Bank of America to accept California IOUs
At least one bank has said it will honor California’s IOUs, which the state’s controller will start sending out today. Bank of America said it will accept the warrants from its customers, at least through July 10.
The press release though doesn’t say whether the bank will charge customers an additional fee for the favor.
Even if it doesn’t, the bank stands to gain from the interest paid on the IOUs when they mature. The state will set the interest rate later today.