Customers Would Abandon Debit Cards to Avoid Fees: Survey

Only 3% of consumers would continue using their current debit card if a fee were imposed, according to the results of an online poll released Tuesday by the National Foundation for Credit Counseling.

The survey of 2,404 people, conducted in October, also found that 62% of participants would find a bank that doesn't charge debit card fees. Another 22% said they would begin paying with cash while 8% said they would start paying by check. The remaining 5% said they would begin charging their purchases on a credit card.

Banks have backed away from charging their customers debit fees. Bank of America said Tuesday that it would no longer levy a $5 debit card fee due to customer feedback and the changing competitive marketplace.

SunTrust Banks Inc. and Regions Financial Corp. said Monday that they would discontinue their monthly fees and refund money to customers who had already started paying to use their debit cards. Wells Fargo & Co. and JPMorgan Chase & Co. both cancelled tests of similar fees last week.

Banks began raising prices on their basic checking accounts in response to regulations cutting debit card interchange.