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Citi Follows Bank Of America In Instituting Debit Card Fee, $1.9 Trillion In Deposits At Risk

Tyler Durden's picture




 

When we reported that Bank of America will be the first bank to institute debit card fees we made the following less than insightful observation: "The problem is that the bulk of depositor clients will simply walk away from Bank of America (which had $1,038 billion in deposits as of June 30), and any other institutions that piggy back on this, and from a game theory perspective, everyone has to do it, or nobody will do it." Well, Citigroup, which had no other choice, has just decided to follow in BofA's footsteps, which i) proves there is indeed a collusive move of desperation by the bank cartel, which in a normal country would see at least a statement from Eric Rip Van Holder, and ii) our thesis about America's impatience with petty theft - they are more than ok with grand scale larson such as that by the Fed via shadow inflation and currency devaluation, but when it comes to paying up an additional $5/month, well, just look at Netflix, which instituted a $6/month price hike two months ago... and is now fighting for survival. As for the exemption requirements, they will likely be the same as Bank of Countrywide Lynch's: either have a mortgage with the TBTF behemoth, or have $20k in a deposit account - both which will likely not be much of a help to 90%+ of the bank clients. The biggest problem is that suddenly at risk are $1.9 trillion in deposits - $1 trillion at BofA, $866 billion at Citi. While the financial crisis did little to dent the banks' deposit buffer, it will be highly ironic if it is an act of the banks themselves that begins the great bank run that resets it all...

From the LA Times:

Another day, another new bank fee.

 

As the uproar swelled over Bank of America Corp.'s planned $5 monthly charge for debit card use, megabank rival Citigroup Inc. was notifying many Citibank customers that they soon would have to start paying for their checking accounts unless they maintained significantly higher balances.

 

Letters are going out across the country alerting Citi customers of account changes, said the bank's retail banking chief, Stephen Troutner. In many cases, that means customers will have to maintain fatter balances to avoid fees, although Troutner said a basic account option makes dodging charges easier.

 

Higher fees are the new reality in retail banking, where regulations adopted in the aftermath of the bank bailouts have reduced revenue from several controversial fees by billions of dollars. At the same time, banks have seen their lending income decline due to the sluggish economy and low interest rates.

 

...

 

We conducted extensive surveys with our customers, and no one wanted to pay to use debit cards," Troutner said.

 

One day after announcing the new debit card fee, Bank of America was inundated with visits, calls and emails from customers.

 

"We are doing our best to explain the impacts, the value and convenience the debit card offers and how to avoid the fee if necessary," spokeswoman Anne Pace said.

 

Short of taking out a BofA mortgage or depositing $20,000 with the Charlotte, N.C.-based bank, the way to avoid the fee is to avoid making purchases with debit cards and using them only for ATM transactions, which remain free.

And there you have it: the idiocy that is Bernanke's plan to invert the 2s10s is about to succeed in achieving what HuffPo's failed attempt to get Americans to move their money from TBTFs to community banks tried so hard to do for months.

To keep track of just how suicidal this act will be for the banks, keep track of the weekly M2 numbers which show the non-seasonally adjusted metrics for various checking and debit account categories. We are confident the line chart will start at the top left and go to the bottom right.

 

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Sat, 10/01/2011 - 16:43 | 1729471 Motorhead
Motorhead's picture

Monkey see, monkey do.  Simians, bitchez!

Sat, 10/01/2011 - 16:46 | 1729477 Pladizow
Pladizow's picture

This will motivate very few Americans to get off the couch, put down the remote and cheese burger and do anything about this.

Until the food supply is threatened the banks will be able to do anything they want to the American sheeple!

Sat, 10/01/2011 - 16:54 | 1729489 smlbizman
smlbizman's picture

jp morgue won't...there to busy running the food stamp scan....was it utah that received a 5mill. bonus from the fed for signing up the most fools....up like 60% in utah last 3 yrs{+ -}

Sat, 10/01/2011 - 17:13 | 1729535 Fish Gone Bad
Fish Gone Bad's picture

Fuck Bank of America.

Sat, 10/01/2011 - 17:23 | 1729554 Arius
Arius's picture

its just five bucks ... no biggy

Sat, 10/01/2011 - 17:27 | 1729562 Fish Gone Bad
Fish Gone Bad's picture

To a great many people it is a big deal. 

Sat, 10/01/2011 - 19:22 | 1729819 CrazyCooter
CrazyCooter's picture

If anyone wants to shop for a local bank, let me recommend ....

http://www.bankregdata.com/main.asp

... with the caveat they charge for their data. There is a free hundred page views (see the gray counter in the top left corner) which I think is tracked by IP (so you can shop at home and then at work).

This is my first stop before opening an account. Do invest the time to learn what the various metrics mean.

Lastly, since the page views are limited, print to a digital file (e.g. Microsoft Office Document Image Writer or CutePDF) for future reference.

Happy shopping!

Regards,

Cooter

Sat, 10/01/2011 - 23:07 | 1730096 traderjoe
traderjoe's picture

Before I open my next account I'm going to refresh some of the reseach I did previously on how to use the law to prevent the bank from fractionally lending against the money. You have to open the account in a certain way and sign the deposits in a certain way. Sorry to be so general, I'll find a link later...

Sat, 10/01/2011 - 19:55 | 1729857 lynnybee
lynnybee's picture

YES, it is a big deal to many people ........ it's a meal !    so, while the average person is watching their little pennies & dollars, WALL ST. & big investment banks are rolling in money into the billions & trillions .     none of this is right.    

Sat, 10/01/2011 - 21:11 | 1729938 gangland
gangland's picture

u dam str8 keep it bottled till it's time k?

Sun, 10/02/2011 - 01:27 | 1730252 macholatte
macholatte's picture

This is nothing. In 6 months every bank will be charging new fees and the game will be that one charges half a buck less than the other & things like that. Look what happened when the airlines started charging for baggage...... nothing. People get used to it and airlines have a sale by only charging$20 per bag instead of $25 but you get to pay $3 for curbside check in. And for you old timers, remember when a cup of coffe at a restaurant was free, or a dime. Think about it. How many different "fees" can you come up with that didn't exist 10 years ago which sheeple pay and don't even give a second thought to it. How many different taxes are there on your power bill or phone bill, 4 or 5? If Citi decided to overcharge every one of its 200 million credit card customers by just ten cents that's twenty mill a month they make and who's going to spend the time to complain about ten cents.

