BofA: New fees report ‘inaccurate,' no new fees for existing customers

CHARLOTTE, N.C.,None — Thursday has been a public relations nightmare for Bank of America that started with reports of new fees being tacked on to accounts.

Customers and critics are getting angry over the new fees, but representatives from the bank said the reports “are not true.”

The backlash against Bank of America’s debit card fees was finally settling down. The bank reported a $2 billion profit last quarter.

Thursday afternoon the bank issued a statement calling national reports “inaccurate,” and insisted that no new fees are planned for existing customers. The statement went on to say banking executives have not made any final decisions about new accounts either.

But even the hint of those kinds of changes, after the uproar over a proposed debit card fee last year, has customers talking and experts weighing in.

The story is getting national attention largely because of the controversy that surrounded Bank of America’s ill-fated $5 debit card fee last year.

Now it’s being reported that BofA is working on a sweeping set of new customer fees.

Across from Bank of America headquarters Thursday afternoon, the prospect of new fees already had Ricardo Rodriguez talking.

“It will definitely start to rile a few customers up,” he said.

The Wall Street Journal reported Thursday morning that the bank is working on “sweeping changes” in customer fees, including new monthly fees for basic checking accounts.

“I’ve got free checking. And I hope I’m going to keep it,” said Tommy Holderness, a Bank of America customer.

But Holderness admitted, if new fees are added on, he will likely look for another bank.

Holderness’ threat is the same made by many customers last year when a $5 fee for debit card users was floated before widespread criticism tabled the proposed fee.

“I think it will be less in your face, the way this will be handled,” said Charlotte economist John Connaughton.

He believes Bank of America will move ahead with plans to charge fees for checking accounts unless customers agree to bank online, keep minimum balances, or take out mortgages with the bank.

Connaughton said the bank is just “bundling.”

“The phone company does the same thing with you. The cable company does the same thing with you. Everybody uses loss leaders to get your business and then try to sell you additional services,” he said.

But Bank of America will walk a public relations tightrope again, trying to avoid the kind of anti-bank sentiments expressed by customer Charles Ayers.

“Everybody’s in the business of making money, but there’s a point, a limit, where it gets – it turns into greed,” he said.

In the statement issued by the bank Thursday, it stated, “Our primary objective is to give our customers more reasons to do business with us.”

But some customers are saying the hint of new fees could be a reason to leave.

WSOC