The roadmap to repair the foundation of the traditional banking system while introducing a Future Bank 2.0 to foster a healthy consumer, community, and banking system must be championed by the financial services consumer. The current state of the consumer is riddled with many challenges including debt, the economy, job market, and falling home prices, and uncertainty in society. An additional challenge for the consumer has been the banks acting in their foreclosure methods and the reduction in outstanding lines of credit and increase in rates and fees without any notifications to existing bank customers including customers with excellent payment history and a good credit score.
In the broad stroke of banks raising credit card fees and rates, Ann Minch of California was a recipient to a rate increase in January 2010 from 12.99% to 25.49% on a Bank of America (B of A) credit card. Ann Minch worked through the proper channels of customer service at Bank of America to resolve the issue with no avail. The only useful information from the discussions with customer service is that Ann Minch suffered from a good payment history with the bank.
As a result, Ann Minch decided on a one person’s Debtor’s Revolt by refusing to pay any additional on the credit card until the rate is reduced by to 12.99%. The method of informing Bank of America and the whole was telling her story on You Tube. In addition, a letter was sent to then Bank of America’s CEO Ken Lewis a letter requesting for him to watch the video on You Tube. The outstanding balance on the credit card was $5934, but the consumer was maintaining $5000 in checking and savings. Both accounts were closed shortly by Ann Minch after the video posted on You Tube.
As a result of the You Tube video, the hits on the video were over 200,000 when the Senior Vice President of Existing Credit Services from Bank of America contacted Ann Minch. The result was Bank of America returning the credit card back to the original rate as requested in the video. Victory was achieved and change occurred by the power of one. Strength comes in number, and the addition of 10,000 or 100,000 pushing change could produce endless possibilities. The Berlin Wall stood for years and 1989 blew in winds of change as in a flash the wall was no more.
Posted by donnywise | Posted in DC Consumer and Banking Examiner | Originally Posted 04-13-2010
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