Maybe Tyler can get back to us in 90 days to let us know just how many sheeple left the barn. I'm guessing less than 2% will change banks., then get hammered by the new bank.  JMHO

Sun, 10/02/2011 - 11:21 | 1730748 donsluck
donsluck's picture

I don't think you are correct. The response to baggage fees was massive increases in carry-on luggage and a big surge of people flying Southwest (two, count them, two free bags). At <1% interest, a $5 a month fee has a physicological importance. This could mean a flight to hard cold currency, a strong deflationary phenomenon, and the opening salvo against the current war on cash.

Sun, 10/02/2011 - 14:48 | 1731123 macholatte
macholatte's picture

Name 2 airlines that went out of business because they charged for baggage. You can't because it didn't happen.

Sun, 10/02/2011 - 20:02 | 1731787 mjk0259
mjk0259's picture

I can only think of two that haven't gone out of business for one reason or another.

Tue, 10/04/2011 - 12:57 | 1737676 jayman21
jayman21's picture

AMR is trying

Sat, 10/01/2011 - 20:50 | 1729910 Cabreado
Cabreado's picture

"To a great many people it is a big deal."
"Its just five bucks ... no biggy"
"This will motivate very few Americans to get off the couch"

All true.

But we ain't goin' nowhere but down 'til a critical mass reacts on Principle.

Down we go...

Sat, 10/01/2011 - 18:06 | 1729652 mfoste1
mfoste1's picture

dumbass, yes it is.....over time they will consistently increase fees. Whatever, have fun giving your fiver to keep the bank solvent. I closed my account yesterday. I already bail them out with my taxes, I wont do it again.....

Sat, 10/01/2011 - 18:21 | 1729698 AldousHuxley
AldousHuxley's picture

I'd say short BAC, but you know Fed/Treasury is going to bail them out now that Buffett's money is involved.

 

Best thing you can do is protest at your local bank of america

http://www.youtube.com/watch?v=7OU_-NeQsGo

and at your local Fed

http://www.youtube.com/watch?v=viRbHSPa-U8

 

 

Sat, 10/01/2011 - 18:47 | 1729753 mfoste1
mfoste1's picture

fuck him too....hes on his way out anyways

Sat, 10/01/2011 - 18:59 | 1729780 AldousHuxley
AldousHuxley's picture

http://www.youtube.com/watch?v=oDCNFJByXbA&feature=player_embedded

better to take it to the 0.1%'s home.

http://www.youtube.com/watch?v=bDLJqQ6acnI&feature=related

 

banksters got Alan Grayson kick out of Congress once he spoke the truth:

http://www.youtube.com/watch?v=KRqfEKyizYs&feature=related

 

democracy controlled.

Sat, 10/01/2011 - 19:28 | 1729825 CrazyCooter
CrazyCooter's picture

I was very active in the Tea Party before I left Texas and I donated cash to Alan Grayson. He had balls; a democrat I can belive in. Most of the rest are spineless scumbags (along with a good number of republicans).

Suck it liberals.

Regards,

Cooter

Sun, 10/02/2011 - 01:08 | 1730241 AldousHuxley
AldousHuxley's picture

liberals and conservatives need to come together and fight the common enemy.....wall st. in bed with DC resulting in corruption.

 

Elites don't give two hoots....they donate to BOTH parties.

 

USMC vets are even getting it....it is about the 99.9%

 

http://www.youtube.com/watch?v=QPQOU1KNF0U

Sun, 10/02/2011 - 10:58 | 1730722 RSloane
RSloane's picture

Of course the Fed is going to bail them out. Otherwise we couldn't afford the Uncle Warren & Barry show.

Sat, 10/01/2011 - 19:56 | 1729858 duo
duo's picture

I remember opening my first checking account in 1980.  There was a $3/month fee then, but there were not that many ATMs (and they were free).  $3/month in 1980 is about $10 today.

It's the equivalent of taking a leech off your right arm and putting it on your left.  It's still living off of you.

Sat, 10/01/2011 - 22:30 | 1730053 Id fight Gandhi
Id fight Gandhi's picture

What was your interest rate then?

In 1980 you could get a decent rate just holding cash in the bank. I'd NEVER paid a fee for checking even now. Banks used to need deposits to lean out and make business loans, mortgages and such, now uncle sam just feed them.

Sat, 10/01/2011 - 22:15 | 1730022 Quaderratic Probing
Quaderratic Probing's picture

Your Right $5 is nothing so let them have $500 per month and as long as the interest curve is sub zero let them have a 15% per year surcharge to hold your savings. Have we not got it yet its their GOD given right to survive at our expence.

Sat, 10/01/2011 - 22:27 | 1730048 kito
kito's picture

Bank of Apocalyptic Collapse

Sun, 10/02/2011 - 01:41 | 1730262 Cathartes Aura
Cathartes Aura's picture

Oregon has a scheme to pay mortgages for a year too. . .

Sun, 10/02/2011 - 10:23 | 1730666 New_Meat
New_Meat's picture

smlbizman:

"...was it utah that received a 5mill. bonus from the fed for signing up the most fools..."

Nyet: Utah, Da: Oregon e.g.: $5MM 'Performance Bonus' and they wonder why they get more of something that they subsidize.

- Ned

Sat, 10/01/2011 - 16:55 | 1729493 scatterbrains
scatterbrains's picture

Agreed and I'm sure both BAC and C did their homework with studies and testing to determine how far amirkans can be pushed, bent over and pic-pocketed and have rightfully concluded that peeps will do nothing about it.

Sat, 10/01/2011 - 18:05 | 1729651 Dr Hackenbush
Dr Hackenbush's picture

oligopolist can afford to have others do thier homework  

Sat, 10/01/2011 - 19:32 | 1729831 CrazyCooter
CrazyCooter's picture

<AdjustsHisCynicHat>Actually, this is a game with BAC stock ... why is BAC the first to announce this? Clearly this would not happen if all banks did not collude to charge the same across the board. Thus, this is dip before TPTB jack BAC stock prices to the fucking moon.</AdjustsHisCynicHat>

If you trade this, you are fucking crazy (I don't know what I am talking about - thus my cynic tags), but the fact that BAC is on the ropes with Countrywide liabilities and so forth screams to me manipulation down ... then up. This is pure stupidity otherwise.

Markets are broke, best of luck!

Regards,

Cooter

Sat, 10/01/2011 - 17:07 | 1729517 Cliff Claven Cheers
Cliff Claven Cheers's picture

Yeah, well Normie, it is the information age. We can receive up to minute stock prices, medical breakthroughs, political upheavals from all around the globe, 'course we'd have to turn off the cartoons first.

You know, uh, American cheese is one of the world's finest cheeses.

Sat, 10/01/2011 - 17:33 | 1729578 Looney
Looney's picture

That's it! I'm moving my money to the nearest Sperm Bank. I'm not sure whether the Sperm Bank's ATMs are equipped to handle my DEPOSITS...

Sat, 10/01/2011 - 18:40 | 1729736 Michelle
Michelle's picture

Credit Unions! Find one near you!

Sat, 10/01/2011 - 20:06 | 1729868 Looney
Looney's picture

I must've highlighted the wrong word. That should've been Sperm instead of Deposits... or BOTH?  ;-)

Mia Culpa, Michelle!

Sat, 10/01/2011 - 21:16 | 1729932 bid the soldier...
bid the soldiers shoot's picture

Looney

The least popular topic here at ZH is the Fed. That includes Bernanke, Geithner, Obama, Greenspan and tout Wall Street.

The next most unpopular topic and, not coincidently, is related to the first, the Jews. From the Rothschilds, to Bernard Baruch and Henry Morgenthau, jr. all the way back to Fagin, Shylock and Haym (Jamie) Solomon.

To your point. Sperm Deposits are the third most unpopular topic of discussion at ZH. There is quite a large faction of commentators of the female persuasion here, who make up the ZH chapter of the Junior Anti-Sex League, and Sperm Deposits of any size or shape are anathema to them.

If you are a woman they probably won't hurt you. If you're a man cross the street if you see them coming. If you don't, you might be able to hit the D above high C. /sarc/ :o)

Sun, 10/02/2011 - 11:03 | 1730726 RSloane
RSloane's picture

Yup, credit unions all the way.

Sat, 10/01/2011 - 21:11 | 1729940 bankonzhongguo
bankonzhongguo's picture

I went in to BOA today and took out $70,000 cash.

Made them "order it" and waited 2 hours - bullshitters - its in the vault - assholes.

They did EVERYTHING to keep me.

They wanted to just cut a cashier's check, but I said 'NO WAY.'  Cash Bitchez!

They told me that I had enough in the bank that I would not be subject to the fee.

I told them I was taking it out on behalf of all the little people that they were (continuing) victimizing.

I am sure that earned me a SAR, rather than a CTR.

I expect a vist from the FBI in 3 weeks.

I am not sure I am going to put it in another bank.

Somehow I like the idea of having $100,000 sitting in my safe at home, rather than the bank.

In this economy cash is king, except now having cash makes you a terrorist - having cash money makes you a terrorist. 

Unbelievable.

 

 

Sat, 10/01/2011 - 21:40 | 1729977 Joseph Jones
Joseph Jones's picture

Cash is OK for Rabbis.  Change your affiliation. 

Sat, 10/01/2011 - 22:10 | 1730020 tsx500
tsx500's picture

right on !

Sun, 10/02/2011 - 08:20 | 1730504 MarketWatchTerrorist
MarketWatchTerrorist's picture

By law they had to report that to DHS/FBI/local and state law enforcement under the PATRIOT Act.  It will merit an investigation into you.

 

They will look at:

1. phone records

2. business and financial records

3. political contribution history

4. memberships in any suspicious organizations

5. marital status

6. social circle

7. web history (probably just a URL review pulled from your ISP)

 

Most likely you're a boring non-threat.  They'll quickly file your cash withdrawal  away for future reference, but otherwise do nothing.  The whole process should only take 2 hours.

Sat, 10/01/2011 - 23:56 | 1730161 Dingleberry
Dingleberry's picture

Correct.....but 5 bucks is just the start. Pretty soon it will be 10, then 15......the camel nose is in the tent. BTW, why don't people use reward credit cards and charge everything? I get back about 800 bucks a year back, which covers most if not all the interest I paid. 

Sun, 10/02/2011 - 10:00 | 1730626 Mike in GA
Mike in GA's picture

"Rewards" from "reward" cards are paid by the merchants you do business with.  Banks do not give you 'free money' even though their advertising leads the unsuspecting citizen to think so.

Many small businesses, already suffering in this low margin environment, are barely hanging on and these "reward" cards are part of what eats up the margin.  If these cards were used exclusively and for every transaction as you suggest it would still serve to further the income of the banks and erode the margins of your local merchant. 

Best idea remains migrate to small community banks and credit unions and reduce as much as possible any "giant monster mega-bank"credit card use. (thanks to Clark Howard for his favorite phrase)

Sun, 10/02/2011 - 11:28 | 1730768 donsluck
donsluck's picture

And use cash. Cash. Cash. Hello out there...cash.

Sun, 10/02/2011 - 12:15 | 1730843 DosZap
DosZap's picture

For everything except utilities,and CC Pmts.

Never catch me without at least $300.00 in my wallet, ever.

Which brings up a new found discovery on my part.

I got tired of only being able to get $300.00 every 24 hrs from my account.

So I went to the Bank, and asked if there was a reason for only a $300.00 daily 24hr W/D amount/period.

They said it was for my safety, and so the machine would not be sucked dry by a few customers.

I told them I wanted it raised to $1,000.00 per W/D.

Took a bit of doing, but they did it.

A year later(after the '08 meltdown), I tried to W/D a $1k,and it would not give it to me.

Again , I went to the bank, and asked HOW it was changed w/out notification, and why it was changed.

They said the limit had been reset from the Top. Keeping all the cash in house possible, and not having to carry as much in house.

Sun, 10/02/2011 - 10:26 | 1730676 Cloud9.5
Cloud9.5's picture

We will move our money to a credit union Monday.  No big deal.  It's just a few thousand.

Sat, 10/01/2011 - 17:32 | 1729572 gangland
gangland's picture

excerpting suskind's book here 

http://falsepolitics.wordpress.com/

 

 

Sat, 10/01/2011 - 18:29 | 1729696 gangland
gangland's picture

but did Obama really warn main street voters that were desperately seeking someone, anyone to be on their side?

of course not, instead, as any politician would, he used the information to maximize his money operations in order to get elected.

