RIP-OFF ALERT:
USA TODAY has done some new research into how the giant monster mega-banks rip you off.
This should be of special interest to customers of Bank of America, Chase, Citigroup, Wells Fargo, HSBC, PNC, U.S. Bancorp, SunTrust and others. Here's a quick rundown of the newspaper's findings:
• All the banks allow you to overdraw at the ATM -- except Citibank.
• All the banks allow you to overdraw online.
• All the banks allow you to overdraw at the register -- except Citibank.
• The majority of the banks
won't even give you a warning at the ATM to deter overdraft.
Bank of America recently settled a class action lawsuit over their overdraft fees. It turns out they had software to calculate how to generate the most overdraft fees when a customer went negative on his or her account.
A typical overdraft fee at most banks could easily be $35.
This is the game the giant monster mega-banks play. So it's incumbent on you to do a few things. First, you can take your business to a credit union or smaller community bank instead. Second, you can continually monitor your account online to make sure you're in the black. Third, you can use a bank register to track your account to the penny.
Don't let the banks play Jesse James with your money. The real irony here is that at least 3 of these banks -- Bank of America, Chase and Citi -- are like pigs lining up at the trough of federal bailout money from we the taxpayers.
And this is how they turn around and thank us?!
Meanwhile, to add insult to injury, Chase had been planning on buying 2 private jets at $60 million a piece, and wanted to spend $18 million to dress up an airplane hangar, according to a TV news report Clark saw. Chase has now agreed to delay these purchases until they pay taxpayers back.
Finally, senior producer Kim brought some perspective to the
USA TODAY article by explaining how ING Direct went above and beyond when she nearly overdrew her account. Talk about great customer service!
