Consumers heed call of ‘Bank Transfer Day’

SACRAMENTO, Calif. – Three months ago, many bank customers were fuming. They didn’t like big bailouts, and they didn’t like the $5 debit card fees that Bank of America and other institutions were rolling out.

Across the country, consumer activists and Occupy Wall Street groups alike urged customers to dump their old bank and switch to a new one. Through blogs, billboards and bullhorns, last Nov. 5 was designated as “Bank Transfer Day.”

So what was the result?

According to a recently released study, about 610,000 U.S. consumers jilted their existing bank and hooked up with a new one between October and December, specifically citing Bank Transfer Day as their reason.

That’s roughly 11 percent of the 5.6 million people who switched banks overall during the three-month period, according to Pleasanton, Calif.-based Javelin Strategy & Research, which tracks the financial services industry.

“In some ways, it’s an expression of populist anger at the banks. … It’s also because it’s still a very difficult economy and (people) are trying to save money wherever they can,” said Claes Bell, a Bankrate.com senior writer in Palm Beach, Fla.

Some left their bank for a credit union. Others opted for online banks or smaller community banks.

It’s not clear how big banks were affected by Bank Transfer Day. Wells Fargo reported a 3.2 percent net increase in consumer checking deposits for the fourth quarter last year, compared with 2010. Bank of America doesn’t break out statistics on consumer checking accounts in its annual report. Bank of America spokeswoman Betty Riess declined to comment on the impact.

The number of “angry bank-switchers” leaving their bank was nearly triple the number of people who walked out for similar reasons in 2010, Van Dyke said.

Bank watchers say consumers can expect more new fees, including the gradual loss of “free” checking.

Customers at national banks should “keep an eye out” for new fee schedules, Bell said.

“We’re going to see monthly fees gradually rise for checking accounts,” he said.