Banking...some BIG changes are coming!

[Reverenddel]

Thanks to Frank/Dodd Act...

Banks are looking at charging a monthly fee for Debit Card usages. Wells-Fargo is testing it at $3 a month in some markets. Bank of America is researching it as well. Banks are looking at charging for services that were once a courtesy. Such as eliminating free checking, electronic bill pay, and other in-branch services.

Why?

Because CITIZENS are tightening their belts! Credit Card charge offs, and past due is at a 17 year all time low. People aren't going over their limits, or missing payments, and thereby removing a source of income from banks.

AND!

CITIZENS are getting SHORTER mortgages! They're opting for 15-20 years in place of the 30 years, and they're putting bigger downpayments on there houses, and they're staying PUT according to Fannie Mae/Freddie Mac. This along with LOWER interest rates, cause a loss of income for banks.

What does this mean? You're gonna get "Fee'd" to death. There will be massive penalities for simple things like "using your debt card more than 20 times a month." People will be carrying cash more often.

Why bring this to a gun forum? Simple. With people carrying more cash as the banks act a fool? You're going to get a rise in armed robberies in the next 5-15 years. Just watch.

[OakRidgeStars]

Thanks to Frank/Dodd Act...

What does this mean? You're gonna get "Fee'd" to death.

Nice to see that banks are getting their customer service ideas from the airline industry. It might be time to reconsider burying that 50 cal ammo can in the backyard.

[mamabearCali]

I mean really....REALLY? So the smart citizen will start taking out a chunk of money at the start of the month, take what they need with then for the day--and leave the rest at home in the gun box--and only use the debit care when they absolutely must.

And then they won't get as much revenue from the debit card purchases as they do from the retailers--as I understand it the banks get a fee from the retailers for the use of a debit card. So to do that is really just messing themselves over. People who must save money will find a way to do so. So the more they raise rates the quicker they will just hurt themselves. If they make it bad enough people will just start taking their money and going either to a credit union or simply keeping their cash at home and using banks as little as possible. And whoops---oh look now the little people have learned they can live without you and you are screwed.

So yep robberies may end up on the rise, but people will adjust and I suspect find ways to hide cash on their bodies much like we conceal our weapons. Anyone else have a grandma that kept her big bills in a place not easily accessible?.

[scott9050]

Seems to me banks are also doing this because Barry cut their swipe fees in half. The rich are actually going to have to start to pay banks to take their money (no joke).

[SHMIV]

I haven't had a bank account in a long time. Why would I entrust all or most of my financial resources to an entity that clearly does not have my best interests at heart? When I cash my paycheck, I am charged a fee. Why should I have to pay for what is already mine? It's immoral. Every time a bank teller offers me a "free" checking account, I ask why I'd want to do that. I say to them, "I cannot trust your financial institution to even cash my check with out getting robbed; why would I trust you guys with all of my money?" Thus far, I have yet to get a compelling answer.

[Kreutz]

Thanks to Frank/Dodd Act..

Nope, they're greedy. All there is to it. Before Dodd they were screwing us in other ways just fine on their own, now, they have to find new ways to do it.

Use a credit union. banks have been trying to get them banned (regulation is only evil when it affects banks bottom lines, its OK when it helps them) for decades.


Or, we could so the sensible thing and nationalize all banks. God I wish! Banks are parasites.

[OakRidgeStars]

Two words: Credit Union

[dorminWS]

Three things............
#1 - The LAST thing we need is to nationalize banks. At least we may rely to some extent on market forces and the profit motive (crippled to no small extent, I concede, by government regulation and meddling) to keep the banking system largely rational and mostly functional. To turn it over to the US government is the grossest of folly.
#2 - In my opinion, it is a GOOD THING (which means it is an UNINTENDED consequence of federal regulation) if people go back to carrying some of that old-fashioned Yankee money (as my Pappy used to call it) and rely less on debit cards. They'll pay less in fees, be subjected to less tracking, profiling & data-mining, and will again accept responsibility for running their own finances instead of turning it over to people with ulterior motives. I've been worried that cash would eventually disappear. No cash means NO SUCH THING AS A TRULY PRIVATE TRANSACTION.
#3 - Credit unions are just government-subsidized banks. They have the unfair advantage of being tax-exempt. If there is any difference in the way they are regulated, there is no reason or excuse for it. I have always been distrustful of them. I don't trust ANYBODY who purports to pursue any enterprise for anything other than a profit. They are denying human nature and will one day cave in - usually in some underhanded way. (BTW, I do not and have never worked for a bank or credit union)

[mamabearCali]

on credit unions vs banks--This has just been our experience, but we were treated horribly at Bank of America, and only marginally better at Citizen's and Farmers Bank (double charges for items consistently which were very difficult to sort out, fees appearing out of no where, our check managing system was constantly sending out our checks late). Bank of America treated us like their errors were our fault (and consistently refused to refund charges and fees that were improperly handled until forced to), citizens and farmers at least worked with us to try and figure out what happened. When we finally moved to the credit union for my husbands work we have not had another problem with our bank, everything works like clock work and there is never a fee that we did not agree to. The check we send out through our bill-pay system get where they are supposed to on time and there is NEVER a hold put on our paycheck like BOA did a few times.

[dorminWS]

Can't argue with you about Bank O' America.

My own experience with BOA has been that they are arrogant anuses.

They ought to adapt a horse's rear end as their logo, in my opinion.

But my point was really that you shouldn't use anybody's check-issuing system, thereby giving a third party the right to disburse your funds. You should write them yourself and hand-deliver or mail them.

[jim100]

Thanks to Frank/Dodd Act..

Nope, they're greedy. All there is to it. Before Dodd they were screwing us in other ways just fine on their own, now, they have to find new ways to do it.

Use a credit union. banks have been trying to get them banned (regulation is only evil when it affects banks bottom lines, its OK when it helps them) for decades.


Or, we could so the sensible thing and nationalize all banks. God I wish! Banks are parasites.

I agree with your first two points. However, on your last point I say we should just ban them all.

[cyras21]

Try perkstreet.com No monthly fees and you'll get 2% back for each purchased ran through the Master Card system.

[seeknulfind]

It's a bit strange when you think about it. The feds want to control everything. How better to track someone than via dc/cc purchases? A cash/barter system is largely untrackable and much easier to "forget" about silly things like taxes.

Andy

[SHMIV]

It's a bit strange when you think about it. The feds want to control everything. How better to track someone than via dc/cc purchases? A cash/barter system is largely untrackable and much easier to "forget" about silly things like taxes.

Andy

Another reason why I do cash transactions

[mamabearCali]

If they do this nonsense I will switch to cash too. On a monthly basis I buy food, household supplies, and garden stuff.....none of which do I *need a debit card. If it started costing me to use my debit card I would simply switch my budget into cash and treat it the same way.

[nuc65]

If my bank starts charging a fee to use my money I will switch banks. I haven't used a debit card in a long time.

[Tweaker]

Seems to me banks are also doing this because Barry cut their swipe fees in half. The rich are actually going to have to start to pay banks to take their money (no joke).

Something similar is already happening in the world of high finance. Institutional money changers are being charged to deposit and maintain multi-million dollar accounts at banks because the bank cannot generate a decent rate of return such that they want the money.

Essentially BO has got businesses and the financial geniuses to scared to invest assets that they are all attempting to be as conservative as possible (always a good thing) and basically hiding it in the mattress.

I am sure that will all change now that BO has announced (for what, the 7th time?) that jobs and the economy are now his primary focus.

Americans - 0
Halfrican manchild with messiah complex - 87

[Tweaker]

Thanks to Frank/Dodd Act..

Nope, they're greedy. All there is to it. Before Dodd they were screwing us in other ways just fine on their own, now, they have to find new ways to do it.

Use a credit union. banks have been trying to get them banned (regulation is only evil when it affects banks bottom lines, its OK when it helps them) for decades.


Or, we could so the sensible thing and nationalize all banks. God I wish! Banks are parasites.

Socialist 101 - Always use the word greed. It is the primary foundation of your (failed every time it has been tried) mantra.

Kreutz, please define greed for me. I am serious and I would like to hear your answer.

[Diomed]

Credit union all the way. (And the idea that member ownership is somehow evil is ridiculous and deserves no further attention.) No need for a bank (although I still have some accounts with BOA, which I'll probably close sooner or later).

[TScottW99]

My wife and I do almost all cash transactions also. I refuse to use the big national banks, use a smaller hometown bank where you can talk to people. If you use your debit card a lot check these people out... http://www.perkstreet.com/ As mentioned earlier, 2% cash back.