Think Twice Before You Swipe

New debit card fees stingBy: Simone TharkurBanks got bailed out, but not students. And now a new trend could cause you to dig even deeper into your pockets.Bank of America officials recently announced plans to charge customers a $5 debit card fee for purchases beginning early next year--and many are fuming.“I feel this is terrible! Banks shouldn’t charge us a fee for using a debit card that we put money on,” says Kendra Rivers, a CCNY student and Bank of America customer. “It’s unfair to us to have to pay a monthly fee, because we are using a convenient way to shop,” she added.Like Rivers, other City College students have a lot to say about this.Bank of America says that its customers will only be charged the fee if they use their debit cards for purchases in any given month. This change came from new federal debit card rules that took effect late September of this year. The rules have decreased the amount of money merchants can charge customers for ATM processing fees, which means less money for banks.Still, students are not worried about the fate of the banking industry; they’re more concerned about their own wallets. “This is unfair, taking money we [students] don’t have,” says Clara Thomas, a history and anthropology major at CCNY. “Banks already have fees for us having an account. Why should we pay more?”Especially now. “Most students can’t afford cheap meals much less an extra five bucks for ATM fees. This may not seem like a lot, but it adds up,” says Thomas.Students are afraid that Bank of America will not be the only bank making the changes.  And with good reason: news reports have suggested that other banks will follow suit. “I think that this will give ideas to other banks and businesses and soon everything will have fees,” says Dalliana Toussaint an English major at CCNY.Chase and Wells Fargo banks have been testing a $3 monthly debit card fee in select markets, but neither bank has made the fee permanent.So what will students do now? “If my bank were to charge me a $5 fee for buying something, I would switch banks, or just use cash,” says Toussaint who banks with TD.  Students hate the idea of “losing money for no reason without any extra benefits or protection,” says Thomas. The frustrated Chase user confesses, “I’m afraid of having to switch to another bank.”Even banks that ignore the trend, have found other ways to milk money from customers. Bankrate.com reports that banking fees have increased nationwide for the seventh consecutive year. Banks such as PNC, US Bank and Citizens Banks continue to increase foreign ATM transaction fees annually. Other banks charge extra fees for paper statements, deposits and ATM maintenance fees.With all of these fees, students like Toussaint can’t help but wonder, “How will we pay for things?”