Debit Card Fees, Oh No!


So, about debit cards. BoA says it has a “right” to earn a profit. Not sure they understand the nature of rights, but anyway, any bank earns a pretty penny from the depositor depositing their cash in said bank.  So the idea that they are charging for a service they can’t otherwise provide doesn’t really pass the smell test.
On the other hand, if $5/month is annoying, switch banks.  The article describes people protesting the bank.  Their rights of assembly and speech can be exercised, but wouldn’t voting with their feet and switching banks be a better option.  Maybe I am odd, but I grew up with a father who kept a decent amount of cash on hand.  If people kept more cash, they would not need a cashless, card-based purchasing system as much.  Maybe a knock-on effect would be a better sense of personal finance.  “I can’t afford X” is easier to understand when a fly buzzes out of your empty wallet.
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About Jordi

I am an assistant professor in the Management School at Bucknell University. I specialize in organization theory, social networks, and studying the network society. I have three children, including twins. They love bouncing on the couch, legos, music, and my waffles. My wife teaches English at the same university. I am interested in most things, but these days, networks, social entrepreneurs, the environment, innovation, and virtual worlds. Finding Hidden Abodes and Shaking Iron Cages since 1972
This entry was posted in Business, Cases (Real World) and tagged , , . Bookmark the permalink.

One Response to Debit Card Fees, Oh No!

  1. awhigbee says:

    Whoa!!!!!!! I only have a debit card and I would be so mad if I had to pay $5 a month. Also it would be really interesting to see if the number of people who had debit cards with BoA declined suddenly or stayed the same. I would imagine people would transfer banks because of the fees however I don’t think it would be very impactful on the bank in terms of a lack of cash. I think the fees will cause more dissent between bankers and their clients for sure.

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