Bank of America CEO on new debit card fees: our customers "will understand we have a right to make a - Polidicks

[QUOTE=B!N4RY;32668465]I'm not saying BoA's actions are justified, I'm just saying that they're not actually profitting as much as people is thinking.[/QUOTE] because they're fucking stupid. they get stuck in a class-action law suit like every year.

They're a bank. They're profiting a hell of a lot more than we want it to, and not losing nearly enough money for us to find this justified.

I think a new bank could benefit from using this sort of up-to-date business model, but to be an already existing bank and just randomly introduce it is a massive dick move. Say, a new bank sprouted up. They'd charge you £10 to open your basic lifetime account, but they'd promise never to directly invest your money, only the money that people are paying to open the accounts. You'd get variable interest because lending would be done using the joining fees and it'd only be dealt as straight investments in companies (ie 40% for £100k) and this would be run by already heavily successful entrepreneurs, business people and angel investors who likely hold a large stake in the business. You'd have premier accounts, for high-income professionals, these would likely be delivered on a subscription basis, say, £250 a month, but this would deliver a much larger portion of the income pie when it comes to splitting income from dividend payments (which would be done on an annual or monthly basis). I'd estimate this income would range between £200 and £750, depending on how well the bank itself was doing. If it was a bad month, he could lose money (which would be capped at what he put in), but if some breakthrough technology was invested in, he'd be set to easily double his small investment. Investment customers would work in a similar way, they'd put anywhere between £10,000 and £100,000 on the line, which would be wisely invested, and then this would be expected to return to him, within the year or perhaps a few years on, when the business his money was invested in leaves development and begins profiting. (He'd essentially get a % of a companies dividends, but it'd be carefully chosen by the owners and discussed fully with him, he could even get involved himself if he wished). Alongside this, the bank would sell additional add-on packages and services to both personal and business customers, financial advice for example.

This is hilarious. Bank of America is basically saying, "yea, we're the best bank [B]ever.[/B]" "That's right, we're going to create a monthly fee for absolutely no reason besides making ourselves even more wealthy, so take that dick right up your asses, you stupid, stupid customers that will stay with us anyways."

Banks.............the evil supervillain of the real world.

[QUOTE=Cruma;32694899]This is hilarious. Bank of America is basically saying, "yea, we're the best bank [B]ever.[/B]" "That's right, we're going to create a monthly fee for absolutely no reason besides making ourselves even more wealthy, so take that dick right up your asses, you stupid, stupid customers that will stay with us anyways."[/QUOTE] Fuck that I'm moving to SunTrust

[QUOTE=Ven Kaeo;32668256] I don't give a fuck. They already get to play around with my money and make more money off of it. They can fuck off with their stupid debit card fees. How the fuck dare you charge someone to use their goddamn money.[/QUOTE] Here's a hint: Don't use Bank of America! They DO have the right to do this and you have the right to save your money wherever you damn please! Instead, you can use a credit union, a matress, a safe, you can dig a hole in the ground and throw your money in it. You're not obligated to use bank of America, nobody is forcing you.

Um you guys know this is the federal government's fault right? Bank of America is really in their right to charge you the $5 fee.

[QUOTE=yawmwen;32697422]Um you guys know this is the federal government's fault right? Bank of America is really in their right to charge you the $5 fee.[/QUOTE] I don't even know what the fuck you're getting at.

[QUOTE=Soviet Bread;32697586]I don't even know what the fuck you're getting at.[/QUOTE] You haven't been paying attention. Read the Dodd Frank Wall Street Reform on interchange fees, and the Federal Reserve ruling on interchange fees.

Since my dad is a Federal Employee I'm going to setup a Navy Fed account just because these big banks love to jack their customers around way too much. I'm a Wells Fargo customer at the moment and I'd like to say they're money grubbing asshats like any other bank.

[QUOTE=yawmwen;32697620]You haven't been paying attention. Read the Dodd Frank Wall Street Reform on interchange fees, and the Federal Reserve ruling on interchange fees.[/QUOTE] Ofcourse they have the right to do so, they have thesame right as the WBC, but is it morally correct?

