Banks charge you for overdrafts on your account. They charge to use some ATMs. They charge you when you are late with payments on your credit card.
Banks that received billions of dollars in bailout funds are increasing charges to customers. They banks say they need the money. They say that consumers are spending less on their credit cards.
The greatest change has been in fees for overdrafts. The typical fee rose to $26 after five years at $25. This is not supposed to happen during a recession.
Many banks make big profits by charging consumers high interest rates for loans. They keep the interest rates they pay on money market and checking accounts low.
This is happening because consumers are spending less. The best way for banks to recover their lost revenue is to charge more.
Consumers can fight back. Compare the fees charged by your banks with credit unions and community lenders in your area. Use an ATM. in the bank’s network. If you are charged fees, ask your bank manager about waiving them.