In this sense he betrayed himself, the democrat legacy and worse, he put up for pawn, the legacy of mlk and malcolm x, and hundred’s of years of civil rights wars against elites.

 

 

Sat, 10/01/2011 - 19:47 | 1729845 dick cheneys ghost
dick cheneys ghost's picture

here's 2 interviews of suskind from 'democracy now'........the CITI story is amazing........

 

dylan ratigan also interviewed suskind which was even better, but the interview is not on utube.... 

 

http://www.youtube.com/watch?v=IyRHZ3BYQ_4

 

http://www.youtube.com/watch?v=YTO_DFN3Yes

Sat, 10/01/2011 - 20:03 | 1729862 gangland
gangland's picture

awseome ty! if u like to read the book its free at http://library.nu/ search 'suskind'

Sat, 10/01/2011 - 20:48 | 1729908 gangland
gangland's picture

In this sense,  he betrayed not only himself, but also the democrat fdr, lbj  legacy and worse, he put up for pawn, the legacy of mlk and malcolm x, and hundreds of years of civil rights wars against feudal minded elites.

 

Sun, 10/02/2011 - 00:45 | 1730224 Mentalic
Mentalic's picture

here it is....dylan ratigan with ron suskind

 

http://dailybail.com/home/dylan-ratigan-with-author-ron-suskind-tim-geit...

Sat, 10/01/2011 - 20:58 | 1729746 Akrunner907
Akrunner907's picture

Everyone should close their account at CITI, BOFA, WELLS and move them to a local credit union.  Finances and financial services can be done at the local market....people don't need these mega banks.

Sat, 10/01/2011 - 22:06 | 1730016 Captain Benny
Captain Benny's picture

Better yet, get the f' out of fractional reserve banks (and credit unions) entirely.  Invest in assets with no counterparty risks.  That means bail on the fiat currencies of the world!  Learn to be free.

Sat, 10/01/2011 - 22:43 | 1730067 tsx500
tsx500's picture

Roger that ! And also, a little (not much) OT ...... RON PAUL 2012 MOFOS !

Sat, 10/01/2011 - 22:16 | 1730027 PrintButtonMoney
PrintButtonMoney's picture

So... people leave BofA and Citi, Government bails out, prints money, dollar drops, dot dot dot nationalized banking industry?

I really don't think that everything will crumble and reset (as much as I would like it to).  It seems much more likely that the federal reserve will become the fourth branch of government (fifth after the mainstream media), rely somehow on an international currency.

 

Here come debit card chips in our arms

http://printbuttonmoney.blogspot.com

The Print Button

Sun, 10/02/2011 - 08:14 | 1730498 Ned Zeppelin
Ned Zeppelin's picture

Better recheck your Org Chart, the Fed is that big box above the three subordinate branches of government.

Sat, 10/01/2011 - 16:50 | 1729484 Motley Fool
Motley Fool's picture

I would like to give some anecdotal evidence.

Where I stay there has been banking charges for every transaction longer than I have been alive.

I'm not saying I like it, but people here seem to grin and bear it, because all the banks have these charges.

Sat, 10/01/2011 - 18:17 | 1729686 Dr Hackenbush
Dr Hackenbush's picture

just a coincidence that they had the same idea at the same time or (more of the same) in your face collusuion? 

Sat, 10/01/2011 - 19:05 | 1729791 ljag
ljag's picture

Considering your name, I am not surprised. Imagine, putting money in the bank and then paying to get it back?!? You sir, truly are a fool.

Sun, 10/02/2011 - 01:50 | 1730269 Cathartes Aura
Cathartes Aura's picture

well, apparently he's not alone in using banks.

Sun, 10/02/2011 - 10:24 | 1730670 Motley Fool
Motley Fool's picture

I am somewhat amused by all these red votes. I simply stated facts.

Sun, 10/02/2011 - 12:12 | 1730837 gmrpeabody
gmrpeabody's picture

It ain't you they're redding.....

Don't take it personal.

Sat, 10/01/2011 - 19:06 | 1729795 snowball777
snowball777's picture
Free checking thrives here Even as banks put it on the endangered species list

Is your bank checking account changing? Do you now have to pay for it, or keep a large balance (at 0% interest!) to waive its new monthly fees?

You have a better option!

Switch your checking account to your local, member-owned credit union, where checking is still free!

Plus, we have:
  • 28,000 free ATMs in all 50 states, more than any bank
  • 6,400 shared branches across the country
  • Visa Debit Card accepted worldwide
  • Free Home Banking with Bill Pay
Sun, 10/02/2011 - 13:02 | 1730907 btdt
btdt's picture

yeah, my local credit union went from free to $5/month a while back and I moved my money out to Union Bank which has free checking ... for now.

Sat, 10/01/2011 - 20:46 | 1729902 Dugald
Dugald's picture

As far as I can remember there has always been a yearly fee with Australian banks, the real robbers charge like mad bulls, NAB is better in that they pay a 1% commission on monthly purchases, which more than covers the annual charge of twentyfive bucks.

 

 

 

Sat, 10/01/2011 - 16:53 | 1729486 snowball777
snowball777's picture

My wife called this about half an hour ago as we were discussing the Bank of Lynching America debit fee.

"Soon, they'll all be doing it"

And you can bet your ass a 5-digit balance will get this BS waived.

How long until we see commercials involving the phrase "like those other guys" for credit unions that don't charge a fee?

Sat, 10/01/2011 - 23:21 | 1730114 slewie the pi-rat
slewie the pi-rat's picture

just give them a toaster

and get the no-fee debit card

Sun, 10/02/2011 - 01:53 | 1730271 Cathartes Aura
Cathartes Aura's picture

plenty of posts on the BofA thread braggin' about not paying fees on their TBTF bank accounts if they keep 10k in there.

yeah, the banks aren't dumb. . . *shakes head*

Sat, 10/01/2011 - 16:51 | 1729487 Debugas
Debugas's picture

actually i see no problem paying small charge for the bank providing useful service to me. The question is of cause price vs usefullness of the service. I usually use my debit card once a month and pay $10 per year for having it

Sat, 10/01/2011 - 16:54 | 1729492 snowball777
snowball777's picture

What do you think they've been doing with your deposits since Glass-Steagall went buh-bye, shitwit?

