Saturday, May 7, 2011

How Sovereign Bank lost me as a customer with one letter

I just got the monthly statement for my Sovereign Bank business checking account. And this lovely notice was on the first page.

If you can't read the image, it says: "Beginning in June, non-customers cashing checks drawn on your Sovereign Bank business accounts will be charged a $5.00 fee by Sovereign Bank unless you have agreed to pay some or all of this fee." It then goes on to describe a non-customer as essentially anyone that does not have an account with Sovereign Bank.

$5 to cash a check? That seems very unreasonable. Is depositing a check into another bank account considered cashing a check? I don't think so, but it isn't entirely clear to me. I'm pretty sure this is aimed at people walking into a bank branch and converting a check to cash.

I don't actually write many checks. In fact, I think the only checks I write are to myself. So, I'm not going to get hit by this fee, but I've had enough of the large banks and their unreasonable fees. Sovereign Bank you've just lost a customer. Local banking, here I come!