Bank of America Problems and Solutions
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Bank of America may be one of the biggest banks, but many customers find a lot of issues with their banking services. What are they? Keep reading.
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Like any major financial institution, Bank of America hasn't been spared from the wrath of countless irate customers over the years.
From excessive fees to fraudulent activities, a closer look at these problems may give you valuable insights and potential solutions.
Excessive Fees
Fees are a pain when you're working with a tight budget. Customers may encounter some fees and charges when banking with Bank of America like with most banks.
However, Bank of America has a history of "double-dipping" on returned transactions. This means some customers were charged an overdraft fee every time the same check or withdrawal could not be cleared because their account didn't have enough money.[1]
The Consumer Financial Protection Bureau (CFPB) formally took action against the bank in July 2023. It required BofA to refund all repeat non-sufficient fund fees collected since September 2018 (totaling approx. $80.4 million).
But in the first half of 2022, Bank of America did take steps to eliminate non-sufficient funds fees and reduced its overdraft fee from $35 to $10.[2]
Potential solutions:
Bank of America has an info sheet [3] listing all applicable fees and charges on their products and services. Make sure you're aware of these before you make a transaction. Here are some of them:
| Checking monthly fee | starts at $4.95 |
| Statement copy | $5 |
| Overdraft item | $10 |
| Rush replacement card | $15 |
| Out-of-network ATM use | $2.50 in the US, $5 outside of the US (excludes any ATM operator fees) |
Bank of America also discloses how you can waive some by meeting certain criteria like minimum daily balances or making qualifying direct deposits. But here are some general tips to minimize or avoid fees and charges.
- Avoid using non-BofA ATMs.
- Sign up for e-statements.
- Sign up for overdraft protection if eligible.
- Avoid rush card replacements unless it is urgent.
- Discover Bank:
Online Checking Account - Earn Cash Back - Axos Bank:
Rewards Checking - Up to 3.30% APY - UFB Freedom Checking & Savings:
Unlock Up to 4.21% APY - Quontic:
High Interest Checking - Up to 1.10% APY - Consumers Credit Union:
Free Rewards Checking - KeyBank:
Key Smart Checking® - $300 Bonus - Chase High School Checking℠:
$100 Bonus - CIT Bank:
eChecking - BMO Smart Advantage Checking Account:
Earn $350 Cash Bonus*
Low savings APY
Bank of America is not known to offer the highest rates on their deposit products. In fact, most of their rates are even lower than the national average.[4]
If you are looking to grow your savings, Bank of America might not give you the best APY.
Potential solutions:
With rates that leave much to be desired, you are probably better off with online banks and credit unions that often offer higher rates.
But if you prefer to keep banking with Bank of America, you might want to consider their CDs. Some CD terms offer better yields. But you need to be OK with a lock-in period.
Bank of America: Featured CD
| Term | APY |
|---|---|
| 7 Month | 3.80% |
| 10 Month | 3.45% |
| 13 Month | 2.75% |
| 25 Month | 2.00% |
| 37 Month | 0.11% |
Rates are for Pasadena, California (ZIP Code 91107), and may vary per location. Rates are for opening deposits of less than $10,000. Annual Percentage Yield (APY) is accurate as of March 14, 2025.
Bank of America: 7-Month CD - 4.00% APY
Rates are for Northeast Texas (ZIP code 75015), and may vary per location. Rates are for opening deposits of less than $10,000. Annual Percentage Yield (APY) is accurate as of March 14, 2025.
Bank of America: 7-Month CD - 3.80% APY
Rates are for Southeast Florida (ZIP code 33134), and may vary per location. Rates are for opening deposits of less than $10,000. Annual Percentage Yield (APY) is accurate as of March 14, 2025.
Bank of America: 10-Month CD - 3.45% APY
Rates are for Southeast Florida (ZIP code 33134), and may vary per location. Rates are for opening deposits of less than $10,000. Annual Percentage Yield (APY) is accurate as of March 14, 2025.
Bank of America: 10-Month CD - 3.45% APY
Rates are for Northeast Texas (ZIP code 75015), and may vary per location. Rates are for opening deposits of less than $10,000. Annual Percentage Yield (APY) is accurate as of March 14, 2025.
Bank of America: 13-Month CD - 2.75% APY
Rates are for Southeast Florida (ZIP code 33134), and may vary per location. Rates are for opening deposits of less than $10,000. Annual Percentage Yield (APY) is accurate as of March 14, 2025.
Bank of America: 13-Month CD - 2.75% APY
Rates are for Northeast Texas (ZIP code 75015), and may vary per location. Rates are for opening deposits of less than $10,000. Annual Percentage Yield (APY) is accurate as of March 14, 2025.
