Banks Scaring Customers into allowing fees

Rip Off Alert: Chase and Bank of America are both trying to trick customers into "opting in" for rip-off fees, according to the NY Times.

Beginning this summer, banks will have to get your permission before they're allowed to show you a false balance at the ATM or approve debit transactions that will make you overdraw your account. Good news, right? Yes, but these two techniques generate tens of billions of dollars in fees and the banks are doing everything they can to get you to opt in.

To that end, Chase is sending letters to customers designed to scare them into allowing themselves to be ripped off.

"Your debit card may not work the same way anymore, even if you just made a deposit. Unless we hear from you,' the message, emblazoned in large red type, warns," according to the Times' report. "'If you don't contact us, your everyday debit card transactions that overdraw your account will not be authorized after August 15, 2010 -- even in an emergency,' with 'even in an emergency' underlined for emphasis."

When questioned by the Times about the letter, a Chase spokesman gave a laughable response.

"We have begun to reach out to customers and are encouraging them to sit down with a branch banker to make sure they understand overdraft services, which can be confusing. We want them to make an informed decision."

There's nothing confusing about it. You simply don't want to give your bank permission to rip you off!

Bank of America is trying similar ploys to hook people. Their employees are allegedly being re-educated so they know what spin line to pitch to customers who want to opt out.

Remember, these are two banks that only exist in the first place because of the generosity of taxpayers during the bailout! Unbelievable.