...Chase, Wells Fargo drop debit fees, BofA to adjust NEW YORK — Chase and Wells Fargo are joining the list of banks that won't be charging customers to use their debit cards, as the backlash over Bank of America's planned $5 monthly fee continues. The retail banking arm of JPMorgan Chase & Co. will stop charging $3-per-month fees for using debit cards when its current pilot in Wisconsin and Georgia is completed in November, a source with knowledge of the bank's plans told The Associated Press. The individual asked not to be identified because the bank has not officially announced the program will not go forward. Chase, which operates in 23 states, began its test in February. And it's not alone in rethinking its actions. Wells Fargo & Co. began a similar pilot in five states on Oct. 14, testing a flat $3 fee for using debit for purchases. On Friday it also announced that it is cancelling its test program. Other banks already have more widespread fee policies. SunTrust Banks charges $5 a month for debit cards used to make purchases, and Regions Financial Corp. charges $4. But it was Bank of America Corp.'s plan to start charging $5 per month that lit the issue on fire. The Charlotte, N.C.-based bank last month said it will begin assessing the fee in 2012. Banks are justifying the fees by stating that they need to recoup revenue lost to new regulations that limit the fees they can collect from retailers for handling debit card transactions. But the new fees sparked a...
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...Bank of America 3/12/12 History of the company: The bank of America has become one the most well known banks in the world. In fact this success is due to it several historical merges, especially with the bank of Italy, founded by Amadeo Giannini in San Francisco in 1904. The founder and president of Bank of America agreed to the merging on 1929. It operated under the name Bank of America, and in 1958 the bank harnessed the technology that lets credit cars to be linked directly to bank accounts by introducing bankamericard, and this was the progenitor of VISA. Bank of America first expanded to the borders of California with its acquisition of Seattle-based Seafirst Corporation in 1983. From this, the company expanded in Idaho, Arizona, Washington and Oregon, and it was the largest in history. In 1998, the company was purchased by NationsBank, which moved the headquarters to charlotte North Carolina. The bank suffered serious losses when the director was not able to pay back the large hedge fund it loaned. NationsBank structured the purchase as a merger and renamed the merged company the bank of America Corporation. The company had assets totaling 570 billion dollars, with 4800 branches situated across 22 states. It is currently the largest bank in the United States. Comentario [RN3]: I got lost with the dates during your presentation. There are some more here, but the history could have been made clearer with specific dates and actions. Comentario [RN2]: This sentence...
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...phone usage while driving. Credible Sources: Distracted Driving State Laws. (n.d.). Retrieved April 20, 2013 from http://www.distraction.gov/content/get-the-facts/state-laws.html Possible sources: Romera, L. (2012). Safe Driving and Standardization of Cell Phone Regulations. Knoxville Daily Sun. Retrieved April 20, 2013 from http://www.knoxvilledailysun.com/news/2012/september/cell-phone-regulations.html Should banks be allowed to charge fees for using Debit Cards? Explanation of Topic Two Selection I selected this topic because I think it is unfair for banks to charge additional fees for us to use debit cards. Audience: My audience includes all individuals who own/use debit cards for transactions and also the individuals that have accounts with a bank that charges them extra fees to use their debit card. Preliminary Thesis Statement: I completely disagree with the idea of banks being able to charge additional fees for members to use their debit cards. It seems to be an unnecessary inconvenience because individuals don’t want to have to go to the bank every day to withdraw cash to handle their daily expenses and bills; especially since nowadays a lot of bill pay is...
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...involvement and self-acceptance on an offer Measurement & Validation: Accurately measure & analyze results to gauge impact and incrementality Impact: Significant results & efficient pricing that enables a positive ROI model Privacy: Welcomed, non-intrusive communication that respects consumer.s privacy Now, consider today.s marketing options: - Mass Media (TV, Radio, Print) - Newspaper Inserts / FSI - In-Store Communications - Direct Mail (solo & co-op) - Database Marketing - Email Marketing - Social Media - Daily Specials Not one of today.s options are able to provide all the desired features. Introducing the age of transaction-based marketing. Debit and Credit cards have long been generating transactional data that personify and identify a cardmember.s purchase history. In the past few years, several companies have been working with Banks and Credit Card companies to fully leverage this data. Some credit card companies have been trying to do this themselves. This is an exciting, new tool for Marketers to consider. However, it is challenging to understand the similarities and differences amongst providers. Not all providers have been able to deliver all the features specified above....
