NEW YORK (MainStreet) -- Call it good will gone hunting.
After making the decision to start charging a $5 monthly fee beginning in 2012 to customers who use their debit cards for purchases, Bank of America (BAC) now risks losing a big dose of good will among customers -- and Washington may not be far behind.
The fee was announced last week in response to the controversial Durbin Amendment to the Dodd-Frank financial reform bill, which reduces the amount of money banks can charge merchants for debit card purchases from an estimated 44 cents per transaction to 21 cents.
|In the wake of Bank of America's $5 debit card fee, consumers are venting anger at Washington, D.C.|
The legislation indirectly adds up to a user-fee increase for Bank of America customers, which was certainly not the outcome Congress and the White House, which both signed off on the Durbin Amendment, were expecting.Washington politicians are already facing some fallout from the Bank of America fee change, and some are on the defensive. Sen. Richard Durbin (D-Ill.) told consumers earlier this week that they should take their money elsewhere. "Bank of America customers, vote with your feet, get the heck out of that bank," Durbin said on the Senate floor Monday. "Find yourself a bank or credit union that won't gouge you for $5 a month and still will give you a debit card that you can use every single day. What Bank of America has done is an outrage."
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV