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Will You Pay $5 to Use Your Debit Card?

Bank of America is adding a $5 monthly fee to use your debit card / iStockPhoto

This post originally appeared on the Deal Journal blog on To read the original story click here.

Well, at least banks have found fresh ways of making money, since that whole mortgages and loans thing isn’t working out so well.

According to our Dow Jones Newswires colleague Andrew Johnson, BofA plans to charge customers a $5 monthly fee for making purchases with their debit cards.

Remember that BofA and other big banks are trying to offset expected lost revenue now that the Fed has capped the fees they can charge for each debit card purchase.

So that means banking customers can expect to be nickel-and-dimed, just like in the airline industry. Two bucks for peanuts, $5 for earphones, $1 for each trip to the bathroom (extra if you want toilet paper). Remember that J.P. Morgan’s Chase bank has been testing ATM fees of as much as $5 a pop for people who use a Chase ATM and aren’t a bank customer. “Free” checking accounts aren’t so free anymore, either.

You are now the piggy bank, dear bank customer.


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    • Cameron under the current tax setysm governments can only generate $250 billion in taxes ,APA’s debit Tax bank transactions can accumulate well over $400 billion why??? Because the Very wealthy have to pay their share in taxes ,no more off shore bank havens and fancy tax agents hiding their incomes etc that’s how easy it is, at the moment if a average person earns $100’000 annually you would say they would pay say! $46’000 in taxes yes?? Well no with all the hidden taxes all 128 of them from fuel tax GST tax property tax etc etc you will pay around $70’000 in hidden taxes. Now you asked about how is APA going to build infrastructure well under Section 51 of the Australian Constitution governments can create money to build major projects like railways, water pipelines, all with out debt and interest they did it in 1956 with the Snowy Mountains ProjectsDoing it this way under Section 51 of the constitution will not devalue our currency , I hope this can clear things up mate.

    • While it may be a bit inconvenient if you are a B of A account holder rather than use your debit card for cash, go into the bank and make your withdrawal face to face and remind them that by doing business face to face it’s likely costing the bank more than it costs by using you debit card.

    • Ally bank is now government backed though so its probably one of the safest banks after all the turmoil it went through.

    • All the more reason to “bank” with credit unions instead of the big-brand-name “banks”.

    • “banking customers can expect to be nickel-and-dimed”

      Bullshit. Don’t expect it and don’t take it. Banks have lots of competition, and there are plenty of good options, especially Credit Unions.

      A blog that calls itself “Smart Money” shouldn’t be so focused on what banks that only the ignorant would be using anyway, like BofA and Chase.

About Pay Dirt

  • Pay Dirt examines the millions of consumer decisions Americans make every day: What to buy, how much to pay, whether to rave or complain. Lead written by Quentin Fottrell, the blog examines these interactions, providing readers with news, insight and tips on shopping, spending, customer service, and companies that do right – and wrong – by their customers. Send items, questions and comments to or tweet @SMPayDirt.