In Order to Receive Benefits, Unemployed Must Pay Fees To Big Banks
According to a new study by the National Consumer Law Center, new debit cards issued to the unemployed are fraught with huge fees that enrich the big banks at the expense of our most vulnerable citizens. While the amount of fees vary state by state, in some states such as Tennessee, individuals are charged to withdraw funds from an ATM, to inquire a balance and to use the debit card at a store, leaving no possible option to avoid fees to withdraw their unemployment benefits. Other types of fees include overdraft fees and inactivity fees that can be as high as $10 to $20.
The debit cards which have now been adopted in 22 states, are not without some merit. Individuals who don't have bank accounts previously needed to go to check cashing stores in order to receive their benefits at rates much higher than the fees they are paying now. Of course not all of the unemployed are without bank accounts but all are subject to the fees.
So in a nutshell, after the big banks caused the greatest economic crisis since the Great Depression that resulted in millions losing their jobs and livelihoods, these same banks are now profiting on the unemployment benefits they receive.