Banking charging unemployment debit holders a fee to withdrawal money at their own banks!

[Mothernature]

This is outrageous!

"...
This time, he was issued a Bank of America debit card — a "prepaid" card in industry lingo — but he was surprised to learn he had to pay fees to get his money. He asked the bank to waive them. It said no. That's when Santa-Maria called back to ask how to check his account online. He logged on and saw that the call cost him a half dollar. To avoid more fees, Santa-Maria found a Bank of America ATM at a strip mall and withdrew $80 at no charge. When he got back to his car, he decided to take out the rest of his money — $250 — and deposit it in his bank account.
Afterward, Santa-Maria logged on to his account and saw a charge of $1.50 for two withdrawals in one day...."


AP IMPACT: Jobless hit with bank fees on benefits - Yahoo! News

[beth119]

That is really really greedy.

I think that people should start boycotting Bank of America... aka THE bank of America...

[kas]

IMHO, the Feds and states might put those refund checks on a debit card and the banks will rip off more customers.

[tmsmalley]

Unfortunately, banks have always charged ATM fees, withdrawl fees, deposit fees, etc. Sometimes they're more upfront about them than other times, but even before ATM's, they've always charged fees.

Tess

[kval07]

Well ain't that something!! The big banks get billions of dollars and still find new ways to nickel and dime the people who have nothing!

[choka162]

Well on one hand, dude that sucks lol.

On the other hand banks aren't non-profit organizations. They run on fees, so it's not surprising when they charge them, especially when they've got people defaulting on loans all over the place.

...still sucks though.

[billig]

Why can't the unemployment people just direct deposit it into their bank accounts?

[luvmykitten]

I've used prepaid pay cards before. I don't think it's unreasonable to expect people to read the fee pamphlet. Usually you get 1 or 2 withdrawls for each deposit, you can check the balance free online, and you get one free balance check or customer service call on the phone for each depsit. These people are not used to prepaid cards I think and they are not reading the fee pamphlet. I thought that man had an awful attitidue I wanted to tell him to grow up! Honestly the customer service has always been very good. They always tell me I can check it online for free and would even walk me through the process.

There are EBT cards that the gov puts TANF payments on, if those are used an ATM that is not designated for that, they will be charged a fee. This isn't anything new and that is a government card not even a bank issued card.

[luvmykitten]

I just wanted to add that, with a regular checking account, it would be outrageous to charge a fee for withdrawing at their own ATM. I understand why that would be alarming.

With prepaid cards it is different. It's like you get so many free things for each deposit, and then after that you are charged. They also make the fees very clear. The fee schedules comes with the card, and it shows for each deposit you get one call in or on withdrawl, things like that. The ones I used had a monthly fee of $1.50 for maintaining the account.

[Ruddysgirl]

The problem I have, the STATE has the contract with the bank not the Unemployed person. This person has no choice in the matter.
From the posted article it does not state the unemployed can have it direct deposited in their bank account. I would bet the State got some money from the bank they have a contract with. This is so wrong.

In Riverside Co. Ca. I know with TANF payments, the customer has a choice to have Direct Deposit in their bank account or the cash portion put on their EBC card. It is highly recommended for them to have DD of the cash. They get it on the first when they do that. They stagger the cash payment on the EBC cards between the 1st and the 3rd so the ATMs don't get wiped out. That was at the banks request and the county agreed to it.
When we set it up it was a huge deal. I am retired from the county so I know how government works and you would all be shocked how they come up with the nonsense. Do you think they would listen to the people that do the work? Heck no, the ones in the Ivory towers are only looking out for themselves and what they get out of the deal. Sad but true! :shrug7: