New-account openings have increased noticeably—and in some cases, dramatically—for some smaller, Inland Northwest-based financial institutions in recent weeks.

That quickly developing trend, some say, is tied directly to Bank of America's announcement in late September that it would start charging debit-card fees. Others say it's due to a culmination of changes in the banking industry that are prompting consumers—and in some cases, small businesses—to switch banks and credit unions.

Traci McGlathery, community relations manager at Liberty Lake-based Spokane Teachers Credit Union, says that through October, new-account openings at STCU were 50 percent above its norm. The credit union currently has about 98,000 members, and in a typical year, its membership increases by 7 percent to 9 percent. For the year, McGlathery says the credit union is on pace to have above-normal membership growth.

In response to the volume of activity, STCU temporarily is waiving its $20 initial membership fee for customers who activate accounts online, rather than coming into a branch to do so, McGlathery says.

"The new members, they are coming with multiple accounts," she says. "They aren't coming with one type; they are coming with a portfolio."

Kelli Hawkins, spokeswoman for Spokane Valley-based Numerica Credit Union, says that organization is seeing increased activity as well. In many instances, she says, the activity is from established customers who are seeking an expanded role with the credit union.

"We're getting a lot of members who have a loan or a savings account, and now they're adding checking," Hawkins says. "They are making us their primary financial institution."

The increase in new-account activity isn't exclusive to credit unions. Greg Deckard, president and CEO of Spokane Valley-based State Bank Northwest, says that bank has had an increase in new accounts and deposits, both from consumers and from small businesses, during the past 18 months. In the third quarter alone, the bank's total deposits increased 8 percent, he says.

Deckard serves on the board of directors for the Independent Community Bankers of America, and that organization met in Coeur d'Alene late last month.

"Talking to bankers all over the country, they are seeing an increase in disenchantment with larger banks," he says.

David Bennett, the Federal Way, Wash.-based director of public relations for the Northwest Credit Union Association, says the trend in new-account activity isn't anything the organization can substantiate aggregately yet.

Anecdotally, however, many of the organization's 200 member credit unions in Washington and Oregon are reporting increases both in new members and new accounts among established members. Its largest member, Boeing Employees Credit Union, has reported record membership growth in recent weeks.

There isn't any data that show where those new customers held accounts previously, Bennett says. However, that activity started with a spike of new accounts in the two or three days following Bank of America's Sept. 29 announcement that it would start charging a $5-a-month fee to debit-card users, he says. The fee was in response to a change in federal regulations that capped—and cut dramatically—the amount banks with more than $10 billion in assets could charge in debit-card fees to merchants.

Bennett says the trend is similar to what he witnessed at the end of 2008 and through the end of 2009, when some banks were reporting financial troubles.

"This one is a little bit different," he says. "It's the same general situation, but in this case, it seems to be driven more by anger than a fear of instability. They are angry about those fees."

Transferring accounts to another institution can be complex, but some banks and credit unions have developed what the industry calls switch kits, which it gives to new customers so they can transfer automatic withdrawals and direct deposits more easily.

Bennett concedes that consumers don't make the decision to change banking relationships capriciously, but he asserts, "People are genuinely upset, and a lot of times, anger will trump any kind of fear."

While more financial institutions eventually are expected to charge fees for debit-card usage, most say they don't expect it to become a common practice any time soon.

State Bank's Deckard says, "There are 7,000 banks in the country of all sizes and unique business models, and many of us aren't reliant on debit-card income to fulfill our strategic objectives."

McGlathery says credit unions typically are averse to adding new fees. STCU charges nonsufficient-funds fees and similar charges, but generally speaking, she says, those fees can be avoided if a member is fiscally responsible.

Hawkins concurs. "That's not our plan."

Bennett says he'd be surprised if any credit unions began charging debit-card fees any time soon.

He adds, however, "A year ago, I wouldn't have guessed that Bank of America would be doing it."