After a backlash over fees, some banks are bringing back rewards to smooth things over
After a mass exodus of fed-up customers following the debit-card fee debacle last fall, some banks are hoping to woo back business or at least keep existing customers by reintroducing debit card rewards.
Here's how the program would work:
Say a BofA customer shops at a certain women's clothing store often. Based on that spending activity, when the customer logs on to check her account balance,
The new rewards program is currently being offered to BofA employees in select states who hold accounts with the company.
Following its disastrous announcement of plans to impose a
The pilot program is geared toward retaining customers and attracting new ones, BofA spokeswoman
But can the near-complete reversal in policy help BofA win back the hearts and minds of consumers?
We won't know for awhile. For now, the service is only available to BofA employees in
"Big banks are raising fees across the board and as they're doing so they're trying to find additional ways to give value to their customers," he says. "They're trying to get people excited about how much they can earn from these programs and try to camouflage the amount that they're also raising in fees at the same time."
Still, O'Malley thinks the move is a good thing both for customers and banks. "This is an exciting opportunity," he says. "Banks sit on a tremendous amount of data that they can use to help their customers find ways to save and earn more. Banks are finally waking up to the power of that data to both help their customers and provide more profits for the bank."
- Banks Revamping Rewards Programs to Woo Customers
- How to Master the Art of Negotiation
- 5 Ways to Stretch Your Grocery Budget
- Sneaky Coupon Strategies Consumers Should Watch Out For
- How to Battle Shopping Addiction
- Starting Off on the Right Foot Financially
- Awkward Questions You Need to Ask Your Financial Adviser
- How to Avoid an IRS Audit
- 50 Ways to Improve Your Finances in 2012
- How to Set 2012 Money Goals That Work
- 2012: Financial Resolutions Beat Out Health and Fitness
- Time to Make New Year's Financial Resolutions
- How Retirement Savers Can Benefit from New 401(K) Fee Disclosures
- 12 Great Money Apps That Save Time and Cash
- How to Live Happily on Less
- Do You Need Longevity Insurance?
- Why Big Banks Are Like Drug Dealers
- 11 Retirement Benefit Changes Coming in 2012
- 10 Ways to Stay Safe While Shopping Online
- Take Advantage of Free Shipping Deals This Holiday Season
- Working Into Your 70s: A Smart Retirement Move
- How Co-Workers Influence Your 401(k) Choices
- How to Find the Best Bank Account for You
- How to Keep Your Holiday Spending in Check
- How To Navigate the Bank Fee Storm of 2011
- Santa on a Budget? What to Tell Your Kids
- Young Adults Suffering More Financially than Older Generations
- Borrowing From the Family Bank
Personal Finance - Banks Revamping Rewards Programs to Woo Customers
(c) 2012 U.S. News & World Report