Bank Interchange Revenue Grows While Deposit Service Fees Drops

While deposit service fees have been under pressure across the banking industry, interchange revenues on debit and credit cards have been steadily expanding, notes Sterne Agee. Matthew Kelly and team at Sterne Agee in their report dated September 4, 2014, note the industry will continue to attempt to recapture the lost revenues from deposit service fees. Drop in deposit service fees The Sterne Agee analysts point out that deposit service fees are respectively down 1% and 2% since 2012 at super-regional and regional banks.  As can be deduced from the following exhibit, while the industry has certainly seen a decline…