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...Banking Bank of America Corporation is one of the Big Four banks in the United States servicing as an American multinational banking and financial service institution. It is the second largest bank holding company in the United States by assets and the fifth largest by total revenue. Bank of America operates in all 50 states of the U.S, the District of Columbia and more than 40 other countries. Its retail footprint covers approximately 80 percent of the United States population. It was founded in 1904 as the Bank of Italy until the merger of NationsBank and BankAmerica in 1998. Although Bank of America has had its share of success and the privileged to hold the title of the “Bank of America”; this institution has become less popular with its customers and potential customers. Bank of America leads the big banks in fraud lawsuit settlements. The bank meant to be for the people is now being talked about as one of the nations most scrutinized banks and for good reason. Bank of America has been under speculation because there is a lot of money that has not been accounted for. For instance, they received a $15 billion bailout in 2008 and a $25 billion taxpayer bailout January 2009 but they still didn’t pay any taxes in 2009 or 2010. Also in 2011 they didn’t pay any Federal income tax and got almost $1 billion from taxpayers. Bank of America has one of the longest corporate rap sheets among Wall Street big banks over the past several years. This bank has billions of...
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...Bank of America Case Questions: 1. What are the core business processes (high level; major business and financial services) performed at Bank of America as part of its product and service offerings? Core Bank of America Business Process: | Activities within the Core Process | Financial management/banking | * checking accounts * saving accounts * mobile banking | Lending/Borrowing | * mortgages * home loans * car loans * credit/debit cards * refinance | Investment | * life insurance * home/auto insurance * retirement guidance | Financing | * asset based lending * business loans * lines of credit * real estate financing * equipment financing/leasing | 2. List the sequential steps required in a typical ATM transaction, such as drawing out cash or transferring funds from one account to another, and briefly explain why each of these steps is necessary. Use a table to organize your response and do not overlook steps in the process that are performed either by the ATM system or by information systems housed within the Bank’s centralized data center. Steps by Customer | Steps by ATM System | Steps by other Banking Systems | Insert card | Recognize card | | Enter PIN # | Validate PIN # | Send BOA account info | Select Cash Amount | Confirm funds are there | Confirm funds are available for BOA | Pay withdraw fee | Inform customer of withdrawal fee | | Receive Cash | Send out cash | | 3. What does your interactions...
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...III MGT/521 September 19, 2011 Bud Stinson Business Analysis III Bank of America was formed through a merger between the Bank of Italy doing business in the San Francisco area and Bank of America operating mostly out of the Los Angeles area. The bank slowly grew from doing business in the California area to expanding across the country and eventually the world. Bank of America did not start growing into the large financial institution most people know it as today until the late 1980s. Bank of America grew through a series of acquisitions and mergers. The goal of Bank of America through these acquisitions was to become the number one bank in the United States. Bank of America is the largest bank holding company in the United States (National Information Center, 2001). Even though Bank of America has established itself domestically as a financial leader, the bank offers services to consumers around the world. Recent economic trends around the world have given Bank of America the opportunity to continue to expand the business. The economy has been sliding for some time now. To help the economy bounce back the FED will lower interest rates hoping to spur the economy. Lowering interest rates will not turn the economy immediately. The transition can be slow and take up to a year and a half. The FED began lowering rates dramatically in 2008 because of the bank credit crisis. The government spent hundreds of billions of dollars to put some liquidity back...
