Bank of America decides to back down on $5 debit-card fee

Associated Press

NEW YORK

Bank of America Corp. is scrapping its plan to charge a $5 monthly fee for debit-card purchases after outraged customers threatened an exodus.

The about-face comes as customers across the country petitioned the bank and mobilized to close their accounts in favor of credit unions and community banks. The outcry prompted other major banks, including JPMorgan Chase & Co. and Wells Fargo & Co., to cancel trial tests of their own debit card fees.

Bank of America reversed course after listening to an outcry from its customers. Anne Pace, a spokeswoman for Bank of America, declined to say whether there was a spike in account closures after the September announcement that it would start charging the fee early next year.