On the tails of the Bank of America/Fannie Mae feud, news comes out that Bank of America BAC (NYSE) is working on sweeping changes that would require many users of basic checking accounts to pay a monthly fee unless they agree to online banking, buy more products, or maintain certain balances. Most major banks lose money on free checking accounts, but they offer them at the hopes that the young person, who is their main demographic, would continue to use their services such as credit cards and mortgages as they become more affluent. While banks have generally backed off of free checking accounts, they do so hesitantly because they risk alienating their customer base.
In 2011 BofA had planned to issue a $5 fee to use their debit card. The reaction by the masses was so overwhelming that they had to back down from it. This new fee and the debit card one stream from Bank of America having revenue problems and they seem to be desperately searching for new revenue streams. 2011 revenue dropped by $26.2 billion, or 22%, from its 2009 level, mostly due to the mortgage crisis that embroils the nation to this day.
This news of more fees from a bank the received a massive Tarp bailout of billions of dollars has infuriated the masses. To a lot of people, Bank of America represents all that is wrong with capitalism. Check out the Twitter reactions below to see people’s reactions.
bank of america solely exists to steal my money
Why do people get bank accounts at bank of America smh I hate this fuxking bank
Bank of America planning to charge fees again. Did you think Twitter would just cool off and forget?
http://t.co/vTcY31aU – Apparently, they aren’t unpopular enough already.Bank of America considering monthly fee for basic accounts
Bank Of America always try & find way to take money from my savings.. That really makes me angry
@jstreaks: Another Bank of America charge. When will they learn?…// The only thing they learn is how to cheat the laws.RT