Banks Test Debit Card Fee

Northeast Cobb Wells Fargo Bank and Suntrust customers will soon be paying to use their debit cards. Clark Howard announced Wednesday that Wells Fargo Bank was testing a $3 debit card fee in Georgia starting Oct. 14.

Suntrust customers have received notice by mail and email that the free checking is being eliminated, and a $5 debit card monthly fee established, as of Nov 1.

Both Wells Fargo and Suntrust won't charge you for carrying a debit card and can still use it fee-free at the bank's ATMs. If you use the card for a point-of-sale purchase, no matter whether you select "debit" or "credit," you will be charged the monthly fee.

JP Morgan Chase is charging a $3 fee in Wisconsin with plans to expand the fee nationwide. Regions Bank is charging a $4 monthly debit card fee.

How can bank customers, frustrated by fees, avoid paying for an account?

One way is finding a banking option at Bankrate.com.

Credit unions and community banks are also great places to go, according to Howard.

"The giant monster mega-banks, as a general rule, are having a hard time financially. So naturally, they're looking to take advantage of loyalists. They will reward loyalty by coming up with some new way to separate you from your money," said Howard.

Howard's advice is this: If you can't handle plastic, what is the monthly activity fee on cash? Zero. If you can't handle credit cards, go cash only.

If and when you change banks, read the fine print. Some banks require that you keep an average daily balance to avoid paying fees. Some banks have limitations on the number of transactions; you may be required to stay under or go over a certain number of transactions to not pay fees. 

How do you feel about the debit card fee? Will you still use your debit card? Are you changing banks? Tell us in the comment box below.