Posts Tagged 'checking'

Bank of America: No more free checking

BoA fees

Trying to find any source of income they can, Bank of America is waving bye-bye to free checking accounts – and saying hello to charging customers for face-to-face service, says the AP:

Bank of America, which does business with half the households in America, announced a dramatic shift Tuesday in how it does business with customers. One key change: Free checking, a mainstay of American banking in recent years, will be nearly unheard of.

…To make up for lost fees, [Bank of America CEO Brian Moynihan] also started thinking of new products. In August, the bank introduced a new “eBanking” account, where customers were offered a free checking account if they banked online. The catch: If they opt for paper statements, or want access to tellers for basic transactions, they would be charged a monthly fee of $8.95.

Did you catch that? If you want to interact with a real human being, it’s $9 a month. Amazing.

Why does your ZIP code matter to Chase?

While doing some online research into big-bank checking accounts, I came across Chase’s web site. But first things first: they asked for my ZIP code. Why? Check the highlighted area – the offer I get depends on where I live.

If that doesn’t speak to the cruminess of big banks, I don’t know what does. Why should where you live determine what kind of “offer” you receive? Shouldn’t it be the same for everyone, no matter whether you live in Alaska or Florida?

Wall Street Journal: CUs are the best way to bank

It’s something we’ve known all along, right? But Brett Arends, writer for the Wall Street Journal’s “R.O.I” column (that’s “return on investment”) says that with all the trouble banks are having these days, credit unions are a sleeper hit:

These not-for-profit co-operatives have a kind of sleepy, backwater image. They’re often seen as the local libraries of banking. But that’s too bad. The chances are they didn’t pay their chief executive $10 million while writing off billions in subprime loans. And they can offer you some surprisingly good deals.

Arends says many creidt unions, like American 1, offer the same services banks do – often with better rates.

And since credit unions “don’t have to pay for billions in losses on subprime mortgages and other bad loans,” they can pass the benefits right on to members.

Read the rest of Arend’s column, “For Better Banking, Check Out a Credit Union,” at

American 1 Federal Credit Union