The era of free checking accounts is coming to an end. Many consumers will face an extra $144 a year in account fees, plus higher dues for their debit cars, and increased ATM charges, too. It's all part of a banking industry backlash against last year's consumer friendly financial reforms.
Think before you swipe. Fees at some ATMs are hitting $5 as banks seek to re-coup lost revenue over debit cards and overdraft charges due to federal regulatory changes.
It's still hard to diagnose how the overall economy will fare in 2011. But the signs for at least one area all seem to be pointing up: car sales. Analysts predict the number of vehicles sold next year will rise 10% to 23% above that of 2010.
Canada's banks fared well during the financial crisis and global recession thanks to their prudent management and the country's tough regulations. But what can they do with all the capital they've accumulated? Expand south of the border.
Two recent acquisitions by Canadian banks likely foretell that M&A activity among U.S. banks will only accelerate next year. Smaller banks that survived the financial crisis, but have few growth opportunities, are now attractive takeover targets.
Canada's second largest bank and private equity firm Cerberus Capital Management plan to buy automotive financial products and services company Chrysler Financial for approximately $6.3 billion in cash.
