# BOA Customers



## TJMexico (Aug 22, 2013)

Hola,

You Bank of America customers may have noticed that on Nov 8, BOA started charging a 3% Foreign Transaction Fee on ATM withdrawals. Previously, all bank fees were exempt if your ATM card was used at Santander or Scotiabank.

At the current exchange rate, to withdraw $6,000 pesos, this fee amounts to about $14 US, not chump change over the course of a month or so.

Has anyone investigated this and found a way out of it. Wiring to a Mexico bank, is costly and pulling the money out reflects a far worse exchange rate than you are used to.

I am just looking for a way around this deal. The BOA terms of service always has said they have the right to charge of fee up to 1%, but they never charged for Santander or Scotia ATM withdrawals. Then, on Nov 8, they not only raised it to 3%, they started charging it as well.

Bottom line is that if you are a retiree living on USD that you withdraw in pesos, your stash just got reduced by 3%. You can do the math based on what you withdraw. It has always been more favorable, with no costs and a killer exchange rate, to move money in this way. 

Let me hear from you please. I need ideas.


----------



## Isla Verde (Oct 19, 2011)

Since moving to Mexico, I've had my two pension checks (one from US Social Security and the other from a private fund) direct-deposited to my BofA account. After BofA pulled this stunt, I called the US Embassy in Mexico City and arranged to have my SS check direct-deposited to my Santander account. After a month this has worked out well, with no fees being charged for withdrawal by Santander. I still have to figure out what to do about my other pension check, but since it's a small part of my income, I may just leave things as they are for the time being.


----------



## joaquinx (Jul 3, 2010)

Several people claim that after talking to their 'personal' banker at BofA, they got the fees waived. I can't believe this. I wrote to BofA twice and got the same answer - NO. I have a feeling that some tourists are getting some fees waived, but for us who reside in Mexico - NO. Isla did the right thing, but some of us still don't have the same trust in Mexican banks that she has. I am using xoom.com to make a monthly transfer to my Mexican bank. Others have opened or already had accounts with banks or CUs that offer better arrangements. To open a new account in the US, you need a NOB address and a NOB drivers license - that is some of them want that. For me, I have neither. If I can only save one dollar, I'll do it before giving in to BofA.


----------



## Longford (May 25, 2012)

There's chatter about this "fee" on all of the Mexico-specific English-language forums, from what I'm seeing ... including one appearing here on ExpatForum:

http://www.expatforum.com/expats/la-chatarrer/268161-b-santander-fee-change.html


----------



## Longford (May 25, 2012)

Isla Verde said:


> Since moving to Mexico, I've had my two pension checks (one from US Social Security and the other from a private fund) direct-deposited to my BofA account. After BofA pulled this stunt, I called the US Embassy in Mexico City and arranged to have my SS check direct-deposited to my Santander account. After a month this has worked out well, with no fees being charged for withdrawal by Santander. I still have to figure out what to do about my other pension check, but since it's a small part of my income, I may just leave things as they are for the time being.


Many expats are reluctant to direct deposit US funds into their Mexican Peso accounts. The vast majority of banks now operating in Mexico are owned by foreign financial institutions so the risks from the period in time when they were principally Mexican-owned are almost non-existent today.

It's been a while since I maintained bank accounts in Mexico, so I don't know if there are still US Dollar accounts or not. 

The belief and experience of many expats has been that due to the fluctuations in the value of the Peso it's best to keep funds in a US bank and withdraw somehow. I suppose somebody's done the calculation how the Peso's valuation changes compare to the fees now being charged by B of A and other banks. 

A 3% fee applied to a US$1,500 monthly withdrawal would be appro. US$45 if my calculation is accurate. Someone withdrawing US$2,500 in social security benefits would pay approx. US$75. Minimally, the conversion would amount to between MX$900-1,200 depending on the exchange rate. You can buy a lot in many parts of Mexico for MX$1200 per month.


----------



## TJMexico (Aug 22, 2013)

Isla Verde said:


> Since moving to Mexico, I've had my two pension checks (one from US Social Security and the other from a private fund) direct-deposited to my BofA account. After BofA pulled this stunt, I called the US Embassy in Mexico City and arranged to have my SS check direct-deposited to my Santander account. After a month this has worked out well, with no fees being charged for withdrawal by Santander. I still have to figure out what to do about my other pension check, but since it's a small part of my income, I may just leave things as they are for the time being.


Great post Isla Verde. One great thing about the BOA setup, in addition to the no fee from either bank thing is that you got a great exchange rate as well, often as much as $.50 centavos more per $1 US. That is pretty much wiped out by the 3% conversion, but if you are direct depositing into Santander, you are getting a lesser amount of pesos, if I understand it right, going into your Santander account when your USD gets converted upon receipt. I used the rate posted on the Santander windows to make this assessment.


