Little Banks vs. Big Banks

It has not been a good year for Bank of America. The enormous company is hemorrhaging cash, and has had to toss units good and bad overboard in an effort to repair its balance sheet. Its stock has cratered, and even Warren Buffett injecting $5 billion has done nothing to turn investors bullish.

And now it is enraging many customers by announcing a new $5 a month fee for using a debit card linked to a checking account. Hundreds of account holders vented online, on-camera, and just about everywhere else, many promising to close their accounts. Rep. Brad Miller, D-N.C., swiftly introduced a bill preventing big banks from charging fees on anyone wanting to close their accounts. Even President Barack Obama chimed in, telling George Stephanopolous, “You don’t have some inherent right just to get a certain amount of profit, if your customers are being mistreated.”

via Bank of America debit-card-fee debacle: why more Americans should be banking at small banks. – Slate Magazine.


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