“Scammer banks?”

Despite the public outrage about increased banking fees, the National Commercial Bank (NCB) and Scotiabank are still going full speed ahead with their plans. 

Justice Minister Delroy Chuck have likened banks to cartels and Senator Lambert Brown has called the fee increase terrorism. Many Jamaicans have shared similar sentiments about the change. Karl Bent, a customer of one of the above-named banks thinks the fee hike is too much. “In Jamaican terms, dem too tief. We’re in a pandemic, people are losing their jobs and other sources of income and to add to that, [there is the] increase in banking fees. My gosh! Give us a break,” Bent said. 

Wilton Richards, a bank user, feels the timing for fee increases is wrong. “I feel it has come at a wrong time considering price increases, job losses, reduced wages, unemployment. Though there’s the argument that operational costs for banking is high I do believe it should have been phased in,” Richards said.

Leonie Wellington, another customer said this. “Citizens are already being milked at the gas pumps, high cost for food and utility bills. We are already paying charges. Why increase when [the] public sector can’t get their desired increase from the government?”

Amid the bank fee increase, Jamaicans have seen other increases, namely the price of chickens which took effect at the end of last month and higher electricity bills. 

Opposition MP Fitz Jackson has called on the JLP to support the amendment of the Banking Act considering what is now happening. In 2018, Jackson tabled a motion for the amendment of the Banking Act which saw 30 JLP MPs voting against and 29 PNP MPs voting for the amendment. The amendment of the Banking Act would facilitate the regulation of bank fees. 

National Commercial Bank’s new fees came into effect on 3 January. Customers holding current accounts must pay $25 per withdrawal after their first four free transactions. Savings account holders must pay $35 after their two free transactions. Point of sale transactions also attract a fee of $13.95. 

In response to the public outrage, NCB has since then announced, ‘On the Go Lite’, a new type of account which will not attract any ATM or point of sale charges. This type of account is like its ‘Quick Save’ account which exempts account holders from some charges. The bank has also decided to drop their $350 fee for changing cheques valued at $15,000 or less. Despite this, the majority of NCB customers are savings account holders and so they will be most affected by the fee increase. 

Scotiabank on the other hand, has delayed their fee increases which was originally supposed to take effect on 1 February by six months. When in effect, transactional account holders will pay $25 and savings account holders will pay $50 for ATM withdrawals. For point-of-sale transactions, customers will pay $13.25.