Bank of America: 25-Month CD - 2.00% APY
Rates are for Northeast Texas (ZIP code 75015), and may vary per location. Rates are for opening deposits of less than $10,000. Annual Percentage Yield (APY) is accurate as of March 14, 2025.
Bank of America: 25-Month CD - 2.00% APY
Rates are for Southeast Florida (ZIP code 33134), and may vary per location. Rates are for opening deposits of less than $10,000. Annual Percentage Yield (APY) is accurate as of March 14, 2025.
Bank of America: 37-Month CD - 0.11% APY
Rates are for Southeast Florida (ZIP code 33134), and may vary per location. Rates are for opening deposits of less than $10,000. Annual Percentage Yield (APY) is accurate as of March 14, 2025.
- CIT Bank Platinum Savings:
$300 Bonus - Discover® Online Savings:
$200 Cash Bonus - Western Alliance Bank:
High Yield Savings Account - 4.25% APY - UFB Portfolio Savings:
Earn up to 4.01% APY - Mission Valley Bank:
High Yield Savings Account - 4.27% APY - DR Bank:
High-Yield Savings Account - 4.25% APY - Paprika Capital Bank:
High-Yield Savings Account - 4.24% APY - Dayspring Bank:
High-Yield Savings Account - 4.22% APY - First Community Bank:
High-Yield Savings Account - 4.15% APY - RBMAX:
High-Yield Savings Account - 3.66% APY
- Western Alliance Bank:
High-Yield CD Rates - Up to 4.30% APY - Consumers Credit Union:
12-Month High-Yield CD - 3.90% APY - SkyOne Federal Credit Union:
12-Month No-Penalty CD - 3.90% APY - CIT Bank Term CDs:
Up to 3.50% APY - American First Credit Union:
12-Month High-Yield CD - 4.00% APY - Technology Credit Union:
5-Month No Penalty CD - 4.00% APY - Freedom Bank:
12-Month No-Penalty CD - 3.75% APY - Blue Federal Credit Union:
15-Month High-Yield CD - 3.55% APY - Quontic:
CD Rates - Up to 3.75% APY - Discover Bank:
1 Year CD - 4.00% APY
False Advertising
Bank of America also has a history of deceptive or misleading promotional practices involving the marketing of its credit cards.
The CFPB ordered the bank to fork over $100 million to all affected customers in July 2023 (which includes redress for double-dipping on fees and withholding credit card rewards).[5]
Also between 2010 and 2012, BofA telemarketers misled customers about their credit card protection plan offers. [6]
Potential solutions:
Before you sign up for any promos or a new account, make sure you confirm that you are indeed eligible for it and that you are on the right platform.
But if you don't get the perks of an account you were promised, the least you can do is communicate with the bank. If you don't get any resolution to your concern within a reasonable time, consider filing a complaint with the CFPB.
Fraudulent Transactions
Federal regulators have reports of unauthorized transactions using customer information at Bank of America. Specifically, they found instances of credit card accounts opened for clients without their permission.[7]
The CFPB says this was done by some employees to reach goals for a sales incentive program that started way back 2012. The good news is that Bank of America has paused this program as of July 2023 to avoid further misuse of customer information and has been reimbursing affected customers since then.[8]
Potential solutions:
Take proactive steps to safeguard your account. Make it a habit to check your accounts regularly. The sooner you spot any fraudulent activity, the more likely it gets stopped in its tracks.
Be vigilant against fraud outside of Bank of America too. For example, avoid accessing your online banking using free public Wi-Fi or unsecured networks.
Federal regulators fined Bank of America $225 million in July 2022 for wrongfully freezing accounts of many Californian customers due to a faulty fraud detection program. [9] This barred them from accessing their benefits during the COVID emergency, when they needed money the most.
Inconsistent Customer Service
Even a bank as big as Bank of America has room for improvement in its customer service. Complaints sent to the CFPB and other online reviews often mention slow response time from BofA customer support.[10]
A large bank will have a large number of customers so you might experience long wait times when trying to reach a representative over the phone. Moreso, an issue may not always be resolved immediately which can make customers feel unvalued and frustrated.
Potential solutions:
The BofA mobile app has Erica — an AI-powered virtual assistant who can address the most common questions. It can also help connect you via live chat with a specialist.
But take the time to read your deposit account agreement and Bank of America's FAQs. This can reduce your need to contact customer service.
You may also opt to visit a branch instead to discuss your concerns in person. But make sure you have proper documentation if you need to file a formal complaint.
