Bank of America profits rise despite charges

Bank of America today said first-quarter net income rose 11%, helped by growth in consumer lending, credit cards, investment and brokerage fees.

The financial giant said net profit rose to $2.68bn (€2.24bn) from $2.42bn (€2.03bn), and that revenue rose 7% to $9.69bn (€8.13bn) compared to the first three months of last year.

The results included a $285m (€239.1m) once-off charge related to a mutual fund issue to settle accusations that it allowed some clients to improperly trade mutual funds.

With the bank's recent purchase of FleetBoston Financial corporation, Bank of America now has 5,700 consumer offices with 33 million customers for its credit card business.