Disciplined Customers Bad for Banks
If you have a disciplined financial life, you don’t bounce checks or overdraw your account at the ATM. Sadly, banks don’t like you. You may find yourself hit with account maintenance fees or fired as a customer altogether.
Under the new rules, banks will have to refuse a transaction against insufficient funds and not impose a fee unless the customer “opts in” to automatic overdraft protection.
The result will be reduced revenue from overdraft fees. Banks will attempt to compensate by making all of us pay account maintenance fees on checking accounts that used to be free.
This is one reason why we are switching to a rewards checking account. The bank will make money on our account from our debit card transactions (ten minimum per month). I’m fine with that, particularly with the 3.78% interest rate.
I’m certainly not recommending that anyone “opt-in” to automatic overdraft protection. That is one safety net that makes zero sense. Instead, find a bank and account that values your entire banking relationship. If the bank wants to reward your disciplined financial behavior with more fees, find another bank.
To read more, here is a source: Consultant tells banks: “Fire” unprofitable clients who dont pay fees.