----------



## Isla Verde (Oct 19, 2011)

TJMexico said:


> Great post Isla Verde. One great thing about the BOA setup, in addition to the no fee from either bank thing is that you got a great exchange rate as well, often as much as $.50 centavos more per $1 US. That is pretty much wiped out by the 3% conversion, but if you are direct depositing into Santander, you are getting a lesser amount of pesos, if I understand it right, going into your Santander account when your USD gets converted upon receipt. I used the rate posted on the Santander windows to make this assessment.


I took some money out of my Santander account a few days ago and got a great exchange rate. I have no idea if I would have gotten a couple of pesos more if I hadn't gone the direct deposit route, and frankly, I don't care.


----------



## emilybcruz (Oct 29, 2013)

joaquinx said:


> Several people claim that after talking to their 'personal' banker at BofA, they got the fees waived. I can't believe this. I wrote to BofA twice and got the same answer - NO. I have a feeling that some tourists are getting some fees waived, but for us who reside in Mexico - NO. Isla did the right thing, but some of us still don't have the same trust in Mexican banks that she has. I am using xoom.com to make a monthly transfer to my Mexican bank. Others have opened or already had accounts with banks or CUs that offer better arrangements. To open a new account in the US, you need a NOB address and a NOB drivers license - that is some of them want that. For me, I have neither. If I can only save one dollar, I'll do it before giving in to BofA.


I got my fees waived. But it was only $10.26 and it was a one time thing. I know they won't do that for me again.

To the OP, Capital One 360 and Charles Schwab both seem to offer a way around all these fees, but as joaquinx just mentioned, I believe you need to have a US DL and address.


----------



## Dperado1947 (Dec 10, 2013)

My saving and loan account charges $22.00 pesos for any amount. My BOA account is where my rental income goes. I agree, the 3% does grow to well over $400.00 USD over a years time. Lots of Pacifico.


----------



## TJMexico (Aug 22, 2013)

Isla Verde said:


> I took some money out of my Santander account a few days ago and got a great exchange rate. I have no idea if I would have gotten a couple of pesos more if I hadn't gone the direct deposit route, and frankly, I don't care.



LOL Isla Verde, I care.

For every $1,000 US one withdraws, if the exchange rate is $.45 pesos per $1 USD less as a Santander customer using a Santander card, as opposed to a BOA customer using a BOA card at a Santander ATM, that's $450 pesitos..

Nothing to sneeze at. Then it adds up if you go for $2,000 or $3,000 a month.

Just sayin'. $450 pays my Telmex bill and water bill.


----------



## Isla Verde (Oct 19, 2011)

TJMexico said:


> LOL Isla Verde, I care.
> 
> For every $1,000 US one withdraws, if the exchange rate is $.45 pesos per $1 USD less as a Santander customer using a Santander card, as opposed to a BOA customer using a BOA card at a Santander ATM, that's $450 pesitos..
> 
> ...


My "I don't care" comment referred to possibly losing a bit of money on the exchange rate every month by having my SS check direct-deposited to Santander not to the 3% charge now being imposed on withdrawals in Mexico by BofA.


----------



## CTkid (Dec 13, 2013)

*Citibank & Banamex*

A rep at Citibank tells me that if you have a Banamex account you can wire transfer money to that account from your Citibank account "at no charge and as often as you like". You could then withdraw from the Banamex ATMs at no cost.


----------



## TundraGreen (Jul 15, 2010)

CTkid said:


> A rep at Citibank tells me that if you have a Banamex account you can wire transfer money to that account from your Citibank account "at no charge and as often as you like". You could then withdraw from the Banamex ATMs at no cost.


I can confirm that. The transfers take place instantly. Technically speaking I don't believe they are called wire transfers, but I don't know what the difference is. The first time I did it, I had to call Citibank to confirm that I wanted to transfer the money. They told me that would not be necessary every time, but I have only done it once, so I cannot confirm that.


----------



## Anonimo (Apr 8, 2012)

TundraGreen said:


> I can confirm that. The transfers take place instantly. Technically speaking I don't believe they are called wire transfers, but I don't know what the difference is. The first time I did it, I had to call Citibank to confirm that I wanted to transfer the money. They told me that would not be necessary every time, but I have only done it once, so I cannot confirm that.


Several months ago, Banamex USA required that you phone them when you want to make a dollar to peso transfer. You can no longer do it via their website. A snail mail confirmation is then sent to your address of record. Seems to me a significant step backwards.


