Debit Card Fees Could Signal Trend

Some of the biggest U.S. banks have launched or are considering charging fees when consumers buy items with their debit cards. Some banks are also dropping rewards programs for debit cards. Wells Fargo has announced it will test a $3 monthly fee for debit card use for customers this fall in Georgia and four other states. SunTrust Banks launched new account offerings in June, including Everyday Checking, which levies a $5 fee per month for debit card use. More banks likely will follow in their footsteps because regulatory changes have eaten into bank fee revenue, said Ed Sibbald, a former banker and director of the Center for Financial Excellence at Georgia Southern University. Many community banks, online banks, and credit unions are among the fee-less competitors, but that might not last for long.

Atlanta Journal-Constitution (08/22/11) Trubey, J. Scott