Bank of America's Employees: The Other Side of the Financial Crisis

The reports are damning.

For the first time, Bank of America workers are speaking out about how the bank's practices hurt customers and employees.

According to the Associated Press, Bank of America "encouraged" its employees to "burden consumers with debt and enroll them in high-fee programs." Fed up with these unsavory practices, Bank of America workers are speaking out.

What kind of pressure to sell products are employees under at banks like Bank of America? Here's what one former Bank of America employee said:

"From sun up until sun down, six days a week, I was under constant pressure to push products that were usually bad for consumers and were -- in my opinion -- unethical," said Gabby Ornelas, a former Bank of America Personal Banker from the Washington, DC area.

This is the other, hidden side of the financial crisis: bank employees had no choice but to push products that ended up hurting their customers.

Bank workers say they are routinely encouraged to push products on consumers that maximize fees, raise interest rates, and max out credit cards in order to meet ludicrously high sales goals. Worse, employees report they're told to target students, the elderly, and non-English speakers who are the most at-risk to end up paying huge fees.

Here's what the Los Angeles Times reported yesterday about what Bank of America workers are saying:

The former workers said they were going public to lay out what they saw as a little-known side of BofA's business model: encouraging working-class customers to sign up for high-interest-rate credit and cash advance services and structuring an array of check and debit card services to maximize overdraft fees and other charges.

Bank workers need our help to continue to speak out.

So what can you do?

Congress will soon debate financial reforms to protect consumers -- we need to make sure that those reforms also protect employees that sell the banks' products. In addition to giving bank workers a voice at work with legislation like the Employee Free Choice Act, new financial reforms need to protect both consumers from bad products, and employees who blow the whistle on bad practices at banks.

Sign the petition to make sure real financial reform protects both consumers and bank employees from big banks' anti-consumer practices. We'll deliver this directly to Members of Congress working on financial reform.

And if you're a Bank of America employee, please go to LetsTalkBanks.com and share your story about practices you see at work.

 

Follow Michael Whitney on Twitter: www.twitter.com/michaelwhitney

Comments

[BARRY08]

you are not alone ...

Bank of America encourages students to go into an overdraft by allowing pmts that system clearly viewss as overdrafts ( their excuse is that they consider them "good clients" ???? of course they do, they are taken them for a ride... that cost them US $ 35 per transaction they happen to provoke after creating the original overdraft which should not have been allowed in the first place )

In this world of great technology there is no reason for a bank to allow an overdraft to take place. If
customer is trying to use their debit card and there is not sufficient money in ther accounts ... it should be declined ...full stop, not accepted so as to be able to penalize them x whatever times they need to ... much later...

High time somebody came forward ...
perhaps they will investigate what goes on there ... and what the deal is with their online facility
which bears no resemblance to what really is going on in your account at any given time
items show up as fast as they disappear ....

under your very eyes within hours or days of balancing acts by whoever takes care of this service
which we understand has been outsourced ???

hoping this message is allowed to get through to someone who really really
cares, like the new Administration....

here is hoping...

[BARRY08]

This is not the only thing they push...

Bank of America encourages students to go into an overdraft by allowing pmts that system clearly viewss as overdrafts ( their excuse is that they consider client a good client ???? of course they do, they are 'suckers' who have to pay US $ 35 per every transaction they happen to provoke after creating the overdraft )

In this world of great technology there is no reason for bank to allow an overdraft to take place if
customer is trying to use their debit card and there is not sufficient money in ther accounts ... it should be declined ... not accepted so as to penalized them x whatever times later...

High time somebody came forward ...
perhaps they will investigate what goes on there ... and what the deal is with their online facility
which bears no resemblance to what really is going on in your account at any given time
items show up as fast as they disappear ....

under your very eyes within hours or days of balancing acts by whoever takes care of this service
which we understand has been outsourced ???

the pits,
hoping this message is allowed to get to someone who really really
cares, like the new Administration....

here is hoping...

[bleedingheartliberal218]

To re-establish confidence in the banking system, Wall Street thieves should be criminally prosecuted and imprisoned, especially the "Best and the Brightest"!

[WIpatriot]

Mr. Whitney, I have appreciated your work for many years...keep up the outstanding efforts of shining light in the dark crevices!

[thirdclasscitizen]

man o man, am i in the wrong business. who knew that when you did a horrible job that you would be rewarded?

[GHDiel]

The Whistle Blower Equivalence

The other side of the equation to free market enterprise and self-regulation is not the sole reliance on regulation by agency or governmental bureau, but robust, legally enforceable, generous 'whistle blower' rewards and protections. This is the self-serving equivalency of the personal gain incentive versus corporate, share holder, greed incentives. Both sides of the equation then appear equal.

Corporate entity, step out of line? Someone in YOUR organization, who knows the rules of the game, will be finely rewarded to show the error of your ways. Sleazy? Sure. But, apparently, that is how the game is played. You, corporate America, lobbied and made the rules. Now, live by them.

Sorry if this solution seems like a simplistic solution and rather morally sleazy...but hey, right or left, corporate America, this is the standard you live by and promote as solutions across the board to almost every issue, but only, if the solution is to YOUR benefit.

Live by the gun, die by the gun. You know, it's the 'eye for an eye' thingy.

[phree]

Let's use the cards as little as possible and deny them any profits. Don't use credit if you can avoid it. Pay cash and shun these usurious practices.

[Dodgeyaussie]

I absolutely detest B of A. I have been charged nearly $1700 over the last 18 months in outrageous overdraft fees for petty amounts, sometimes being caused by the withdrawal of other fees.

[BARRY08]

you are not alone ...

Bank of America encourages students to go into an overdraft by allowing pmts that system clearly viewss as overdrafts ( their excuse is that they consider them "good clients" ???? of course they do, they are taken them for a ride... that cost them US $ 35 per transaction they happen to provoke after creating the original overdraft which should not have been allowed in the first place )

In this world of great technology there is no reason for a bank to allow an overdraft to take place. If
customer is trying to use their debit card and there is not sufficient money in ther accounts ... it should be declined ...full stop, not accepted so as to be able to penalize them x whatever times they need to ... much later...

High time somebody came forward ...
perhaps they will investigate what goes on there ... and what the deal is with their online facility
which bears no resemblance to what really is going on in your account at any given time
items show up as fast as they disappear ....

under your very eyes within hours or days of balancing acts by whoever takes care of this service
which we understand has been outsourced ???

hoping this message is allowed to get through to someone who really really
cares, like the new Administration....

here is hoping...

[BARRY08]

you are not alone - tell me about it - most of my student friends go through this every day
it must be the easiest way for BOA to make money - like a lottery for them !
and nobody seems to care

if you think about it these charges x 4 or 5 a day - we are talking about a fortune really !
they are r o b bing us blind and nobody cares !

[BARRY08]

right , they are not allowing my messages through again...

it is all down to freedom of expression ... sad

[Dodgeyaussie]

"costumers" - Is that a cross between a customer and a consumer?

[passthesewords]

These are the same pratices used throughout corporate America (banks included). This applies to the Insurance Industry as well and without a Public Option for Health Care, employees in the insurance industry will be finanically rewarded, incented, compelled and promoted to increase revenue, increase stock holder equity. These are corporate Mantra's, "share holder value, increased revenue", the public good is not a Core Value of capitalism.
Some twenty years ago, I recommended a $1 monthly fee for ATM cardholders while working a major bank and today that is a billion dollar a year fee income stream for banks.