A growing list of banks are against debit fees. JPMorgan Chase has decided it will not charge customers fees for using their debit cards for purchases, joining a growing list of banks that are against the lead of financial giant Bank of America, which announced a $5 monthly fee last month.
JPMorgan Chase, Citigroup, U.S. Bank, PNC Financial, and Key BANK have confirmed they are not planning to charge customers debit card fees when they make purchases.
JPMorgan Chase, the largest bank in the country by total assets, began testing a $3 fee in parts of Wisconsin and Georgia in February. However, the bank decided it won’t roll out the fee to the rest of the country, as first reported by the Wall Street Journal.
A person familiar with Chase confirmed with ABC News that it is not planning to charge debit card fees due to customer preferences.
Bank of America, the second-largest BANK in the country, announced at the end of September that it will charge a $5 monthly debit card fee starting early next year. The announcement led to outcry among consumers, including a petition against the banks plans. The petition had over 153,000 signatures from irate customers across the country.
Bank of America CEO Brian Moynihan told ABC News earlier this month that the fee “is meant to provide great service” and that customers with a balance greater than $5,000 will be exempt.
Wells Fargo began testing a $3 “activity fee” on Oct. 14 with customers in Georgia, Oregon, Nevada, New Mexico and Washington making a purchase or payment with their debit card, according to spokeswoman Richele Messick.
However, many national banks offer checking accounts without fees. Smaller, community banks and credit unions have touted those services and free debit card services. The more than 7,000 credit unions across the country have seen an increase in new members since Bank of America announced its fee.
Many banks have said their fee-free plans were not related to the backlash against Bank of America over its debit card fee announcement. Citibank announced it was not planning to charge debit card fees on Sept. 16, based on customer feedback.
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