Predatory Banking Fees

This morning I woke to posts on my social media feeds about Bank of America (BOA) charging checking customers a fee IF their balance is below $1,500 or they don't have a minimum direct deposit of $250.  Initially, I thought nothing of it, banks have been charging fees for years.  I once banked with BOA and left because they wanted to start charging me fees.  One of the posts on social media concerned me.

It reads "Bank of America will charge low-income customers $12 per month for their checking accounts unless they have $1,500 account balance or monthly direct deposit of $250."  So, a consumer must have $1.500 standing balance in their account OR receive a minimum direct deposit of $250.  How in the heck is that related only to low-income customers?  More importantly, consumers have the option not to bank with BOA and take their money elsewhere.

Many banks charge some sort of fee to customers who don't receive direct deposits to their accounts.  It is not a predatory practice or singles out of the have-nots as they are often called.  It is a cost of choosing to do business with BOA.  Again, one can take their money elsewhere.  It seems the qualifying word OR was missed by many.  Not sure where someone works that doesn't receive at least $250 monthly by way of direct deposit if they have a checking account.

 

Filed under: banking, mindset, money, wealth

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