Billion Dollar Bank Of America Needs Chump Change
Four years back, the government used citizen's tax money to pay $45 million to rescue the second largest bank in the country from going out of business. Since that time, the financial institution has actually been embroiled in various investigations for illegal financial practices ranging from foreign-exchange to home mortgages, and as a result of these shenanigans has paid millions in lawsuits. Now, Bank of America, a company that earns billions, is strong-arming $4.95 from folks who are scarcely making it in this economic climate and desperate to obtain a bank account. Is this a mere indication of frugal banking methods or a symptom of something larger going on--like a small pimple that becomes cancerous. There is something remarkably odd right here.
Bank of America has introduced a checkless checking account for a small, set fee of $4.95. This no-frills account will not allow overdrafts. It's a modest fee targeted toward low-income customers who just need a basic bank account. In itself, this seems like a small blip on the radar-not enough to alarm anyone, especially customers or lawmakers. Yet, this small change in their banking policy could hide a much more sinister story about the banking industry and the economy itself.
Here are three reasons why I classify this as an anomaly:
* In today's world of banking, no fuss, no benefits accounts are usually cost-free. Actually, cost-free checking is now the way banking is done.
2. This bank has actually been attempting to reintroduce the idea of a basic banking fee since 2011. The experiment started by asking banking clients in 3 states--namely, Arizona, Georgia, and Massachusetts--for a flat charge varying between $6 to $9 each month for a simple checking account. The suggestion did not work very well and the whole program was a mess. But, then, again in 2012, they tried it once more, and this time around 10 million consumers whined and complained about it.
* There are no waivers. While mega banks do have paid checking accounts, they also have certain conditions to waive the fee--like direct deposits, keeping a reasonable balance, etc.
So why is a multi-billion bank asking low-end customers for petty cash? Why is it seeking a flimsy plan that that most financial institutions think too silly to take into consideration? Is it out of petty reasoning, straight-out greed or hopeless need? Frankly, our only hope as Americans is to move our loyalty from fickle banks that grow fat on fiat money and go back to the only true money, which is God's Money-- Gold and Silver.
Bank of America has introduced a checkless checking account for a small, set fee of $4.95. This no-frills account will not allow overdrafts. It's a modest fee targeted toward low-income customers who just need a basic bank account. In itself, this seems like a small blip on the radar-not enough to alarm anyone, especially customers or lawmakers. Yet, this small change in their banking policy could hide a much more sinister story about the banking industry and the economy itself.
Here are three reasons why I classify this as an anomaly:
* In today's world of banking, no fuss, no benefits accounts are usually cost-free. Actually, cost-free checking is now the way banking is done.
2. This bank has actually been attempting to reintroduce the idea of a basic banking fee since 2011. The experiment started by asking banking clients in 3 states--namely, Arizona, Georgia, and Massachusetts--for a flat charge varying between $6 to $9 each month for a simple checking account. The suggestion did not work very well and the whole program was a mess. But, then, again in 2012, they tried it once more, and this time around 10 million consumers whined and complained about it.
* There are no waivers. While mega banks do have paid checking accounts, they also have certain conditions to waive the fee--like direct deposits, keeping a reasonable balance, etc.
So why is a multi-billion bank asking low-end customers for petty cash? Why is it seeking a flimsy plan that that most financial institutions think too silly to take into consideration? Is it out of petty reasoning, straight-out greed or hopeless need? Frankly, our only hope as Americans is to move our loyalty from fickle banks that grow fat on fiat money and go back to the only true money, which is God's Money-- Gold and Silver.
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Learn more about precious metal investing. Stop by Anne Trimble's site where you can find out all about gold and silver and what it can do for you.
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