Banks, Bank Of America | featured news

President Obama slammed Bank of America’s $5 debit card card fee in an interview with ABCnews.com and Yahoo on Monday, calling the charge “not good business practice.”

Another day, another new bank fee. As the uproar swelled over Bank of America Corp.'s planned $5 monthly charge for debit cards, megabank rival Citigroup Inc. was telling checking accounts holders that it would sock them with a $15 a month fee unless they maintain a balance above $6,000.

JPMorgan Chase & Co and Bank of America Corp were hit with new lawsuits by investors seeking to recover losses on $4.5 billion of soured mortgage debt, expanding the litigation targeting the two largest U.S. banks.

Bank of America will charge debit card customers a $5 monthly fee for using their plastic to make purchases starting next year, a move to recover recently reduced fees paid by merchants.

Moody's downgraded Bank of America's and Wells Fargo's long-term ratings and the short-term ratings of Citigroup, saying it believes the U.S. government is less likely to support the banks if needed.

Bank of America is to cut 30,000 jobs, or 10% of its workforce, over the next few years as part of a cost-cutting programme, the company says.

Bank of America Corp officials have discussed slashing roughly 40,000 jobs during the first wave of a restructuring, the Wall Street Journal said, citing people familiar with the plans.

The stressed relationship between Bank of America and Merrill Lynch just got uglier with the announcement today that Sallie Krawcheck, is leaving her post as head of Merrill Lynch’s global wealth management division.

Bank of America Corp is looking to sell its correspondent mortgage business and the unit's employees could be notified as soon as Wednesday, the Wall Street Journal said, citing people familiar with the matter.

Top Bank of America Corp lawyers knew as early as January that American International Group Inc was prepared to sue the bank for more than $10 billion, seven months before the lawsuit was filed, according to sources familiar with the matter.