----------



## dallasteacher (Dec 29, 2013)

emilybcruz said:


> I got my fees waived. But it was only $10.26 and it was a one time thing. I know they won't do that for me again.
> 
> To the OP, Capital One 360 and Charles Schwab both seem to offer a way around all these fees, but as joaquinx just mentioned, I believe you need to have a US DL and address.


I have a Capital One 360 account and they told me there is a fee associated with this. 

I also had my BOA fees waived, but they said it was a one time deal. We send money every month, so I need to come up with a new plan. 

I have heard people mention Charles Schwab is it a sure thing?


----------



## Hound Dog (Jan 18, 2009)

_...I have heard people mention Charles Schwab is it a sure thing?....[/QUOTE][/I

It sure has been a sure thing for us for some 13 years since we retired to Mexico from the San Francisco Bay area. Outstanding service in every respect, Instant rebates on all ATM charges anywhere in the world. Never any openly disclosed or hidden fees imposed for any services provided. Free cash wire transfers anywhere at favorable exchange rates. Negotiation of any and all financial transactions via telephone or internet instantly accomplished at no cost from any location on the planet not constrained by U.S. political boycotts. The same service to rural Mexico as to Paris or Dawg´s native Alabama or, for that matter Ouagadougou, Burkino Faso. An unbeatable financial intermediary in our experience and no later reneging on promises made to obtain your account. You can have your BofA. That´s your backyard, not mine._


----------



## dallasteacher (Dec 29, 2013)

I necessarily fond of BoA, but until recently I was satisfied with them. I will look into Charles Schwab because I am not in the business of giving away my money.


----------



## geoffbob (Oct 24, 2010)

A couple of weeks ago while here in D.F. an emergency came up and I needed to contact both Charles Schwab and HSBC. The difference between night and day. I called HSBC's back of the debit card long distance collect # but never got connected. I had to go to a branch on Reforma but was told to go to another branch. I was shuffled to several different employees and had to return again days later to speak to yet more of them. I was kept waiting and fuming & smoldering. Charles Schwab, by contrast, picked up on the first ring and professionally and articulately did exactly what I needed. During the last four years I've had numerous contacts with Schwab that have convinced me that at least there is somebody among my providers who "gets it." Refreshing.


----------



## joaquinx (Jul 3, 2010)

geoffbob said:


> A couple of weeks ago while here in D.F. an emergency came up and I needed to contact both Charles Schwab and HSBC. The difference between night and day. I called HSBC's back of the debit card long distance collect # but never got connected. I had to go to a branch on Reforma but was told to go to another branch. I was shuffled to several different employees and had to return again days later to speak to yet more of them. I was kept waiting and fuming & smoldering.


Going to a HSBC branch in Mexico about a problem with your HSBC account in the US (or another country) is useless. The only thing both branches share is the name on the door. There is no exchange of services.


----------



## Longford (May 25, 2012)

Charles Schwab isn't a charity and in life we get nothing for nothing. I am certain that the company makes money off of people who have accounts there. One way or another, you pay. Good service from Schwab is a plus, no doubt. Kudos to the company for providing what people are paying for.

LW


----------



## Hound Dog (Jan 18, 2009)

[_QUOTE=Longford;2726874]Charles Schwab isn't a charity and in life we get nothing for nothing. I am certain that the company makes money off of people who have accounts there. One way or another, you pay. Good service from Schwab is a plus, no doubt. Kudos to the company for providing what people are paying for.

LW[/QUOTE]_

A brilliant surmise Longford. I had thought that Schwab was providing me service at reasonable cost because they liked The Dawg. As an ex-commercial and international banker for over three decades (I only did it because it was easy and even successful business people can be and more often than not, are, quite gullible and easily swayed by bankers´ sleight-of-hand) ), I had lots of money making tricks up my sleeve when a banker and know the cockroaches hide under the carpet but then, on the other hand, if Schwab was not making a profit at their endeavors, they would have been out of business years ago. 

Schwab, at least for the middle-class client, is the best in terms of cost and service that I have encountered. Cynicism gets you nowhere. Alertness takes you down the road on the smoothest pavement but there is no free lunch as we all know. 

By the way, I agree with the previous poster lauding Schwab´s customer service over the telephone which is free for me from anywhere in Mexico or France I happen to be at the time. Always and consistently rapid and outstanding and that matters a great deal when one is living outside of the United States and, perhaps, calling from a pay phone while on the road in the French outback and in desperate need of money after some ATM ate one´s debit card .


----------



## dallasteacher (Dec 29, 2013)

I am sure Schwab or any company, has to make money some how. I am a firm believer in, "you get what you pay for." I want to make sure I make an informed decision before I start making changes. I appreciate all the insights!!


----------

