Commentary from Others

Bank of America previously “one of the only brick-and-mortar banks that offered free checking accounts to their customer.”  

After evaluating the opinions of other people from various sources, from what I gather no one sees the phasing out of eBanking as beneficial to a “poor customers.”

I had read a news article having statements from Maxine Waters the Representative for California. In the article, she has the following questions for chairman Moynihan to respond to one of the questions is “Given Bank of America’s obligations under the law, like the Community Reinvestment Act, please list all current products and services, along with any related fees and minimum balance requirements on them, which are marketed or otherwise offered to low-income consumers and communities in the United States," Maxine Waters. "Given this contradiction, I would like to understand the rationale behind this decision, which, given Bank of America’s national footprint, could increase the number of unbanked consumers nationwide," she wrote.

Based what I read from the article and the quotes I understand the position Maxine Waters is taking. Maxine Waters is a representative of California she is an advocate for women, children, people of color and the poor. Bank of America phasing out of eBank has affected various customers, but as shown in this discussion the many people affected are the low income. Representative Waters brings up great points about BoA obligations under the law. I did not know of such law until I begun this case study, so this has given me insight especially going forward. After reading a summary of the law I do wonder of BoA plans to fill the requirements now that eBanking is phased out. Another point to make note of from this article is Rep. Waters comment that based on the decision to phase out eBanking BoA has now indirectly opened the gate to unbanking customers.

"The debate over Bank of America's accounts and fees points to a larger economic justice issue — people with less income pay more to get cash, make payments, and conduct their business," Dory Rand, president of the Woodstock Institute, told the Tribune

“Poor people who are denied access to traditional bank services are left vulnerable to costly check-cashing outlets, pawnshops, and other predatory services. Kristen Clarke, Lawyers’ Committee for Civil Rights Under Law”

This quote helps display the outcomes of what could occur from the lack of eBanking a lot of customer seem to relay of eBanking. I understand the insight of Dory Rand although with both I am wondering why instead of attacking BoA they do not provide people with alternative banking. I agree the phasing out of the accounts has led to economic justice issues and those issues will continue in a different form whether or not BoA choses to adapt to times or supports a select few. Both Kristen Clarke and Dory Rand help support Rep. Waters statement about how BoA is failing customers. In addition, Mel San gives her insight on how BoA was perceived not only by her but by many others who trusted the bank and are saddened by their decision to neglected their low-income customers. Overall the opinions I have come across regarding the phasing out of eBanking accounts seem to all be negative in some matter. A lot of people are disappointed in the bank decision to create an exclusive atmosphere by subjecting a certain demographics "Bank of America was one of the only brick-and-mortar bank that offered free checking accounts to their customers. Bank of America was known to care for both their high income and low income customers," the petition's creator, Mel San, wrote in her description.