Comments on: Bank Penalties for Paper Checks

By: Rob

Rob — Tue, 25 Sep 2007 14:53:43 +0000

I had a hat-in-hand experience with my bank after discovering about $350 in overdraft fees on my account on day. I drove to the local branch and basically threw myself on the mercy of the court, saying that I understood a fee was appropriate for an overdraft but that fees of that magnitude were really burdensome. Humble pie, even when served fresh, is never tasty. But George the kindly banker , a deacon in his local church, was a decent man, removing the bulk of the fees while warning me he would not be able to do so again. After a short lecture on financial responsibility, he signed me up for a credit card and connected it to my checking account so that any overdrafts would be drawn from the card. Typically there is no fee for these transfers, although I believe I’ve seen a few small charges when there are a significant number of them in a short period. I have to be disciplined and pay off the card as soon as I deposit more money in the account, and I am learning to manage our cash flow better, but that hassaved us a lot of money so I thought I’d pass the story on.

By: rustifer

rustifer — Thu, 26 Jul 2007 18:34:44 +0000

Actually, that’s my understanding too; banged into my head by my father and by my personal finance class in high school, 20 years ago. Credit Unions are owned by the members, so they’re interested in helping you. Banks, on the other hand, are owned by fat cat wealthy bankers. And the wealthy don’t get wealthy by helping you.

The straw that broke the camel’s back, for me, was today; I had ten dollars in my business account at the -bank- and deposited at $1775 check. I went to Car Toys and bought two cell phones, and they ran my debit card for $160. Since the full $1775 wasn’t ready and only $100 was actually available, this brought my available balance to -50. So I got a overdraft fee there; I understand ( don’t _appreciate_ but understand ). Apparently, because the debit card is guaranteed, the money g That night, a check to someone else showed up and it was for more than $160, and for some reason it was processed before the funds were un-held, so I got a second overdraft fee there.

By: BlueNiner

BlueNiner — Mon, 23 Jul 2007 18:17:04 +0000

Have you considered a credit union? Oregonians and First Tech come to mind. They are local to you and have all the electrinic access whizbangs and more that US Bank has. I am sure they have the same overdraft charges and what not, but they are owned by their depositors so they tend to be slightly more responsive to thier “customers”. Banks are a business with the only purpose of making money. This is true american capitolism and you can see from thier OD/notification process design sometimes that may not be what is best for thier customers…

OK, I don’t know if Credit Unions are actually better than banks or not, but I think they are and I like the fact that CU’s are not beholden to stock holders and wall street market forces they way banks are. I can say that I personally avoid ‘banks’ in favor of credit unions, if for no other reason than the impules behind thier creation.

By: Rachel

Rachel — Fri, 20 Jul 2007 05:12:48 +0000

I have Washington Mutual do the same thing (email alerts) but I have a higher threshold. My problem is that the email apparently goes out between 1 a.m. and 1:45 a.m., and sometimes the email doesn’t show up until HOURS later - not sure if it is a server issue or what.