DIME bank, Nutley, New Jersey - Imposing of fees for CD beyond contractual agreement terms

# 30 for May 23, 2002

Complaints.com received the following consumer message on May 22, 2002:

From: Frank Zelna [Email User] RE: DIME bank, Nutley, New Jersey - Imposing of fees for CD beyond contractual agreement terms

I'm writing to inquire whether it is permissible to post-charge/post-impose a fee after a bank has already sold a consumer a fee-free Certificate of Deposit account. My situation involves the purchase of a fee-free CD at The DIME bank in Nutley, New Jersey.

I was informed by the PBR that another bank was in the process of merging/buying out their DIME and that no bad ramifications would be in store for me, the consumer. However, I returned a while later to discuss with 2 of their reps that I'd read in the new firm's literature that, upon closing out the account in the future, a $7 fee would be imposed for the privilege of their making out a check for me (this, be aware, is not the prevailing policy of The DIME, and, the official take-over is not until May 28th of 2002).

The only alternative, I'm told, would be to maintain a blistering high & unapproachable $10,000 total accounts minimum with the new bank or take the close-out funds in cash(which is dangerous). I once had an

IRA account with another bank, who at one point decided to impose a $25 custodial fee per year, but I determinded that I wasn't subject to it thru the end of my remaining 2-year term since my contractual agreement was prior to the new mandate.

Please check in to this matter for me & other consumers & reply to my email address at your earliest convenience, if this is a free service, as inferred by me. Thank you kindly.