Nov. 6, 2008  Just 3 'superbanks' now dominate industry 

The financial crisis that has been sweeping the globe has reshaped nearly every 
corner of the economy, but no industry has been altered more radically than 
banking. Several of the nation's biggest banks have failed or been absorbed by 
healthier institutions, leaving three giant "superbanks" with an unprecedented 
concentration of market power: Bank of America, JPMorgan Chase and Wells Fargo. 


"Bank fees are going up, up, up, and that's the danger to consumers as more of 
these banks consolidate," says Sally Greenberg, executive director of the 
National Consumer League. "It's difficult for the average person to get a bank 
account that doesn't involve fees, and if you get into financial distress 
you're cooked, and you'll be 'fee-ed' to death." 


According to a recently released banking fee study from Bankrate.com, ATM 
surcharges rose 11 percent this year, and the fee for a bounced checks rose 2.5 
percent. 


In fact, existing federal banking laws say that no bank can have more than 10 
percent of the domestic deposit market - a threshold recently surpassed by all 
three superbanks. 

When asked whether the government would take any action, a Justice Department 
official was noncommittal.  


The Treasury is pouring some $250 billion of taxpayer money into healthy 
financial institutions, and some of that is being used by stronger banks to 
snap up weaker rivals. 

more here: http://www.msnbc.msn.com/id/27441147 

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