Sanwa Bank Holds to Its No-Fee Policy

Ironically, it was Union Bank of California that founded the no-surcharge alliance of banks and savings institutions just last year, a fact it ballyhooed at a big press conference at the Hollywood Roosevelt Hotel. But there was no big press notice when this same institution, the third-largest bank in the state, decided to quietly join the enemy camp and begin surcharging [“Union Bank Decision a Blow to ATM Group,” Sept. 11].

We find this whole sorry episode especially galling since we participated in the press conference with Union Bank and became a charter member of the alliance, pledging to not add an extra fee on top of the fees already charged when a non-customer uses one of our 107 ATMs in the state. We renewed that pledge just a few months ago, only weeks before Union Bank’s stunning reversal, which is all the more shocking since it was the leading critic of the banks that were surcharging.

I also wanted to correct some misinformation in the article. There are more than 100 banks in the alliance, not just the three mentioned in the article, although two of the three--Sanwa Bank California and Bayview Financial--were charter members of the group. Most of the member banks are smaller community banks that well know the value of maintaining long-term and friendly relationships with customers.

As the largest bank member of the alliance now, Sanwa Bank California continues to offer consumers the no-surcharge option, as do the numerous other bank and credit union members. In total, the alliance has approximately 1,500 machines in California where consumers can get the cash they need without paying the extra fee so many banks are now requiring.

KEITH H. KARPE

Vice President, Public Relations

Sanwa Bank California

Los Angeles