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Bank of America Gouges Poorest Customers, One Month After Billion-Dollar Tax Cut

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Consumer advocates and banking customers are expressing outrage after an proclamation by the Bank of America that it would start charging fees to account-holders who say low balances.

The decision, announced Monday, comes a month after the Republican taxation law gave the bank an approaching $3.5 million taxation break, and reduction than a week after it posted $2.4 billion profits in the last entertain of 2017.

Critics argued that such news should hoard at slightest as much courtesy as the bank’s proclamation last month that it would use some of the financial asset to give its 145,000 employees a one-time reward of $1,000 each—a comparatively tiny apportionment of its taxation savings.


Bank of America’s free online checking accounts—popular with low-income customers—will now be theme to $12 monthly fees unless the patron has a approach deposition of at slightest $250 per month or maintains a change of at slightest $1,500.

Those impacted by the change will be the very people likely to overdraw their accounts due to their low wages, disagree critics.

The fees could also drive business divided from banking altogether, adding to the 9.6 million Americans who don’t use a bank account—forcing many to rest on check-cashing services, which can finish up costing them hundreds of dollars annually.

Nearly 49,000 people had sealed a Change.org petition by Tuesday demanding that the bank recur its decision.

“Many low income families do not meet these requirements,” the creator of the petition wrote of the new fees. “There have been times where I’ve only had $10 to my name. That wouldn’t even cover the upkeep fee.”

A low-income comment that charges only $4.95 per month will be accessible to customers, but those accounts come but paper checks, making them off-limits for people who use checks to compensate bills and other necessities.

While tens of thousands have sealed the petition, some business announced they had had adequate of the bank’s astray practices and would be shutting their accounts in criticism of the new policy.

Julia Conley is a staff author for Common Dreams.

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