STRATEGIC PARTNERS
October 31, 2002
CHARLOTTE, N.C. -- Fearing glitches that could irritate customers, Bank of America is abandoning efforts to convert its California computer system to the one used throughout the rest of the bank, according to a report in the Charlotte Business Journal.
The bank has repeatedly delayed converting California to its "universal" system since NationsBank bought BankAmerica Corp. in 1998 -- even though a single, seamless banking system was touted as one of the deal's advantages.
Because California is BofA's largest market, with 900 branches, the bank has concluded it's probably best not to alter the system at all.
Liam McGee, BofA's California president and of the bank's consumer banking business line, made the announcement following a recent speech in San Francisco.
"The biggest factor, the biggest risk, is that it's a huge market that's so important for us," said spokeswoman Juliet Don. "We really don't feel it's worth the risk, compared to what the benefit could be."
The California computer conversion had been delayed at least three times since the NationsBank merger in late 1998.
Don told the Business Journal that the company will continue looking at ways to eventually convert the system. Customers can still withdraw money at ATMs serviced by either system. But California customers can't do other banking transactions, such as making deposits, on ATMs in other states.
