Chase bank testing $5 per transaction ATM charge in attempt to boost revenue.

[Anti Federalist]

J. P. Morgan Wants $5 ATM Charge

Margo D. Beller
CNBC.com
March 31, 2011

http://www.infowars.com/j-p-morgan-wants-5-atm-charge/

J.P. Morgan Chase and other banks are trying to recoup approximately $30 billion a year in lost overdraft fee income by testing $5 ATM fees, Consumer Action spokesman Joe Ridout told CNBC.

These banks have “historically been reliant on overdraft fees,” he said, so they’re “coming up with new ways to make up the difference.” He said higher ATM fees and other rising costs penalize small depositors.

Nessa Feddis, spokeswoman with the American College of Consumer Financial Services, agreed there are “enormous pressures on banks because of lost revenue.”

[Jack Bauer]

$5? Hahahaha! Will not work. End of.

The minimum you can withdraw is $10 and you want to charge 50% of that as a fee? Chase is in dreamland.

Also, I don't think their reason to do so is to "boost revenue". Its probably a case study to socially engineer the end of tangible money. The banks would love it if all transactions were electronic.

[Zippyjuan]

All the more reason not to have one. I think I have used my ATM card once in the past year. How do you get cash? I get it when I go to the grocery store. They have what they call an "electronic check" version of their club card linked to my checking account- works at the check-out same as an ATM or debit card but processing is considered a check (takes a couple days to be taken out of my account too). You slide it and enter a pin just the same but since it is not considered an ATM or debit card, no fees.

[surf]

these banks have been relying on fee income for years (particularly thanks to the mortgage boom) - essentially it's non-interest rate sensitive income. if you believe that interest rates are going to rise and that certain banks are going to be holding 4% 30-year paper, fee income is about the only way to counter the inevitable rising cost of funds.

even though just about every cost accounting study has shown the cost effectiveness of ATMs vs tellers, and the cost per transaction is relatively small no matter who owns the ATM (it's been years - anyone have this figure?), the fee income can help overcome some of the huge gap flaws in the balance sheets of many of these shitty institutions.

they're all miserable pricks.

[Anti Federalist]

Also, I don't think their reason to do so is to "boost revenue". Its probably a case study to socially engineer the end of tangible money. They banks would love it if all transactions were electronic.

That ^^^

[Anti Federalist]

All the more reason not to have one. I think I have used my ATM card once in the past year. How do you get cash? I get it when I go to the grocery store. They have what they call an "electronic check" version of their club card linked to my checking account- works at the check-out same as an ATM or debit card but processing is considered a check (takes a couple days to be taken out of my account too). You slide it and enter a pin just the same but since it is not considered an ATM or debit card, no fees.

Nice idea, but now all your purchases, linked directly to your name and address, are in the database to be mined/blocked/exploited.

[Zippyjuan]

I don't care if they know what I buy. If they are smart, they will use that data and try to provide me with more of what I want. They do afterall want to increase their sales.

As for the topic at hand- banks do get most of their revenue from fees- and some of the restrictions placed on credit card fees after the meltdown cut pretty seriously into that source of income. It is not surprising that they should seek to replace it as best they can.

[Fire11]

Other poster:

First they get everyone to use ATM cards instead of checks and then they stick it to you.

Just like TV. It was free and ads paid for programming, now we pay $75 a month to watch commercials and now it’s digital so nobody can transmit rouge tv broadcasts in ‘emergencies’.

Telephones were/are $20 a month, now with cell phones and zero costs, we are paying $100+ for the convenience.

All these and more so-called technology advances were just ways to pump more money out of us.

They get you hooked and then stick it to you.

[Zippyjuan]

I use checks or a credit card. The credit card bill gets paid off every month so no fees or interest lost there.

[evilfunnystuff]

Telephones were/are $20 a month, now with cell phones and zero costs, we are paying $100+ for the convenience.

my cell costs me $35 a month and get unlimited talk text and free long distance and if i want the net its 25 cents a day unlimited when i use it.

[Austin]

This fee is only for non-Chase members that use Chase ATMs. How is there anything wrong with that?

[specsaregood]

Nice idea, but now all your purchases, linked directly to your name and address, are in the database to be mined/blocked/exploited.

I actually don't mind using my grocery store club card. They call me when there are recalls on products I have purchased. I don't link it to any bank accounts though.

[VIDEODROME]

If they are doing this at the ATM it makes me wonder how bad they stick it to businesses when you purchase their items with a Chase Visa. The business is probably hit with fees which they pass on.

[Anti Federalist]

Well, I do.

Thus, this is not an option for me and the market fails me yet again, due to it's uber democratic nature.

You are quite right about the second part.

What chaps my ass is that the system is now set up in such a way that it is next to impossible to function without using some slut banking establishment.

If you go outside the system, while still "technically" legal, you are looked askance.


I don't care if they know what I buy. If they are smart, they will use that data and try to provide me with more of what I want. They do afterall want to increase their sales.

As for the topic at hand- banks do get most of their revenue from fees- and some of the restrictions placed on credit card fees after the meltdown cut pretty seriously into that source of income. It is not surprising that they should seek to replace it as best they can.

[devil21]

Won't work. I went to a Chase ATM a few days ago and when it said "$5 Fee" I canceled and just made the extra drive to my bank! Only ppl in dire straits will pay $5 to withdraw $20.


This fee is only for non-Chase members that use Chase ATMs. How is there anything wrong with that?

There's nothing "wrong" with it, per se. I just voted with my feet and went elsewhere. They can do what they want but they shouldn't be surprised when most customers tell them to fuck off.

[QueenB4Liberty]

I never use atms that aren't tied to Bank of America.

[DamianTV]

I never use ATMs. I use cash. Go ahead and give me that look of absurdity, but it is my information and I will decide who I will share it with, and that is no one.