My point exactly!
posted in Rantings |Banks charge an insane interest rate via overdraft fees. I admit that sometimes I consider; “if I buy these groceries now, and it turns out that I don’t have enough cash, is it ok to pay the extra $34 dollars the bank will charge me? Which is worse? Hungry kids or $34 in fees?” So in that regard, I’m ahead of some of these poor fools who think the bank will refuse to honor their purchase. Looking at the heinous interest rate, however, I’d be better off at a ‘paycheck loan shark’ … (mom: no, I would never go to one. However, if I *never would go* to them, I should *never pay $34 in fees* too ).
Almost every one of our overdraft charges can be traced directly to purchases via debit. The ones that happen when a check goes through? It’s because of debit purchases that weren’t taken into account before the check was written. It’s really hitting us, we’re living paycheck to paycheck exactly as this article describes. I’m working very hard to stop this.
Another thing about this whole process is that we’ve got about $400 in “overdraft protection,” maxed out. So it’s basically a 19% interest loan from the bank to cover my previous overdrafts. The bank automatically takes out some random amount for repayment of this loan; so it’s pretty difficult to always know exactly what’s in there.
I’m currently checking our accounts daily, which is about the only thing that keeps us afloat with regard to USBank.
