Complaint Review: Chase Bank - New York New York

..and thank you for sharing. I am very glad you told us to google that news report. Seems the system sometimes works, and a criminal is going to do some time, perhaps up to 25 years. Anytime a thief is caught... this is good news. Even if he is from China.

Happy Holidays!

the related articles on the web.

...is that one simple change made a big difference. And that was that the banks can no longer force, or automatically enroll checking account customers into overdraft protection with the debit card. That was just about being fair. Since the profit the banks were making from the "service" was a major profit center and customers must be choosing not to have this service when given the choice, of course it stands to reason that they are going to look for other ways to profit.

As long as the means the banks use to profit are properly disclosed and ethical, then I can't see the problem really. Something I never disagreed with, is that the banks are a business. But they have an advantage over other business in that they are holding our deposits and savings, and have access to all of it, including future income per direct deposit and right of offset. Due to this, they should be held to higher standards.

We all have the choice to switch banks if we don't like what they charge or if they have minimums. If more people switch to a bank that has lower fees or no minimum checking accounts, then most likely, other banks who wish to compete, will follow suit, or maybe give us toasters again.

I have not been with Chase that long, maybe a year. They were paying customers $100.00 to open a free no minimum checking account, and it was TOTALLY 100% free. I just got a notice that there will be a $10.00 a month charge starting in February, unless I keep at least $1500.00 in the account. I would prefer it to be free with no minimum, but I can understand why they would charge for checking and see nothing unethical about the change. I have 3 choices, nothing is forced. I can pay 10 bucks a month, or keep at least $1500.00 in the account, or find a different bank. Any of the choices will not have a major effect on my life. I am aware that Chase is not in business to maintain an account forever free of charge when I kept almost nothing in the account.

I guess they were hoping I would opt into overdraft protection, and they still to this day try at every turn. They try at the ATM, they try on the deposit slips, they try when I log onto the online account, they try with emails, they try via snail mail...but it is futile, I refuse to allow the bank to charge me anything if I make a mistake or become subject to an unknown hold or charge. So if they can no longer "trick" a percentage of customers into paying most of the fees, they now have to do it the ethical way.

   Free checking accounts were invented when banks realized that they could make a tidy profit from overdrafts on debit card transactions.   Before that, it was common in the industry to charge a monthly service fee to maintain a checking account.   Now that banks can no longer reap overdraft profits from debit cards, it's only natural that the free checking account would disappear. 

   Just as it was in the olden days, those maintaining a high monthly balance will have the fee waived.  Since they are letting the bank use their money for free, it's hard to argue that this is some nefarious form of discrimination.   It's just the regular kind of discrimination practiced in the financial industry.   The more money you let the bank hold, the more perks and benefits you get.   If you open a $500 CD should you expect to get the same interest rate as someone  who opens a $50,000 account?  Of course not. 

   This whole develpment is nothing more than a cost shifting.   In the last decade or so, free checking was subsidized by those who did not manage their accounts well.  Since that practice has been legislated out of existence, now the cost of checking accounts will be covered by everyone.  What could be more fair?

"- Yes Ronny they sure do, and you sure do. So what happens when there are no banks left that still have free checking? Are you going to still feel the same way about the crusade you and a small minority of people went on trying to eliminate fees because of the account holders refusal to manage their accounts? "

Uhh..no. I will pay 10 bucks a month for checking, or maintain a minimum balance as per the terms if I so chose or can afford. Or, I will CHOOSE not to have a checking account. I think checks should be obsolete anyhow.

Now perhaps YOU Robert, as a DIE HARD to the grave bank DEFENDER, feels the reason behind this is due to a "few" account holders "refusal" to manage the account...but I see it as the way it should have been ALL ALONG..charge a FEE for a SERVICE rendered..not FORCE services onto unsuspecting customers which regardless of the size of the "minority", was nothing less then a swindle, fraud and quite apparently, ILLEGAL, and resulted in unjust fees. Sure, I am not an idiot, I would love free checking with no minimum, but NOT at the EXPENSE of those less fortunate who were so OBVIOUSLY SWINDLED.

How about when they start to charge $20-$30 per month? Are you going to pay that fee with a smile?  Just using Chase as an example. In a matter of about 6 months, they went from free checking, to $4.95/mo if you don't meet certain qualifications, to $10($12?) if you don't meet more qualifications. Can anyone say that $20/mo or $30/mo is really out of the question?

Okay..so what do YOU suggest?

Seems throughout the YEARS you have been victim kicking and blaming those who were subjected to commingling, forced automatic OD protection with the debit card, re-sequencing and holds, secret shadow lines, delays with clearing etc..the list goes on...well in a nutshell....it seems YOUR suggestion was everyone take PERSONAL RESPONSIBILITY and it is NO FAULT of the bank if a customer does not keep an accurate register.

So answer us this MR. compassion...if all those of the "small minority" instead of "complaining" heeding YOUR advice and hence never overdrafted again...what do YOU think the banks would have done differently?

Oh..and don't pretend I did not predict this..look on ANY old bank OD fee ripoff report...and what will you notice?? Ronny G predicting that free checking is only temporary. There is NO WAY on Earth, that Chase could survive with a customer such as myself if they do not charge something for checking. I feel it is FAIR to do so...but it seemed to be THEIR choice to keep me as a customer regardless.

Now..keep the list coming for banks that still have no minimum balance free checking. This can be FUN actually. Keep closing accounts that charge us...and open new ones which offer free checking. Why not? Doesn't take too much time. I would think if any bank really wants or needs us, that they will meet our needs. If not..well there is no such thing as a free ride, not in business. But there is no reason that has to clash with ETHICS.

Check out Compass Bank.

They have a right. And we have a right to find another bank if we don't like the fee or minimum balances.

 - Yes Ronny they sure do, and you sure do. So what happens when there are no banks left that still have free checking? Are you going to still feel the same way about the crusade you and a small minority of people went on trying to eliminate fees because of the account holders refusal to manage their accounts?

How about when they start to charge $20-$30 per month? Are you going to pay that fee with a smile?  Just using Chase as an example. In a matter of about 6 months, they went from free checking, to $4.95/mo if you don't meet certain qualifications, to $10($12?) if you don't meet more qualifications. Can anyone say that $20/mo or $30/mo is really out of the question?

Free checking accounts are going away everywhere.

With new current financial regulations which everyone thought were so awesome comes the unintended consequences.  This is one of those.  The banks lose money by providing free checking.  They used to make it up on the fees the accounts generated.  Now that their fee collections are being shut down by the government, they must still show a positive return to their shareholders, thus the shutting down and converting of accounts that lose them money.

Find a credit union, the shareholders are the people who bank there, there is no need for them to gouge their customers.

..starting February on my non minimum free checking account, unless I keep at least $1500 in the account.

They have a right. And we have a right to find another bank if we don't like the fee or minimum balances.

I have not decided yet what I want to do but if there is a list of banks that do not charge any fees/ minimums let us know. Post a list here if possible.