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...trillion in assets. Founded in 1852, Wells Fargo provides banking, insurance, investments, mortgage, and consumer and commercial finance. They do business with one in three U.S. households. Clearly Wells Fargo is a top player in the financial industry and they have had both ups and downs in the questioning of their ethics. Ethical issues in the financial services industry affect everyone, because even if you don’t work in the field, you’re a consumer of the services. The public seems to have the perception that the financial services sector is more unethical than other areas of business, this misperception persists for several reasons. First, the industry itself is quite large. It encompasses banks, securities firms, insurance companies, mutual fund organizations, investment banks, and mortgage lenders. Because of its vast size, the industry tends to garner lots of headlines, many of which are about their ethical lapses. But these ethical lapses do occur and not just in the financial industry. It becomes more noticeable with that industry because it is dealing with...
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...------------------------------------------------- Debit card A debit card (also known as a bank card or check card) is a plastic card that provides the cardholder electronic access to his or her bank account/s at a financial institution. Some cards have a stored value against which a payment is made, while most relay a message to the cardholder's bank to withdraw funds from a designated account in favor of the payee's designated bank account. The card can be used as an alternative payment method to cash when making purchases. In some cases, the cards are designed exclusively for use on the Internet, and so there is no physical card.[1][2] In many countries the use of debit cards has become so widespread that their volume of use has overtaken or entirely replaced the check and, in some instances, cash transactions. Like credit cards, debit cards are used widely for telephone and Internet purchases. However, unlike credit cards, the funds paid using a debit card are transferred immediately from the bearer's bank account, instead of having the bearer pay back the money at a later date. Debit cards usually also allow for instant withdrawal of cash, acting as the ATM card for withdrawing cash and as a check guarantee card. Merchants may also offer cashback facilities to customers, where a customer can withdraw cash along with their purchase. ------------------------------------------------- Types of debit card systems There are currently three ways that debit card transactions are processed: online debit (also known...
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...Team C selected Century National Bank data sets to analyze and research an issue or opportunity as indicated in Week 2 of the Team Assignment. The bank has been in existence for more than one hundred (100) years with a combination of great services with convenient banking options and extraordinary customer service. This bank focus is on being the best not necessarily on being the largest like its competitors Citigroup; which is one of the world’s mammoth banks and Bank of America; which is the largest is the United States of America. Team C research provides an explanation using central tendency methods preferably descriptive statistical method. This paper seeks to discuss the definition of the selection using quantifiable measures; discuss the steps of the business research, addressing the problem definition; the research hypothesis; the variables to be tested will be identified as well as the level of measurement and the measurement scale for each variable. According to John B. Taylor in November 2008, which states that, “the empirical research he presents in his paper strongly suggests that specific government actions and interventions should be first on the list of answers to all three questions that he posed, which were; What caused the financial crisis? What prolonged it? Why did it worsen so dramatically more than a year after it began?” Problem Definition Century National Bank is looking to gain business and...
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...Executive Summary The Great Depression was when America faced the worst economic catastrophe in history. It wasn’t until the nineties that the financial industry started to re-invent itself for the purpose of making more money. Banks became successful at modifying legislation and creating ventures that would profit investors. The level of risk involved with the securities produced was ignored. Initially, the securities that were built were not expected to fail. When the home loan industry began to breakdown it became clear that something needed to be done. Legislation that the financial industry was trying to avoid was necessary. The Dodd-Frank Act was enacted as a result. Introduction The financial industry is currently facing a number of challenges such as poor investment strategies, improper activities by lenders and poor ethical standards within investment companies. Over the last 3 years more than 200 financial institutions within the United States have ceased to exist because of the 2008-2009 credit crises. Restoring confidence in the financial environment has been an uphill battle since the credit crises began. Today banks that were not able to sustain operations are being acquired by others that are more stable which causes the long-standing institutions to become more risky. As a result the acquisitions are dramatically affecting the remaining banks and further weakening the finance industry. Banks have been searching for ways to boost cash flows with...