Bottom Line
Banking with Bank of America can be convenient because of their presence nationwide. But there's always room for improvement to keep customers and regulators happy.
Bank of America Advantage Banking - $300 Bonus Offer
- The $300 bonus offer is an online only offer and must be opened through the Bank of America promotional page.
- The offer is for new checking customers only.
- Offer expires 05/31/2025.
- To qualify, open a new eligible Bank of America Advantage Banking account through the promotional page and set up and receive Qualifying Direct Deposits* totaling $2,000 or more into that new eligible account within 90 days of account opening. Bank of America Advantage SafeBalance Banking® for Family Banking accounts are not eligible for this offer.
- Once all requirements are met, Bank of America will attempt to pay bonus within 60 days.
- Additional terms and conditions apply. See offer page for more details.
- *A Qualifying Direct Deposit is a direct deposit of regular monthly income – such as your salary, pension or Social Security benefits, which are made by your employer or other payer – using account and routing numbers that you provide to them.
- Bank of America, N.A. Member FDIC.
Bank of America® Business Advantage Banking Checking Account - $200 Bonus Offer
- The $200 bonus offer is an online only offer and must be opened through the Bank of America promotional page.
- The offer is for new eligible business checking customers only.
- Offer expires 12/31/2025.
- To qualify, deposit $5,000 or more in New Money* directly into a new eligible Bank of America Business Advantage Banking account within thirty (30) days of account opening.
- Maintain an average balance of $5,000 in that new Business Advantage Banking account during the Maintenance Period**.
- Once all requirements are met, Bank of America will attempt to pay bonus within 60 days.
- Additional terms and conditions apply. See offer page for more details.
- *New Money is new funds deposited into your business checking account that are not transfers from other Bank of America deposit accounts or
Merrill investment accounts.
- ** The Maintenance Period begins thirty-one (31) calendar days after account opening and ends ninety (90) calendar days after account opening.
- Bank of America, N.A. Member FDIC
While the bank has already made progress in addressing some of its problems, it can't hurt to stay in the know as a customer. A bank's deed and misdeed could be the dealbreaker for you to decide whether to continue working with them or otherwise.
- Chase Total Checking®:
$300 Bonus - Discover® Cashback Checking:
Up to $30/Month Cashback - Axos Bank:
Rewards Checking - Up to 3.30% APY - UFB Freedom Checking & Savings:
Unlock Up to 4.21% APY - Quontic:
High Interest Checking - Up to 1.10% APY - KeyBank:
Key Smart Checking® - $300 Bonus - Consumers Credit Union:
Free Rewards Checking - Earn Up to 5% APY - BMO Smart Advantage Checking Account:
Earn $350 Cash Bonus*
References
- ^ Consumer Financial Protection Bureau. Practices of Bank of America, N.A. related to assessing multiple non-sufficient funds fees, Retrieved 08/04/2023
- ^ Bank of America. Bank of America Announces Sweeping Changes to Overdraft Services, Retrieved 8/9/2023
- ^ Bank of America. Personal Schedule of Fees, Retrieved 8/9/2023
- ^ FDIC. National Rates and Rate Caps, Retrieved 8/9/2023
- ^ Consumer Financial Protection Bureau. CFPB Takes Action Against Bank of America for Illegally Charging Junk Fees., Retrieved 08/04/2023
- ^ Consumer Financial Protection Bureau. CFPB Orders Bank of America to Pay $727 Million., Retrieved 08/04/2023
- ^ Consumer Financial Protection Bureau. Enforcement Actions: Bank of America, N.A., Retrieved 08/04/2023
- ^ Consumer Financial Protection Bureau. What's ahead for Bank of America and its customers , Retrieved 08/04/2023
- ^ Consumer Financial Protection Bureau.Federal Regulators Fine Bank of America $225 Million, Retrieved 08/09/2023
- ^ Consumer Financial Protection Bureau. Consumer Complaint Database, Retrieved 08/04/2023
Bank of America Advantage Banking - $300 Bonus Offer
- The $300 bonus offer is an online only offer and must be opened through the Bank of America promotional page.
- The offer is for new checking customers only.
- Offer expires 05/31/2025.
- To qualify, open a new eligible Bank of America Advantage Banking account through the promotional page and set up and receive Qualifying Direct Deposits* totaling $2,000 or more into that new eligible account within 90 days of account opening. Bank of America Advantage SafeBalance Banking® for Family Banking accounts are not eligible for this offer.
- Once all requirements are met, Bank of America will attempt to pay bonus within 60 days.
- Additional terms and conditions apply. See offer page for more details.
