eTrade 2005 Annual Report Download - page 48

result of credit losses in certain investment securities secured by manufactured housing loans. These impairments were not indicative
of a specific issue with our investments, but rather an overall deterioration in the manufactured housing loan market.
Service Charges and Fees
Service charges and fees increased 39% to $135.3 million in 2005 compared to $97.6 million in 2004. The 2005 increase was primarily due
to increases in account service fees of $27.5 million in 2005. The increase in account service fees is due to an increase in account
service fees charged from $25 to $40 per quarter, beginning the first quarter of 2005, for customers who did not meet certain criteria for
balance and/or activity levels. Service charges and fees represent account service fees, advisory fees, servicing fee income and other
customer service fees. Advisory fees increased by $5.2 million in 2005 compared to 2004 resulting from our acquisitions of investment
advisory firms. Servicing rights impairment decreased $4.6 million due to lower impairment writedowns in 2005. This decrease resulted
from the overall rise in interest rates during 2005.
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2006. EDGAR Online, Inc.