Citi hikes fees on checking accounts

Citi hikes fees on checking accounts

money.cnn.com

At the same time, customers who have the bank's EZ Checking account will start being charged $15 a month if they don't carry a minimum balance of $6,000. Citi (C (C, Fortune 500)) says it is phasing out the EZ Checking package, which currently carries no monthly fee, and is instead offering customers either the Citibank Account or its Basic Banking account, which also carries a fee.

(visit the link for the full news article)

Now during the recession, I am sure many of us have seen the community banks dissappear.
And the big banks moved in.

Predictably, right on the heels of Bank of American announcing new fees, Citibank comes back with even higher fees.

And most of the other big banks, Wells Fargo, And Jp Morgan mentioned in the article,have also hiked fees.

This is just like the Netflix scheme, eliminate the competition and then raise the fees.

money.cnn.com
(visit the link for the full news article)

Credit Unions, and small Community banks will see an incredible influx of new customers. They will need to hire more people to handle the business. A win-win situation for all except the big banks.

See Big Banks, forgot that "we the people" who have allowed them to use "our" money, can take it away from them.

Holy [snip]

This is big news people. This could trigger a massive banking run. I expect more banks will follow. I wonder what the end game is. More bailouts perhaps? More banking laws?

I'm gettin me some purdy silver coins, cause I smell something very stinky

reply to post by JJDoggie84


Actually, history shows that people moan like heck but ultimately just pay the fees. For example:

Excess ATM transaction fees
Teller transaction fees
Low balance fees
Excess check writing fees

Etc

None of those fees used to exist and now people think little about them. When they first were introduced everybody balked. But there was no run on the banks as a result.

Originally posted by JJDoggie84
Holy [snip]

This is big news people. This could trigger a massive banking run. I expect more banks will follow. I wonder what the end game is. More bailouts perhaps? More banking laws?

I'm gettin me some purdy silver coins, cause I smell something very stinky

Why would you think that?

reply to post by spyder550


It's negative interest. Before people had fees if they were "bad"... Now for being a "good" costumer you get slapped with $5 bucks a month... Why would you stay with a bank with that kind of policy?

reply to post by lpowell0627

Actually, history shows that people moan like heck but ultimately just pay the fees.

For example:
Excess ATM transaction fee
Teller transaction fees
Low balance fees
Excess check writing fees
Etc

None of those fees used to exist and now people think little about them. When they first were introduced everybody balked. But there was no run on the banks as a result.

I agree with your post, but the fees you listed were all implemented during far better economic conditions. I think you'll see customers leave the big banks in droves possibly causing a run on these banks...which is EXACTLY what they deserve. Too big to fail??? More like too corrupt to save.

Originally posted by JJDoggie84
reply to post by spyder550

 

It's negative interest. Before people had fees if they were "bad"... Now for being a "good" costumer you get slapped with $5 bucks a month... Why would you stay with a bank with that kind of policy?

Isn't that how the free market is supposed to work?? You know there haven't always been free checking accounts -- I remember when you had to pay for each check.

I am a shareholder in a community bank -- we don't have these charges and ATM is reimbursed for the first 15 uses per month.

I would say this is true for all the banks with smaller accounts. The problem with this citibank, is even an average account has to carry what is a hefty balance to most people nowadays. It almost seems like they are trying to get rid of the small account holder.

People that bank with the "Too big to fail(s)" are suckers. I went with a local credit union years ago. I enjoy interest rates far below any of the big banks, have instant access to cash and can voice any concerns I have directly to the board during our monthly meetings.

I still don't understand anyone depositing their money with these national/multi-national banking conglomerates.

reply to post by kozmo


I was with a credit union once and they robbed me worse of any of the banks. So I am hesitant to try any credit union again.