shove It.

      November 1, 2011 at 1:10 pm | Report abuse |
  4. John L

    Soooo....this whole thing was a smoke screen for what?

    November 1, 2011 at 12:50 pm | Report abuse |
  5. SWA

    One word .... Netflix!

    November 1, 2011 at 12:50 pm | Report abuse |
    • sterart

      Well said.... The New Coke of our generation...

      November 1, 2011 at 11:44 pm | Report abuse |
  6. sammy sozo

    Who says you can't fight city hall. A good victory for the people. It's about time people start taking action and even threaten to take action. The people can make a difference when they are united. I wonder of the dummies in office see what's happening with the protests across the country. God bless the protesters. The 1 percenters better beware.

    November 1, 2011 at 12:50 pm | Report abuse |
    • mjinmd

      Someone needs to come up with an on-line way to support the protesters. I have a job and need to keep it or else at 74 years old I would be on the streets of Washington, DC every day protesting.

      November 1, 2011 at 1:12 pm | Report abuse |
  7. Shubhojit

    I hate these profit making financial companies. Just thinking rationally, I put my hard earned money in the bank to keep it safe. The bank gives it out easily and cannot recover them, so essentially my money is not safe in banks either. On top of it, they were expecting me to pay to keep my money unsafe in the bank.

    November 1, 2011 at 12:50 pm | Report abuse |
    • AJ

      @Shubhojit...You hate "profit making financial companies." Nothing is free my friend. Businesses don't stay in business if they don't make a profit and banks are businesses. Banks HAVE to maintain lots of cash now as part of the "stess tests." If they don't have sufficient capital, the gov't can take them over. And guess who pays for that? We, the taxpayers. Either way you are paying. It's up to you which you think is more efficient...a company or the government.

      November 1, 2011 at 1:07 pm | Report abuse |
    • Sarah

      Switch to a credit union. Non-profit, the members own it, it pays you a dividend instead of charging a fee, and you get all the same services as a big bank. Lower interest on loans too.

      November 1, 2011 at 1:10 pm | Report abuse |
  8. EDW

    Still changing.

    November 1, 2011 at 12:51 pm | Report abuse |
  9. Scottish Mama

    Change it does the bank account good.

    November 1, 2011 at 12:54 pm | Report abuse |
  10. JiJiJu

    November 5th: National Bank Transfer Day. Transfer your money to a local bank or credit union. They got bailed out, we got sold out. If you don't believe it will create a major shift, at least do it out of self-respect. Enough of the big banks and their thievish ways.

    November 1, 2011 at 12:57 pm | Report abuse |
  11. Marcus

    I work at a small bank. The problem is not the banks, it's the government changing and adding regulations. 15 years or so ago, there were no overdraft fees, but there were no free checking accounts. Up until this year, banks made their money on overdraft fees and gave free checking. Now that overdraft and other fees have been cut due to government regulations, free checking is gone and very soon, all banks and credit unions will charge you to have an account. It's cyclical and unavoidable. It was the 15% of people who paid overdraft fees that got the government to act and now everyone will have to pay for it. Bank and credit union customers, large and small banks.... everyone.

    November 1, 2011 at 12:59 pm | Report abuse |
    • Lebanon

      It's not the banks.????... Go back to work!!!!!!!!

      November 1, 2011 at 1:01 pm | Report abuse |
    • Sarah

      Credit unions won't. They're non-profit organizations and members – anyone with an account there – are the owners (or to put it another way, the shareholders). The difference is a credit union is not trying to make a profit to raise the value of publicly traded shares. Regulation doesn't change that structure; regulation is to stop greed. Where there's no profit in the first place, there's no greed.

      November 1, 2011 at 1:05 pm | Report abuse |
    • Marcus

      I love irrational replies that have to substance to them.

      November 1, 2011 at 1:05 pm | Report abuse |
    • Voice of Reason

      The bottom line is that the banks are charging US money to withdraw OUR money from THEIR bank...you know, the money that we essentially lend to the banks INTEREST FREE (since checking accounts don't pay interest usually) that they invest and make money off of.

      The banks already make PLENTY of money. Since when did the ability for depositers to access their monies become a profit making venture instead of overhead?

      November 1, 2011 at 1:14 pm | Report abuse |
  12. Jack from Tennessee

    BS... nothing but B.S. Hell the only reason why they changed their minds is the customers and I have left this P.O.S. bank for our local credit unions... Damn crooks!!!!

    November 1, 2011 at 12:59 pm | Report abuse |
  13. A Different Bank Employee

    I work for another Bank, not BofA...For those saying its the Bank setting the fees charged to the merchants (the $0.22 limit set by congress) – check your facts. It's the card payment networks who own the systems and the card issuers that force the Banks to pass through the fees...It's not the Banks fees, nor are the Banks setting those fees...So blame Visa, Mastercard, and their payment networks on this. For credit cards, it's charged directly to merchants on a transaction basis. But for debit cards it passes through the Banks, through the users' checking accounts. That's why investors cheer charging the monthly debit card fees – they're being charged $0.44 per transaction by the card networks and issuers, but the geniuses in Washington say the Bank can only pass through $0.22 of that cost...Leaving the Bank with a loss of $0.22 per transaction. They need to make up that cost someplace.. Makes sense customers should pay something for initiating the transaction that incurs the fee, since Banks wouldnt have them but for the customer pulling the card out instead of writing a check. We can always write a check. Just saying. People need to check their facts and understand the situation.

    November 1, 2011 at 1:00 pm | Report abuse |
    • John E.

      You wrote " Makes sense customers should pay something for initiating the transaction". All businesses have vendors that charge fees for service (except Apple ..haha). The difference is B of A was using profit from transaction fees to grow its own wealth/provide additional services. B of A continued this practice even after most of its customers provided $45 BILLION to keep your job. B of A has a right to make a profit, it does NOT have the right to dictate which fees are charged to its customers. Remember Business 101? Consumers drive the market. Generally, what you saying it makes sense that the customer be charged to use their own money because B of A is getting charged by vendor (Visa/Mastercard). Logical? Sure. To benefit of customer? No. Bye Bye.

      November 1, 2011 at 1:40 pm | Report abuse |
  14. Jack from Tennessee

    Need to make BofA to small not to fail

    November 1, 2011 at 1:02 pm | Report abuse |
  15. WOOSH

    I moved away from Banks 10 years ago thanks to CiTi Bank.

    November 1, 2011 at 1:10 pm | Report abuse |
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