Morgan Chase will not charge its customers a$3monthly debit card fee after testing the charge inWisconsinandGeorgia, according to numerous media reports today. The bank is abandoning its plans following widespread protest from consumers over debit card fee proposals.

Consumers Union, the nonprofit advocacy arm of Consumer Reports, today commended Chase for its decision and reiterated its call on Bank of America to end its plan to charge a$5debit card fee beginning in 2012.

"Consumers Union has heard from thousands of consumers across the country who are outraged that Bank of America is instituting the$5monthly debit card fee," saidNorma Garcia, manager of Consumers Union's financial services program. "Its time for Bank of America to listen to its customers who are saying loud and clear: drop the fee or we'll drop you. All banks that are considering debit card fees should ditch those plans."

SunTrust has also started rolling out a similar debit card fee and Wells Fargo has been testing one in select markets. Earlier this month, Consumers Union called on Chase, Bank of America and these other banks to abandon plans to charge customers a fee for debit card purchases.

"It's unfair for banks to stick consumers with a monthly fee just to use their own money," said Garcia. "The banks that charge debit card fees risk losing customers who are fed up with financial institutions that got bailed out that are now turning around and hiking fees."