Sat, 10/01/2011 - 16:56 | 1729497 Debugas
Debugas's picture

lol that's why i use it once a month to take my salary off of it into cash ;)

Sat, 10/01/2011 - 18:56 | 1729775 geekgrrl
geekgrrl's picture

You make less than $500 per month? Most debit cards have a $300 or $500 limit per day at ATMs.

Sat, 10/01/2011 - 18:00 | 1729641 mfoste1
mfoste1's picture

money in the mattress time bitchez!

Sat, 10/01/2011 - 16:51 | 1729488 Tom Brady
Tom Brady's picture

i dont know why anyone would use a bank over a credit union...bofa is loaded with incompetent workers and excessive fees

Sat, 10/01/2011 - 17:25 | 1729555 Fish Gone Bad
Fish Gone Bad's picture

Bank of America actually has trolls that work there.   http://www.youtube.com/watch?v=eWYW0H7-c_w 

To think that Bank of America would be the only fucked up bank to hire people to sit in front of their computers and post crap is short sighted. 

Sat, 10/01/2011 - 17:42 | 1729594 ItsEvolutionBaby
ItsEvolutionBaby's picture

You idiots still spamming SGT's paranoia?

This has been debunked. Stop looking stupid. It was a lowly teller spamming him from his job at BAC. Yes the IP's cycle throught out the day because that is how their system is setup. It's been uncovered in other youtube videos, he was spamming because SGT was flaming subs on another guys page for being "CIA shills" and other paranoid bullshit.

Yes i agree with some of his videos, but this guy is a moron. Do some research. 

Sat, 10/01/2011 - 19:44 | 1729843 SGTbull07
SGTbull07's picture

To: 'ItsEvolutionBaby', Are you a complete imbecile, or just a deliberate part of the problem? You wrote in regards to me: "This has been debunked. It was a lowly teller spamming him from his job at BAC... etc... this guy is a moron." -- So, more ad hominem attacks from the great 'Evolved' one?  lol. The multiple IP addresses spamming SGTreport with hundreds of slurs and hateful comments ALL tracked DIRECTLY back to network space fully owned by Bank of America, as clearly and quantifiably PROVEN with direct links to the American Registry for Internet Numbers, and shown in my video 'ALERT: Which Criminal Bank Hates SGTreport?'. It was 100's of individual comments from opposite sides of the country, which did not originate from a teller at a local branch on a lunch break. It is people like you - libelous cowards hiding behind bogus screen names, who are part of the problem in this country. Guys like you will never ever be part of the solution. 'Evolution?' What a joke.

Sun, 10/02/2011 - 10:35 | 1730693 fajensen
fajensen's picture

Retards BAC! The Russians got that business model sorted out already; kompromat.ru - one pays them to get bloggers and the service all the way up to video of the victim with prostitutes in sleazy motel (they can even provide the prostitutes needed). 

Sat, 10/01/2011 - 19:59 | 1729860 SMG
SMG's picture

You still spamming for Bank of America?  You should look for another employer I don't think they're in too good of shape.  Paychecks might start bouncing.

Sat, 10/01/2011 - 19:48 | 1729848 CrazyCooter
CrazyCooter's picture

I watched for a little bit ... but he spent so much time talking about himself instead of ideas of substance I lost interest.

But I am a dork like that.

Regards,

Cooter

Sat, 10/01/2011 - 21:48 | 1729991 fuu
fuu's picture

Just goto 3:36 in the video above.

Sun, 10/02/2011 - 08:37 | 1730528 MarketWatchTerrorist
MarketWatchTerrorist's picture

TSA definitely employs people to blog the same message again and again and again and post in comments sections to shape public opinion to be favorable to them.  Common lines of thought include:

 

"As soon as a plane blows up you'll be the first one begging for the TSA and blaming the government."

 

"I'd rather not get blown up in the sky and if I have to deal with a slight inconvenience, so be it."

 

"You get more radiation flying at altitude than the scanners output."

 

The comments section of Market Watch is also full of shills for the banks, realtors, etc.  They also have admin accounts and ban anyone that calls them out for using multiple accounts and repeating the same nonsense at the behest of their employer.

 

There are companies that specialist in this sort of thing.  Here's a couple of examples:

http://arstechnica.com/tech-policy/news/2011/02/the-ridiculous-plan-to-a...

"The short version: It proposed services to clients like a law firm working with Bank of America and the U.S. Chamber of Commerce that included cyberattacks and misinformation campaigns, phishing emails and fake social networking profiles, pressuring journalists and intimidating the financial donors to clients’ enemies including WikiLeaks, unions and non-profits that opposed the Chamber."

 

https://secure.wikimedia.org/wikipedia/en/wiki/Cyveillance

 

"Cyveillance's clients include the pharmaceutical industry and entities within the entertainment industry, particularly music and movie concerns, specifically, the RIAA and MPAA. Cyveillance runs scans which attempt to gain unauthorized access to P2P networks, Web servers, IRC servers, FTP servers, and mail servers, searching for mp3 audio files and movie titles. After running the scan, the site scanned is archived, and the information sold to the RIAA and/or MPAA."

 

You think Bank of America wouldn't pay a black hat hacker to gain access to Zero Hedge's web servers to pull IP information for some of its users/posters/admins?  Think again.  The feds, of course, would simply send a FISA letter to Zero Hedge's hosting provider and get full root access/a tap on the comms and nobody would ever know.

Sat, 10/01/2011 - 16:59 | 1729503 DeadFred
DeadFred's picture

When I heard of this fee I couldn't believe it. Why did they do this? How could they not see it will kill their deposits, at least their small retail deposits. Is it simply not worth their time to have cousin BillyBob's $1000 checking and $200 savings account? Why anyone would have a small account with them anyway was beyond me.

Sat, 10/01/2011 - 17:20 | 1729549 sangell
sangell's picture

Exactly! it is not worth the time and expense to offer bank services to paupers. That is what check cashing establishments and payday loans are for.

Sat, 10/01/2011 - 18:25 | 1729712 LasVegasDave
LasVegasDave's picture

agreed.  It is five fucking bucks, folks.  Get over it.  Most likely the people who are bitching the most are the same liars who stated their income to countrywide to buy that too freakin exensive home.

There is plenty to rail on BofA about, but this isnt one of them.

