Today Fifth Third Bank will begin notifying customers of changes as of
Jan. 1, 2015 to its Early Access deposit advance service. Fifth Third
will make these changes to minimize disruption and provide an extension
of time for product availability for existing Early Access customers
while the Bank awaits alignment in the guidance offered by the various
regulatory bodies and continues exploring alternate solutions. The
product changes include:
-
Lower Cost: Fifth Third Bank is reducing the cost of the Early
Access transaction fee from 10% of the amount of each advance to 3% of
the amount of each advance.
-
Longer Maximum Repayment Period: Fifth Third Bank is increasing
the repayment deadline for each advance from 35 days to 45 days.
-
Reduced Maximum Advance Period: Fifth Third Bank is decreasing
the number of months that a customer may advance the maximum credit
limit from six months to three months. If the maximum credit limit is
reached for three consecutive months, the customer will be ineligible
for an advance for 30 days following the third month.
Complete
Terms and Conditions are available at 53.com/earlyaccess.
Fifth Third announced in January that it would no longer enroll
customers in its Early Access deposit advance service after Jan. 31,
2014 and that it would wind down service for existing customers by year
end. The changes announced today will allow customers currently enrolled
in Early Access to continue using the service as the industry awaits
aligned regulatory guidance on small dollar credit products. Aligned
regulatory guidance will help Fifth Third Bank determine whether or not
it can offer a permanent alternative product.
Fifth Third continues to proactively engage with key stakeholders to
review new options for what the Bank considers a clear and continued
need for small-dollar, short term credit solutions. A primary objective
is to serve customers within the traditional banking system, rather than
having them access less-regulated providers outside the banking system.
Fifth Third Bancorp is a diversified financial services company
headquartered in Cincinnati, Ohio. The Company has $134 billion in
assets and operates 15 affiliates with 1,308 full-service Banking
Centers, including 102 Bank Mart® locations, most open seven days a
week, inside select grocery stores and 2,639 ATMs in Ohio, Kentucky,
Indiana, Michigan, Illinois, Florida, Tennessee, West Virginia,
Pennsylvania, Missouri, Georgia and North Carolina. Fifth Third operates
four main businesses: Commercial Banking, Branch Banking, Consumer
Lending, and Investment Advisors. Fifth Third also has a 22.8% interest
in Vantiv Holding, LLC. Fifth Third is among the largest money managers
in the Midwest and, as of September 30, 2014, had $303 billion in assets
under care, of which it managed $26 billion for individuals,
corporations and not-for-profit organizations. Investor information and
press releases can be viewed at www.53.com.
Fifth Third’s common stock is traded on the NASDAQ® Global Select Market
under the symbol “FITB.” Fifth Third Bank was established in 1858.
Member FDIC.
Fifth Third Bank
Larry Magnesen (Media), 513-534-8055
Jim Eglseder (Investors), 513-534-8424