Does Citibank’s New Monthly Fee On Low Balances Spell the End of Free Checking?
If you have an “EZ” or “Access” checking account with Citibank and your balance is starting to drop below the $2,000 mark, you might want to think about moving your money or getting a second job. Citibank has recently announced that it is reinstating the $7.50 monthly fee for any EZ or Access checking accounts that drop below $1,500. A Reward System for High Balances Citibank has stated that this change was implemented as a way to simplify the accounts and “recognize and reward” customers who maintain the necessary balance. This policy seems to effectively separate out lower income customers, and will likely cause many of them to go to other banks, as a $7.50 fee, adding up to a possible $90 a year, can be quite a financial burden, especially for those customers with accounts that have reached the $1,500 mark. Say Goodbye to “Free” Checking While this kind of “penalty for the poor” fee is currently not a common practice at most banks, if Citibank doesn’t lose customers as a result of t
