Quantcast

Banks increase checking fees to counteract regulation

Published: Friday, Oct. 5 2012 11:27 a.m. MDT

Checking fees at banks are on the rise, with some increasing as much as 25 percent.

Amanda Lucidon, Deseret News

Enlarge photo»

Checking fees at banks are on the rise, with some increasing as much as 25 percent, according to Bankrate.

Recent regulation such as limiting overdraft fees and caps on debit-card swipe fees are causing banks to look elsewhere to increase revenues, Eben Jose, an industry research analyst with IBISWorld told Bankrate.

"That had a drastic kind of an effect on their revenue for retail banking," Jose told Bankrate. "They need to find a way to make up for these fees in other ways."

Seventy-two percent of Americans would think about switching should their banks increase checking account fees. Less than 1 percent of banks surveyed charge a card carrying fee, according to Bankrate.

To make up the difference, banks have collected more money by eliminating free checking accounts, increasing monthly maintenance fees, charging non-customers to use their ATMs, raising overdraft fees and cutting interest payouts.

EMAIL: sparker@desnews.com

TWITTER: @SeanRParker

Get The Deseret News Everywhere

Subscribe

Mobile

RSS