[QUOTE=yawmwen;32697620]You haven't been paying attention. Read the Dodd Frank Wall Street Reform on interchange fees, and the Federal Reserve ruling on interchange fees.[/QUOTE] None of those are relevant.

[QUOTE=ToXiCsoldier;32698206]Ofcourse they have the right to do so, they have thesame right as the WBC, but is it morally correct?[/QUOTE] Yea, because now they can't charge merchants the same interchange fees so now they have to charge the customers to make up their loss. [editline]9th October 2011[/editline] [QUOTE=Soviet Bread;32698217]None of those are relevant.[/QUOTE] Yea it is.

No one is telling them to do this. Did you read the article at all?

[QUOTE=Soviet Bread;32698228]No one is telling them to do this. Did you read the article at all?[/QUOTE] "Moynihan said the bank had made the fee clear and transparent to its customers and noted the bank had given plenty of advance notice because the fee won't kick in until next year. But he said the new charge was necessary because the "ability to be profitable" in retail banking has changed. He added that Wall Street reforms in the so-called Dodd-Frank Act will cost his bank "billions."" Bad reading of the thread goes to Soviet Bread!

What a bunch of greedy BANKERS!

There are over 8000 types of banks in the US, why is BoA, the only "poor little bank that's being oppressed", taking action and not any different than other bank? No one is saying they don't have a right to do it. No one is saying there was no warning. And the only evidence you've given that the Dodd-Frank act is SO damaging that they need to bleed their customers dry is Brian Moynihan saying it's damaging. So far your argument is made of charred pine wood sticks. [editline]9th October 2011[/editline] So dumb rating of this thread goes to facepunch's number one nit-picking right winger, yawmen.

[QUOTE=Soviet Bread;32698307]There are over 8000 types of banks in the US, why is BoA, the only "poor little bank that's being oppressed"? [/QUOTE] Um, Citibank also got rid of their free checking. More and more banks are getting rid of their free debit and checking programs now because of this act. Bank of America is not the only one affected by it, every bank is, and now most(if not all) banks are going to be hurting. It will also fuck up the small banks because only the big banks will be able to afford to keep up. So great job Washington D.C. You are sucking Corporate America's dicks harder than usual.

Still waiting for evidence that Dodd-Frank forces banks to get rid of free debit programmes.

[QUOTE=Soviet Bread;32698464]Still waiting for evidence that Dodd-Frank forces banks to get rid of free debit programmes.[/QUOTE] Because it makes it unprofitable to do so because they can't charge the merchants as much money for their debit fees.

Boo fucking hoo, banks are multi-billion dollar organisations. You want sympathy that a bank can't make more money? Charging debit usage isn't going to help them anymore than charging a person for opening an account or writing a cheque. [editline]9th October 2011[/editline] Banks have far surpassed their needed influence on the economy years and years ago. They sap more than anything.

[QUOTE=Soviet Bread;32698514]Boo fucking hoo, banks are multi-billion dollar organisations. You want sympathy that a bank can't make more money? Charging debit usage isn't going to help them anymore than charging a person for opening an account or writing a cheque.[/quote] Well don't fucking throw a fit when they try and recoup losses that a corrupt government puts on them. If you don't want a corporation to hurt consumers, make it as cheap as possible for the corporation to run, while preventing exploitation of the consumer and worker. [quote]Banks have far surpassed their needed influence on the economy years and years ago. They sap more than anything.[/QUOTE] Ok, your probably a kid so I'll make this very clear to you. Our economy hinges on the banks. If we don't have banks, no one has homes, no one has cars, no one has a business, no one has any money.