- *A Qualifying Direct Deposit is a direct deposit of regular monthly income – such as your salary, pension or Social Security benefits, which are made by your employer or other payer – using account and routing numbers that you provide to them.
- Bank of America, N.A. Member FDIC.
Chase Total Checking® - $300 Bonus
- New Chase checking customers enjoy a $300 bonus when you open a Chase Total Checking® account with qualifying activities
- Chase Mobile® app - Manage accounts, pay bills, send money to friends with Zelle® and deposit checks from almost anywhere.
- Chase Overdraft Assist℠ - no overdraft fees if you're overdrawn by $50 or less at the end of the business day or if you're overdrawn by more than $50 and bring your account balance to overdrawn by $50 or less at the end of the next business day*
- Help keep your money protected with features like Zero Liability Protection, fraud monitoring and card lock.
- Chase Total Checking includes FDIC insurance up to the maximum amount allowed by law.
- With over 4,700 branches, Chase has the largest branch network in the U.S. plus access to more than 15,000 ATMs.
- Open your account online now
- Available online nationwide except in Alaska, Hawaii and Puerto Rico. For branch locations, visit locator.chase.com.
U.S. Bank Business Essentials - $500 Bonus
Promo code Q2AFL25 MUST be used when opening a U.S. Bank Business Essentials, Silver, or Platinum Business Checking account. Limit of one bonus per business. A $100 minimum deposit is required to open one of the referenced accounts.
Earn your $500 Business Checking bonus by opening a new U.S. Bank Business Essentials or Silver Business Checking account between 4/3/2025 and 6/30/2025. You must make deposit(s) of at least $5,000 in new money within 30 days of account opening and thereafter maintain a daily balance of at least $5,000 until the 60th day after account opening. You must also complete 5 qualifying transactions within 60 days of account opening.
Qualifying transactions include debit card purchases, ACH credits, Wire Transfer credits and debits, Zelle credits and debits, U.S. Bank Mobile Check Deposit or Bill Pay. Other transactions such as (but not limited to) other Person to Person payments, transfers to credit card or transfers between U.S. Bank accounts are not eligible.
New money is considered money that is new to U.S. Bank. Funds must come from outside U.S. Bank and cannot be transferred from another U.S. Bank product or a U.S. Bank Affiliate. For accounts opened on non-business days, weekends or federal holidays, the open date is considered the next business day. Account fees (e.g., monthly maintenance, paper statement fee, etc.) could reduce the qualifying daily balance, therefore you must make deposit(s) to cover the fees to maintain the daily balance during the qualifying period to be awarded the bonus. Refer to the Business Pricing Information or Business Essentials® Pricing Information Document for a list of fees.
Bonus will be deposited into your new eligible U.S. Bank Business Checking account within 30 days following the last calendar day of the month you complete all of the offer requirements, as long as the account is open and has a positive available balance.
Offer may not be combined with any other business checking account bonus offers. Existing customers (businesses) with a business checking account or customers (businesses) who had an account in the last 12 months, do not qualify.
All regular account-opening procedures apply. For a comprehensive list of checking account pricing, terms and policies, reference your Business Pricing Information or Business Essentials® Pricing Information and YDAA disclosure. These documents can be obtained by contacting a U.S. Bank branch or calling 800.872.2657.
Bonus will be reported as interest earned on IRS Form 1099-INT and recipient is responsible for any applicable taxes. Current U.S. Bank employees are not eligible. U.S. Bank reserves the right to withdraw this offer at any time without notice. Member FDIC
Discover® Online Savings - $200 Cash Bonus
To qualify for Bonus: Apply for your first Discover Online Savings Account, enter Offer Code CY325 at application, deposit into your Account a total of at least $15,000 to earn a $150 Bonus or deposit a total of at least $25,000 to earn a $200 Bonus. Qualifying deposit(s) may consist of multiple deposits and must post to Account within 45 days of account open date. Maximum bonus eligibility is $200.
What to know: Offer not valid for existing or prior Discover savings customers. Eligibility is based on primary account owner. Account must be open when bonus is credited. Bonus will be credited to the account within 60 days of qualifying for the bonus. Bonus is subject to tax reporting. Offer ends 09/11/2025, 11:59 PM ET. Offer may be modified or withdrawn without notice. Due to new customer funding limits, you may wish to initiate fund transfers at your other institution. For information on funding, see FAQs on Discover.com/Bank. See advertiser website for full details.
CIT Bank Platinum Savings - $300 Bonus
- Transfer a one-time deposit of $50,000+ for a Bonus of $300
- 4.10% APY with a balance of $5,000 or more
- 0.25% APY with a balance of less than $5,000
- No monthly maintenance fee
- Member FDIC
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