Bank of America Will No Longer Offer Checks for Savings Accounts
Customers will no longer be able to use checks for their savings accounts at Bank of America starting in the next few months. Clients have been informed that they can no longer order checks for their savings accounts. In addition, payments processed as a check using a savings account may be rejected if presented on or after August 20, even if funds are available in the account.
This is a screenshot of the notice that was sent out, is posted on Reddit:
It is unlikely that many customers will be affected by the news. Bank of America said that the feature was rarely used. In Charlotte, only 1 percent of savings account holders wrote checks from their accounts, and those customers wrote an average of only four checks a year, according to the Charlotte Observer reports.
Bank of America says it wants to encourage customers to open savings accounts to store money and earn interest.
Bank of America was one of the very few banks that offered checks with their savings accounts. In addition, withdrawals from savings accounts may be restricted.
Since the FDIC announced in April, financial institutions will not be held responsible for enforcing the six withdrawal per month limit. If these limits have been lifted, you should check with your financial institution.
If you make more than six withdrawals in a month, you might be charged a fee.