JPMorgan warns 86 million customers they might have to start paying for their bank accounts

Yahoo! Finance ^ | July 5, 2024 | Chris Morris

[Texan4Life]

Chase Bank customers could see some additional charges in the not too distant future.

The country’s biggest retail bank is warning that it might begin charging customers for their accounts. That would impact some 86 million customers.

The potential charges, says Marianne Lake, CEO of consumer and community banking at JPMorgan, are a result of new regulatory rules that cap overdraft and late fees. Lake says Chase will be passing along those increased expenses to customers, which would put an end to now-free services such as checking accounts and wealth management tools. And she says she expects other banks will follow suit.

[AlaskaErik]

44 years with the same credit union and no fees ever. I don’t understand why people use banks instead of a credit union.

[Soul of the South]

“44 years with the same credit union and no fees ever. I don’t understand why people use banks instead of a credit union.”

Many people who RV travel full time, or a large part of the year, use a large bank with national branch network (Wells Fargo, Bank of America) for the convenience of having access walk in branch services across a large geography.

[kaktuskid]

A lot of the CUs are a member of the Co-Op system, which means you have the same services as your local credit union.

[Sam77]

Not only are they screwing us with interest rates and mass surveillance, now they want us to pay for the privilege.

[EVO X]

44 years with the same credit union and no fees ever. I don’t understand why people use banks instead of a credit union.

I am long time CU member as well. I've never paid a fee but they do have them. The CC late fee is $25 and it is $6 per month if you don't keep $500 in checking. I am not sure what the overdraft fees are but the CU does offer overdraft protection if signed up for it. I suspect if the proposed rules go into effect, that would likely apply to credit unions as well..

[zeestephen]

SoFi would have qualified as a FinTech when it first opened for business, in 2011. It was 100% focused on reducing the cost of student loans.

Today, it is still exclusively online, but it has morphed into a Full Service financial company. In 2024, it would be difficult to find a financial business that SoFi is NOT in.

SoFi stock went public in late 2020. It peaked around $28 in early 2021. It has been trading in the $5-$10 range since early 2022.

They have a very aggressive acquisition and business development plan. Their Earnings Per Share have actually been negative over the last four quarters - not necessarily alarming for an aggressive company.

SoFi Debt-to-Equity is $3.4B-to-$6.8B, which is completely reasonable for an aggressive company.

My first impression...

All of their company and bank checks will clear. However, I would avoid SOFI stock.

[John S Mosby]

Thanks— they have wormed their way into the FDIC/Fed Reserve gamut, and into everything. BTW some of our leaseholders sent checks from Everbank and Ally— and they did not clear- we don’t allow those anymore.

People have been pushed into this type of banking by the “club” bankers imho— they want to get ahead as best they can, and most have fairly good credit, paying their bills even in this ridiculous concept of Yellen/Biden/chi-com economy. Be well, and thanks.

[AlaskaErik]

Many people who RV travel full time, or a large part of the year, use a large bank with national branch network (Wells Fargo, Bank of America) for the convenience of having access walk in branch services across a large geography.

I winter in Arizona and I travel with my RV and I've rarely had a problem that I couldn't handle with my computer or smart phone app. And for those rare occasions those don't work there's shared banking all over the country. And for surcharge-free ATM withdrawals there are over 55,000 Allpoint ATMs across the country. So no matter what, my credit union has me covered nationwide with no monthly fees.