NAB customers to pay for US losses

Customers of National Australia Bank are being asked to pay for the bank’s poor investment decisions in the United States.

After reporting losses of over $3.5 billion over the failed Homeside business in the US, the bank has announced a number of fee increases to be effective early next year to assumedly try and recoup some of those losses.

The monthly account service fee for personal transaction accounts will rise from $4 to $6 effective 1 January 2002. And to avoid paying transaction fees customers will need a combined savings and loan balance of $35,000, up from $20,000. Direct debits will increase from $3 to $5.30.

Home loan monthly fees will increase from $6 to $8 and the fee for home loans linked to a 100% offset account will increase to $10 per month, all effective 1 February 2002.

Australian Financial Review, p37, 18/12/01