If you cant afford five bucks a month go to a check cashing joint or stand in line for money orders at the 7-11.  Pay for your damn services; this aint a communist country (yet.)

Sat, 10/01/2011 - 18:53 | 1729766 Bunga Bunga
Bunga Bunga's picture

Pay for your damn services; this aint a communist country (yet.)

At least not for the general public. Pay your tributes bitchez!!!!

Sat, 10/01/2011 - 18:55 | 1729771 snowball777
snowball777's picture

Fuck off, Bank of Lynching America assclown.

Sat, 10/01/2011 - 19:16 | 1729808 LasVegasDave
LasVegasDave's picture

assclown?

Thats a phrase I only hear from broke, bitter bloggers.

Too bad you cant afford the five bucks shithead

Sat, 10/01/2011 - 19:51 | 1729851 CrazyCooter
CrazyCooter's picture

Wow, a bit of contempt?

Perhaps I am frugal and feel the fee is unjustified.

Please respond in an intelligent fashion.

Regards,

Cooter

Sat, 10/01/2011 - 20:02 | 1729863 karzai_luver
karzai_luver's picture

perhaps the useless broken clowns would use a credit card , no way!!!!!!

 

use a credit card if you don't want the debit card fee.

 

geezz, this must be the broken thread for bitches , bithcez!

Sat, 10/01/2011 - 23:45 | 1730151 IrritableBowels
IrritableBowels's picture

Out in force tonight, huh boys?

Sat, 10/01/2011 - 22:16 | 1730028 LasVegasDave
LasVegasDave's picture

Yes, I'm sure.  Frugal.  That's it.

You have choices, right?  Keep your money in your house.  convert to PMs and use them to pay bills.  issue your own Notes to your creditors. barter. steal.

So what's your pleasure?

The bank will hold your money for you and keep it safe, and if the balance is large enough, they'll waive fees.  If not, for $5 they'll give you free checking.  and staff convenient branches for you to use.  nationwide.  so you can withdraw money or pay with a check.  in Kingman, AZ or the big crapple.  and you can pay with a piece of plastic at Starbucks.  And if you have decent credit they'll even lend you money to buy a house or start a business.  ( I know, evil stuff.)

But wait... they wanna charge me $5 bucks a month.  I, I, I thought it was gonna be free. It should be free.  I bailed them out.  It was my money....

Sorry for the sarcasm Cooter. Im a little high right now and feelin good with all this baseball on television.  But really BofA's economy of scale for $5 a month which lets me travel anywhere worldwide sans cash.  I like that trade.

And as to the shithead "assclown"  I dont work for BofA and recently transferred several big accounts away from them.  Put Thain, Mozillo and Lewis on trial tomorrow,  I could care less...

Sat, 10/01/2011 - 22:50 | 1730072 tsx500
tsx500's picture

actually it's 'couldn't care less' .......

Sun, 10/02/2011 - 02:03 | 1730275 Cathartes Aura
Cathartes Aura's picture

Im a little high right now and feelin good with all this baseball on television.

no way! you defend TBTF and watch sports stoned!! 

bet you vote too, amirite?

Sun, 10/02/2011 - 08:40 | 1730533 MarketWatchTerrorist
MarketWatchTerrorist's picture

The banks have a fucking data base entry somewhere that states a balance of my accounts.  They aren't doing shit to protect "my money."  Meanwhile, based on that database entry they conjure up 100 times as much money and lend it out at usurious interest rates to my fellow Americans.

 

Fuck.  That.

 

I'll convert it into something more tangible than their fucking database entry and protect it myself.

Sun, 10/23/2011 - 20:04 | 1802995 CrazyCooter
CrazyCooter's picture

If you must know, USAA gives me a monthly ATM rebate of X. This allows me one ATM withdrawl a week at no charge (more or less).

I pay cash.

And with all respect; go fuck yourself if you need credit to survive.

Regards,

Cooter

P.S. I refuse to join all the store membership things. I just tell them; cash. Beer, groceries, you name it ... cash. I must confess I keep a card to pay-at-the-pump because its a huge PITA. That card is paid off monthly. Oh, and Amazon.com. I buy a lot of shit from them because ... well ... I am in Alaska and I can't get it anywhere else.

Sun, 10/02/2011 - 10:34 | 1730690 Conor
Conor's picture

Exactly.  And therefore, switching banks is a simple business decision based upon rational economic behavior.

 

And BofA might find that it made a poor business decision.  Most people don't want to pay a monthly fee that is higher than the interest they earn from savings in the same institution.

Sun, 10/02/2011 - 11:20 | 1730745 RSloane
RSloane's picture

They made an extremely poor business decision. People wll respond by moving their cash. Hopefully by joining a reputable credit union.

Sat, 10/01/2011 - 20:59 | 1729922 snowball777
snowball777's picture

I can afford to short thousands of shares of your soon-to-be-ex-employer, but thanks for the boat!

Sorry about that box you're using to carry your shit outta the office (okay, not really sorry; you did decide to work for Lewis and Moynihan so you kinda deserve what's coming to you).

 

Sat, 10/01/2011 - 19:13 | 1729802 ljag
ljag's picture

I need to start panhandling outside your cardboard box. Got $60 you can spare? I promise not to come back until next yr. LOL!

Sat, 10/01/2011 - 18:54 | 1729769 snowball777
snowball777's picture

Wrong. They are extremely dependent on the meager balances of tens of millions and would go into the ground if they left en masse. The only reason they think they can get away with this is solidarity and collusion (they believe the little guy has no place else to go with his money, won't be smart enough to care, or will be too lazy to move their money elsewhere). On this point they are crucially wrong and will pay for their mistake in a very big way.

 

Sat, 10/01/2011 - 20:47 | 1729904 PC Load Letter
PC Load Letter's picture

Although I think this fee is utter BS, it might force people to use cash for their purchases and ultimately move away from using cards in general

Sat, 10/01/2011 - 19:27 | 1729823 Bicycle Repairman
Bicycle Repairman's picture

The little guy isn't worth it.  If you are a little guy make other plans.  BOA wants you to leave.  If BOA has done their homework correctly (and you know they've done it) this will be a net gain for BOA.  A run on BOA because of this?  Nope.