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...Cover Page Student: Melissa Zell Lee Internet Technology, Marketing, and Security Bus 508 Professor: John Theodore November 22, 2011 Heartland Payment Systems is known for fair, fully disclosed pricing and empowering merchants who like to take control of payments processing costs. More than 11 million transactions are processed daily with over $80 billion transactions a year, making Heartland the 5th largest payment processor in the United States and 9th in the world (Heartland, 2011). However, a data breach occurred last year in 2010 for Heartland which compromised tens of millions of credit and debit card transactions. Such figures make the Heartland incident one of the largest data breaches ever reported. In this paper I will analyze Heartland’s business, marketing, and security strategies and their response to this security breach as well as propose new methods of security to prevent future occurrences. Heartland is available to merchants 24/7 with a full customer support team. Additionally, their E3 end-to-end encryption solution is designed to protect cardholder data throughout the lifecycle of a payments transaction which helps business owners improve data security and reduce the cost of PCI compliance. Heartland uses end-to-end encryption because other technologies such as point-to-point encryption do not protect the data after the card is authenticated which leaves payment account data vulnerable to thieves who can use the data for fraudulent activity...
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...this will result in a decrease of profitability for all the firms in the industry. An example of this is in the Smartphone industry, there are only two real big players in the industry, Apple and Samsung, they own the majority of the sales in the industry. There are other developers that have some competition such as Motorola, HTC and BlackBerry, but Apple and Samsung own the majority of the market share. The next force is the bargaining power of customers. This is that the customers (buyers) can influence competition by putting pressure on price and quality. An example of this was when Bank of America implemented a monthly fee for customers to use their debit cards, many customers then closed down their accounts and joined a bank that didn’t have this charge. Because of many people starting to leave Bank of America, they had to remove the fee to hope to keep from more customers leaving the bank. The bargaining power of suppliers is similar to the last force but it is how the suppliers influence the price and quality that they give to the producer and ultimately influence the selling price of the product. An example of this is when the supplier of parts that were needed to build Boeing airplanes,...
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...Christopher de León Mizzou Online ID – 444531 crd3n3@mail.missouri.edu English 1000 Exposition and Argumentation The Resistance Toward ATMs It is widely believed that the Automatic Teller Machine (ATM) is a fusion of several different technological inventions throughout the early 1960s. Originating from Luther Simjian’s Bankograph, the ATM is intended to allow its users to complete basic transactions without the assistance of a bank teller (Automated Teller Machines, 2010). Today, many people actually resist the use of ATMs because of the cyber and physical risks associated with their use. This technology is widely opposed due to shortcomings on security, the increased cost of usage, and a non-existent human interface. Though the ATM was meant to provide and ensure users banking satisfaction, these limitations, through error and lack of immediate transparency, prevent the simplicity and efficiency that the machine was intended to provide. First and foremost, ATMs are a threat to the security of both the financial institutions and their account holders. There are three key vulnerabilities presented when using an ATM. There is a threat to physical security, a threat to virtual security, and the threat of fraud. Physical security is at stake given that a machine is somehow broken in to. If you take 5 minutes to scour the Internet, you will find a plethora of reports from various cities where ATMs were physically broken in to and robbed. In 2014 alone, over 619 explosive attacks...
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...Barclaycard time line 1950 Launch of the Travel and Entertainment cards by Diners Club this meant bills from Hotels and restaurants could be reimbursed by the issuer similar cards by American Express and Carte Blanche followed. 1958 Bank America launched the BankAmericacard 1965 Bank America had established a successful franchising system through marketing activities and establishment of large merchant network. customers were provided with a national and eventually an international network of service points which later became Visa credit cards were expanding rapidly. 1965 Barclays was the first UK bank to recognise the potential of credit cards. Barclays negotiated a franchise from Bank America at the end of 1965. After 6 months 30,000 retailers had signed up 29th June 1966 Barclays advertised all retailers’ names and addresses in the Daily Mail extending over eight pages this was successfully taken up by the adult population of Britain. 1966 Barclaycard had passed the milestone of one million Barclaycard Holders 1967 Barclaycard lead the world with the first operational ATM 1974 To eliminate much of the paperwork of the original systems and credit control systems such as telephone authorisation with credit control managed by floor merchant. Barclaycard turned to a fully automotive computer based system to speed up the processes 1977 Barclaycard becomes a founder member of the international Visa System Company Barclaycard (now Barclay business is introduced) ...
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