[QUOTE=Soviet Bread;32698307]So far your argument is made of charred pine wood sticks.[/QUOTE] Normally I'd agree with you, but he has a point on this one. Dodd-Frank, among other things, lessened how much a bank could get from a merchant when they ran a debit card transaction. That means that if they're going to keep the money coming in, they need to recoup that somewhere. And BoA actually [I]is[/I] hurting- granted, due to mismanagement and stupid decisions, but they're definitely not in good financial shape. The rest of the banks' complaints- about regulation making lending harder and boohoo we'd do it if only the economy was better- is complete bullshit. But the card thing is an actual thing. [QUOTE=yawmwen;32698774]Well don't fucking throw a fit when they try and recoup losses that a corrupt government puts on them. If you don't want a corporation to hurt consumers, make it as cheap as possible for the corporation to run, while preventing exploitation of the consumer and worker.[/QUOTE] You're aware Dodd-Frank is a response to these major financial institutions shitting the bed with the lights on prior to and during the recession, correct? They've proven they can't be trusted to run without regulation, and these regulations [I]are[/I] to prevent exploitations of the rest of us.

[QUOTE=Xenocidebot;32698946] You're aware Dodd-Frank is a response to these major financial institutions shitting the bed with the lights on prior to and during the recession, correct? They've proven they can't be trusted to run without regulation, and these regulations [I]are[/I] to prevent exploitations of the rest of us.[/QUOTE] I'm not too sure about the rest of the bill. I'm talking specifically about the interchange fees.

[QUOTE=GunFox;32656255]This sort of shit is why I stopped using BofA and now use Navy Federal. It is a credit union, not a bank. Functionally, they are identical, but there is one key difference. What you are doing when you deposit money with Navy Federal is you are buying a portion of the company. A share. Every share is five dollars and the interest on your deposit is actually dividends being paid out on your share of the company. It still works exactly like a bank. You just aren't a customer, you are a part owner. They have proven to be better in every way possible to regular banks.[/QUOTE] Here's my problem though: When I need to desposit my check and cash, where do I go to do that? If I need to use my union's ATM, where would that be? If I need to withdraw my rent money where would I go? I love credit unions in concept, but honestly they just aren't practical for me. My nearest credit union is Wright Patt, which is a good 15 minute drive into the mall (aka traffic nightmare) to get to the nearest "Member center". They have no ATM's near me either. There are none located near where I work unless I take a big 3 mile detour in the opposite direction of my home Meanwhile, 5/3rd bank is right across the street from where I live, and there is one right next to where I work. So far, they've not done any bullshit with my accounts. The only restriction is that I need to have a minimum of $100 or so in my checking account otherwise it closes (rarely do I have less than $1k). They also have ATM's everywhere, which is really nice.

[QUOTE=KorJax;32699712]Here's my problem though: When I need to desposit my check and cash, where do I go to do that? If I need to use my union's ATM, where would that be? If I need to withdraw my rent money where would I go? I love credit unions in concept, but honestly they just aren't practical for me. My nearest credit union is Wright Patt, which is a good 15 minute drive into the mall (aka traffic nightmare) to get to the nearest "Member center". They have no ATM's near me either. There are none located near where I work unless I take a big 3 mile detour in the opposite direction of my home Meanwhile, 5/3rd bank is right across the street from where I live, and there is one right next to where I work. So far, they've not done any bullshit with my accounts. The only restriction is that I need to have a minimum of $100 or so in my checking account otherwise it closes (rarely do I have less than $1k). They also have ATM's everywhere, which is really nice.[/QUOTE] My bank(West Coast) has hardly any ATMs, so what they do is offer a refund on any ATM fees you get using any other ATM. So if you get a $2 fee for using a BoA ATM then you take the receipt back to a West Coast Bank branch and they will give you back the $2.

your customers "will use a different bank" and I bet monday's open will reflect that.

I'm extremely glad I don't trust my money in the hands of a huge corporate bank, sure they have a right to make a profit, but are they seriously trying to say that they don't make enough already? I mean, the government literally feeds them money if they bankrupt, so what the fuck is their problem? [B]EDIT:[/B] Also, let's take this info for instance. BofA has about 57 million customers, and generally assuming most of them use debit cards, this 5$ a month thing will net them around $285,000,000 a month give or take. These fucking big banks are just becoming monopolized, it makes me sick.