Sat, 10/01/2011 - 19:54 | 1729856 CrazyCooter
CrazyCooter's picture

So your thesis is that BAC has excess capital and wants to get rid of the "little guy" who doesn't have much balance and generates shit loads of fees in overdraft and that sort of thing?

Actually, on that note, please advise why any bank would want to get rid of any depositor for any reason.

Regards,

Cooter

Sun, 10/02/2011 - 10:40 | 1730701 Conor
Conor's picture

Unless the money can be loaned out at a higher interest rate, deposits are liabilities.

Sun, 10/23/2011 - 20:07 | 1803005 CrazyCooter
CrazyCooter's picture

Wow. Your response is ... epic.

Just this week ... it was floated that BofA may very well use deposits to back derivative bets where the FDIC picks up the pieces. LMAO.

But, to address your arguement, at ZIRP, your arguement is ... ?

Regards,

Cooter

Sun, 10/02/2011 - 10:42 | 1730704 fajensen
fajensen's picture

Hmm: 50 Million people on Social Security - all need a little plastic card, that's like 250 million US in fees right there.

The banks do not want your deposit anyway - they are fully capitalised by the FED; that's why they pay nothing on deposit accounts, individual accounts are simply a liability on the balance sheet that the banks do not want. 

Sun, 10/02/2011 - 12:23 | 1730855 DosZap
DosZap's picture

The banks do not want your deposit anyway

 

Think not?,go in a tell them you want to close your account/s.See how fast they kiss your ass.

And, no, they make loans 10-1 for every dollar you hold in their Banks,you think they want to lose that ability?.

They want ALL the depoits they can  get.

 

Sat, 10/01/2011 - 17:04 | 1729515 GRsilverking
GRsilverking's picture

Just closed my checking #. They started charging $9.50 per/mo. few months ago & I just noticed. Dha... Going back to Harris.

Sat, 10/01/2011 - 18:42 | 1729738 Michelle
Michelle's picture

Check out Credit Unions - Not-for-Profit!

Sat, 10/01/2011 - 17:11 | 1729527 Joebloinvestor
Joebloinvestor's picture

I canceled a 30 year account I had with B of A over their ridiculous fees.

Sat, 10/01/2011 - 17:33 | 1729581 Fish Gone Bad
Fish Gone Bad's picture

+1

Sat, 10/01/2011 - 20:07 | 1729871 lynnybee
lynnybee's picture

I canceled a 30 year account I had with B of A over their ridiculous fees.    CONGRATULATIONS !   YOU WIN !    

Sat, 10/01/2011 - 21:34 | 1729970 krispkritter
krispkritter's picture

I had them for years too, all the way from Florida Federal into BoA. Then they started giving accounts and perks to illegals, upping fees, and jerking me around on my business credit line. Told them to take a flier off a short pier and I think the branch manager was near tears when I walked out. Her voice was cracking as she was offering just about any service to keep the accounts.  Moved to Suntrust and they are hands down the worst fucking institution I've ever used. I have funds in another local bank, a pure online bank, and move funds and payments through Paypal and have no issues. Suntrust already lost the biz accounts, next week I'll close the last one.  They'll probably throw a toaster or pencil set at me to stay...there are simply too many choices for parking your money and it's really quite easy to open up another account somewhere else. If you have few or no bills, even easier. Paypal is hard to take but when I can take a pic of a check on my iPhone and deposit it, I never will need a brick and mortar bank again...

Sat, 10/01/2011 - 17:13 | 1729533 sangell
sangell's picture

I don't know that we will see much decline in deposits. For one thing CITI doesn't have much of a US depositor base and BAC, while a major US retail bank, will probably demonstrate just how little the average person has in available cash. Think they care if the person with an average available balance of  $2 or 3 hundred dollars pulls their money? These are 'nuisance' accounts if you can't charge them for being overdrawn. Best to get rid of them.

Sat, 10/01/2011 - 17:16 | 1729542 ShortTheUS
ShortTheUS's picture

BAC's site is (in)conveniently down yesterday and today... People can't confirm their balance is even there.

Bank run in 3...2...

Sat, 10/01/2011 - 19:28 | 1729827 Bicycle Repairman
Bicycle Repairman's picture

"Bank run in 3...2...". Nope.

Sat, 10/01/2011 - 17:19 | 1729545 JW n FL
JW n FL's picture

 

 

http://www.youtube.com/watch?v=3XmxijQfMow&feature=

Darling Nikki

Dirty lil trick.. they are all whores.. and you can't blame a whore for being what she is.. I mean the bank is.. my bad.. LOL!

 

 

Sat, 10/01/2011 - 17:56 | 1729631 Muddy1
Muddy1's picture

A whore takes your money and then screws you.  Once again the banks are doing us.

Sat, 10/01/2011 - 21:10 | 1729924 Dugald
Dugald's picture

The credit card service creates JOBS in banks, you happily make use of said service, yet you want if for free, too many freeloaders will fuck even the largest organisation.

Now start thinking along the lines of "What can you do for your country"....You know the rest!!

A foreign thought for many of you I suspect, judging by the financial mess you are currently in. Suck it up and pay for service received.

 

Sun, 10/02/2011 - 00:22 | 1730191 JW n FL
JW n FL's picture

 

 

what?

how much interest are you paying on your credit card?

how much in bank fees?

but b of a is free?

seriously?

whats the minimum balance for free anything at shitty b of a?

fuck you!

fuck off!

eat the rich, bitch!

Sun, 10/02/2011 - 16:34 | 1731352 I only kill chi...
I only kill chickens and wheat's picture

I hope most ZH readers pay no interest to their CC companies. Ahh, pay the balance in full every month? Of course I'm a bad customer because I pay in full, and on time.

Sun, 10/02/2011 - 02:09 | 1730286 Cathartes Aura
Cathartes Aura's picture

and you pay them - voluntarily! 

Sat, 10/01/2011 - 21:54 | 1729996 fuu
fuu's picture

Nice.

Sat, 10/01/2011 - 17:25 | 1729558 Non-Zero
Non-Zero's picture

 

"We conducted extensive surveys with our customers, and no one wanted to pay to use debit cards," Troutner said

 

Genius.

You can see how he got to be the Chief of Retail Banking.

Sat, 10/01/2011 - 17:33 | 1729577 sangell
sangell's picture

Probably a lot smarter than you. BAC has to dump 30,000 employees. Do you think they want maintain accounts with an average daily balance of under $1000 when they have to keep staff and maintain branches to deal with these paupers? They used to be able to clip them for overdrafts but not anymore so they are going to dump them to the check cashing establishments and payday loan businesses.

