New bank fees on the way
December 18, 2009 | alternatives, industry | Comments (2)Banks will make money one way or another. From the article:
Many banks are brainstorming ways to make money before a new federal law that limits overdraft fees goes into effect.
“Frankly what they’re going to do is they’re going to look at that law and they’re going to explore every opportunity they have to make more money,” said “Take Charge for America” financial counselor Mike Sullivan.
Sullivan said that includes hyping up credit card cash advance programs with 120 percent APRs and upfront fees.
Comments»
It is not for the government to tell independent businesses how much they can charge for their products or services. When a government has that power it leads to endless bribery and corruption, not to mention the errors of judgment which inevitably occur. That is called tyranny, as opposed to freedom, where prices are set naturally by the dynamics of supply and demand.
Our government took a fundamentally wrong turn when it abdicated its responsibility to help the needy and decided to try to force businesses to do so. If anything has ruined our economy it is the long-term effects of wage and price controls.
Wage and price controls plus overly complex and burdensome regulation, I should add, which discourages entrepreneurship.