Bank fee cuts into inmates’ savings

MONROE — Michael Dunlap will get out of prison Tuesday with no cash and two checks issued by Bank of America. One will be for $40, which the state gives most released inmates for immediate expenses. The other will be for $26 that Dunlap managed to save while behind bars.

"Every penny helps when you get out of here," said Dunlap, 35, who has served about nine months at the Monroe Correctional Complex for possession of methamphetamine.

But soon after stepping outside the prison and getting back his freedom, Dunlap may have to give up $5 of his $26 check just to cash it.

Bank of America, which has a contract with the state Department of Corrections, starts a new policy today of charging $5 for check cashing by those who don’t have an account at the bank.

The $40 check most inmates receive from the state on release is exempt from the charge, state officials said.

The fee applies to business-issued checks, not to personal checks, said Harvey Radin, a spokesman for Bank of America in San Francisco.

"It’s quite common in the industry," Radin said.

Like other banks, Bank of America has to charge the fee because cashing checks costs it time and money, Radin said, adding that the $5 fee is standard in the industry.

The fee, which applies to anyone who doesn’t have an account with the bank that’s cashing their check, can be a significant amount for inmates with little money, said Russell Clark, who has been locked up for five years in Monroe for possessing stolen property, firearms and drugs.

Clark, 48, said he has about $90 in his savings account at the prison. He works about 30 hours a week as a cleaner and earns about $55 a month.

"To save money is very difficult," he said.

Most inmates spend their money on cigarettes, coffee, candy bars and cosmetics such as shampoo and soap, said Clark, who expects to get out of the prison in late 2007.

On average, inmates have $50 to $100 in their prison savings accounts, said Karen Looney, an assistant regional business manager for the Department of Corrections. Inmates aren’t allowed to have an outside account, she said.

When inmates are released from the Monroe prison, state officials will take them to a local branch of Bank of America, but not to other banks because of the time and fuel involved, Looney said.

Radin said the bank might be able to waive the fee if an inmate’s check is less than $5. "We can work with people on a case-by-case basis," he said.

Dunlap said a friend will give him a ride Tuesday to Tukwila, where he will stay at a ministry house. He has no choice but to pay Bank of America’s $5 fee for cashing the check, Dunlap said, because he will need money for food.

He probably won’t be able to open an account at another bank, he said, because he will have only his prison ID and has a bad credit history.

Dunlap said he won’t complain about the $5 fee because it applies to everyone, not just inmates.

"It’s a burden, but it’s life," he said.

Reporter Yoshiaki Nohara: 425-339-3029 or ynohara@heraldnet.com.

Talk to us

> Give us your news tips.

> Send us a letter to the editor.

> More Herald contact information.

More in Local News

Customers enter and exit the Costco on Dec. 2, 2022, in Lake Stevens. (Olivia Vanni / The Herald)
Costco stores could be impacted by looming truck driver strike threat

Truck drivers who deliver groceries and produce to Costco warehouses… Continue reading

Two Washington State ferries pass along the route between Mukilteo and Clinton as scuba divers swim near the shore Sunday, Oct. 22, 2023, in Mukilteo, Washington. (Ryan Berry / The Herald)
Ferry system increases ridership by a half million in 2024

Edmonds-Kingston route remains second-busiest route in the system.

Firefighters respond to a 911 call on July 16, 2024, in Mill Creek. Firefighters from South County Fire, Tulalip Bay Fire Department and Camano Island Fire and Rescue left Wednesday to help fight the LA fires. (Photo provided by South County Fire)
Help is on the way: Snohomish County firefighters en route to LA fires

The Los Angeles wildfires have caused at least 180,000 evacuations. The crews expect to arrive Friday.

x
Edmonds police shooting investigation includes possibility of gang violence

The 18-year-old victim remains in critical condition as of Friday morning.

The Everett Wastewater Treatment Plant along the Snohomish River. Thursday, June 16, 2022 in Everett. (Olivia Vanni / The Herald)
Everett council approves water, sewer rate increases

The 43% rise in combined water and sewer rates will pay for large infrastructure projects.

Robin Cain with 50 of her marathon medals hanging on a display board she made with her father on Thursday, Jan. 2, 2025 in Lake Stevens, Washington. (Olivia Vanni / The Herald)
Running a marathon is hard. She ran one in every state.

Robin Cain, of Lake Stevens, is one of only a few thousand people to ever achieve the feat.

People line up to grab food at the Everett Recovery Cafe on Wednesday, Dec. 4, 2024 in Everett, Washington. (Olivia Vanni / The Herald)
Coffee, meals and compassion are free at the Everett Recovery Cafe

The free, membership-based day center offers free coffee and meals and more importantly, camaraderie and recovery support.

Devani Padron, left, Daisy Ramos perform during dance class at Mari's Place Monday afternoon in Everett on July 13, 2016. (Kevin Clark / The Herald)
Mari’s Place helps children build confidence and design a better future

The Everett-based nonprofit offers free and low-cost classes in art, music, theater and dance for children ages 5 to 14.

The Everett Wastewater Treatment Plant along the Snohomish River on Thursday, June 16, 2022 in Everett, Washington. (Olivia Vanni / The Herald)
Everett water, sewer rates could jump 43% by 2028

The rate hikes would pay for improvements to the city’s sewer infrastructure.

The bond funded new track and field at Northshore Middle School on Thursday, Oct. 24, 2024 in Bothell, Washington. (Courtesy of Northshore School District)
Northshore School District bond improvements underway

The $425 million bond is funding new track and field complexes, playgrounds and phase one of two school replacements.

Pharmacist Nisha Mathew prepares a Pfizer COVID booster shot for a patient at Bartell Drugs on Broadway on Saturday, Oct. 1, 2022, in Everett, Washington. (Ryan Berry / The Herald)
Everett lawmakers back universal health care bill, introduced in Olympia

Proponents say providing health care for all is a “fundamental human right.” Opponents worry about the cost of implementing it.

Lake Stevens Sewer District wastewater treatment plant. (Lake Stevens Sewer District)
Lake Stevens sewer district trial delayed until April

The dispute began in 2021 and centers around when the city can take over the district.

Support local journalism

If you value local news, make a gift now to support the trusted journalism you get in The Daily Herald. Donations processed in this system are not tax deductible.