Sat, 10/01/2011 - 18:25 | 1729704 Jendrzejczyk
Jendrzejczyk's picture

Not a big fan of the pauper?

Sat, 10/01/2011 - 20:26 | 1729887 EvlTheCat
EvlTheCat's picture

Do not bring your logic here, I warn you.

/sarc

Sat, 10/01/2011 - 23:38 | 1730139 Hephasteus
Hephasteus's picture

Until people ad hoc outlaw checks.

Sat, 10/01/2011 - 17:33 | 1729576 supersunken
supersunken's picture

This is not the banks doing but the govt. Businesses complained of the high fees for debit card transactions, so the govt told the banks to lower the damn fees. So how do they make up the loss in revenue? Sticking it to the customers. You can thank the govt for this. 

Sun, 10/02/2011 - 09:20 | 1730575 s2man
s2man's picture

Yep, and it was predicted they would raise other fees to cover their losses.  And now, they have.

We pay one way or the other; through the businesses raising prices to cover the fees, or by paying directly to the bank.  What's the difference?

Sat, 10/01/2011 - 17:33 | 1729580 HedgeAccordingly
HedgeAccordingly's picture

my matress is my bank and my rubber band is my wallet.. 

Sat, 10/01/2011 - 18:30 | 1729724 Yes_Questions
Yes_Questions's picture

Binder clips here.

Sat, 10/01/2011 - 17:34 | 1729583 bid the soldier...
bid the soldiers shoot's picture

In the Valley of Too Big To Fail, bankrupt banks are King.

Sat, 10/01/2011 - 18:43 | 1729741 Michelle
Michelle's picture

Credit Unions, Baby! Oh Yeah!

Sat, 10/01/2011 - 17:36 | 1729587 oldman
oldman's picture

"Citigroup, which had no other choice, has just decided to follow in BofA's footsteps, which i) proves there is indeed a collusive move of desperation by the bank cartel, which in a normal country would see at least a statement from Eric Rip Van Holder, and ii) our thesis about America's impatience with petty theft - they are more than ok with grand scale larson such as that by the Fed via shadow inflation and currency devaluation, but when it comes to paying up an additional $5/month, well, just look at Netflix, which instituted a $6/month price hike two months ago... and is now fighting for survival."

 

They are all fighting for survival-------and they will steal(are very comfortable with) the pennies from a dead man's eyes. This adventure of debit card theft shows how close to failure these bastards are and this hysterical trick is not the last-----the desperados certainly are desperate these days. I'm simply amazed at them---why are they not in jail already? Oh yeah, I forgot---the 'mob' protects them----i have to stop here before this oldman begins frothing at the mouth

fuck, i'm sick of this!        om

Sat, 10/01/2011 - 18:25 | 1729711 samsara
samsara's picture

 

"This adventure of debit card theft shows how close to failure these bastards are.. "

TPTB now TPTW

They don't know it yet, but the disease is too far ad vanced.  The Mentally the tide has turned.

Movements like https://occupywallst.org/  and http://wearethe99percent.tumblr.com/

It is currently an undefined mixture of the whole national/global world view.

The 99% site demonstrates the cross section. Everybody For Every Reason.

What needs to spread thru to people now is Education. Like ZH does on different subjects so that they learn the depth and size of it.

 

 

Sat, 10/01/2011 - 17:37 | 1729589 Sean7k
Sean7k's picture

Maybe this is to make it easy to justify JPM buying them up on the cheap when they go under...

Sat, 10/01/2011 - 17:38 | 1729590 dick cheneys ghost
dick cheneys ghost's picture

Please do your due diligence, but found a story about an online bank.........BANKSIMPLE..........

 

for those needing an alternative to the big, insolvent, wall street, money center banks.....

 

http://singularityhub.com/2011/09/27/forget-the-big-banks-banksimple-will-provide-the-same-services-without-screwing-you-over/

Sat, 10/01/2011 - 17:38 | 1729591 Absalon
Absalon's picture

It would be good for the country if this shrinks the biggest banks so they are no longer TBTF.

Sat, 10/01/2011 - 17:41 | 1729600 ihaveabalancedc...
ihaveabalancedcheckbook's picture

Just move your money to a credit union - they offer all the services tha CITI, BofA,Wells Fargo - without the fee's- there is no differance - why anyone would pay for !@#$ services is beyond me...

 

Sat, 10/01/2011 - 20:29 | 1729888 EvlTheCat
EvlTheCat's picture

Please let me know which credit union you are apart of, "without the fee's"?  I am so there.

 

Sun, 10/02/2011 - 20:17 | 1731821 mjk0259
mjk0259's picture

I have used Affinity Federal Credit Union Basking Ridge NJ for 30 years. No fees of any kind that I have encountered. I think you need direct deposit of paycheck for free checking. affinityfcu.org.

 

Never had an account with the big banks except for occaisonal credit card briefly like when they give you $200 for charging $500.

 

 

Sat, 10/01/2011 - 17:42 | 1729605 banksouttacontrol
banksouttacontrol's picture

help me I ama  dufus!

Sincerely,

Brian and Vik,

 

 

 

Sat, 10/01/2011 - 17:43 | 1729609 Xibalba
Xibalba's picture

Jamie Dimons home addresses....for when you wanna send flowers.  

 

270 Park Avenue, New York, NY, US
1185 Park Ave, Apt 11l, New York, NY, US
398 Greenwich St, New York, NY, US
211 E 70th St, Apt 10h, New York, NY, US
388 Greenwich St, New York, NY, US
1185 Park Ave, Unit 17l, New York, NY, US

Sat, 10/01/2011 - 17:46 | 1729614 Caviar Emptor
Caviar Emptor's picture

3,000 protest against Bank of America in Boston. 

http://www.bostonherald.com/news/regional/view/2011_1001hub_police_arres...

Sat, 10/01/2011 - 17:46 | 1729615 Waterfallsparkles
Waterfallsparkles's picture

Back to waiting in line in the Grocery Store waiting for someone to write a check.

Wait until everyone is writing checks at Starbucks or Mc Donalds.  Talk about slowing check out to a crawl.

Do NOT follow this link or you will be banned from the site!