• Community Banks and Credit Unions concerned about Bank Transfer Day, "Pick another time" says one ma
    30 replies, posted
[quote] Jim Blaine has a message for people who want to open an account at his credit union this Saturday as part of a grassroots movement against big banks: Pick another day. The president of North Carolina State Employees' Credit Union isn't a fan of the event, known as Bank Transfer Day, calling it a "tactical error" because the name suggests that moving money between financial institutions is easy. "You can't do it in one day. It's misleading," says Mr. Blaine, who oversees the Raleigh, N.C., credit union with 239 branches. Mr. Blaine isn't alone in his misgivings. Other executives of credit unions and community banks are also hesitant about the effort, which encourages consumers to take their money out of big commercial banks and put the funds into small institutions. Anger against big banks has exploded in recent weeks, fueled by plans by some of them to start charging monthly fees for debit cards. The banks have said they need the revenue, in part because a provision in last year's Dodd-Frank financial overhaul law halved the amount that they are allowed to charge merchants for accepting debit transactions. The debit-card fee plans collapsed in recent days in response to the public outcry and because not all banks were willing to impose the fees. But big-bank hostility remains high due to other recent fee increases, the rising rate of foreclosures and tighter lending requirements that make it tougher for consumers to get loans or refinance their mortgages. The Bank Transfer Day event's Facebook page has received more than 38,000 "like" designations from the social networking website's users, the latest sign of a backlash tied to rising bank fees and discontent with a weak economy. But there are limitations to the strategy. Industry executives say credit unions—not-for-profit financial cooperatives that are owned by their members and are prohibited from selling stock or assuming debt—often aren't well-staffed on Saturdays. That means new customers might encounter long lines. Some branches aren't open at all. Then there are technical issues. For one thing, money can't be transferred between institutions on Saturdays because the Federal Reserve is closed. "Come Friday. Come Monday. Why come Saturday?" says Stephen Ranzini, president of University Bank, which has one branch in Ann Arbor, Mich. Kristen Christian, a 27-year-old Los Angeles art gallery owner who organized the event, says "there's definitely been misunderstanding" about the nature of the event. "Bank Transfer Day has always recommended that supporters open credit union accounts in anticipation of independently closing accounts with banking institutions before the November 5th deadline goal," she said in an email message. She added that nearly 75,000 supporters have opened credit union accounts. Small banks and credit unions have latched onto the dissatisfaction of big banks by luring new customers. Such lenders usually have fewer fees than their larger rivals. Many small institutions provide potential customers with "switch kits" that walk them through the process of moving their money. But a rash of new customers could come with strings attached for credit unions. Like banks, credit unions are under pressure to cut costs. And also like banks, a flood of new deposits could require them to pump up their capital levels. Credit Union National Association, a trade group that represents the industry, estimates that at least 650,000 consumers have joined credit unions since Bank of America Corp. unveiled a $5 monthly debit-card fee on Sept. 29. The bank dropped the plan this week. The trade group hasn't endorsed Bank Transfer Day, though most of its members are pleased with the attention, says Patrick Keefe, a spokesman for the group. Those that are less enthusiastic about the movement are "probably the exception, not the rule," he added. Florida's largest credit union, Suncoast Schools Federal Credit Union in Tampa, won't even be open on Saturday. "We didn't want to open for just one Saturday. It would set a tone," said Tom Dorety, chief executive of Suncoast. The credit union, which has seen the number of new checking accounts double in the past year, plans to add more staff members on Saturday to its customer-service telephone lines, he said. Bank and credit union executives note that switching financial institutions can be a tricky and lengthy process. While it generally takes about 20 minutes to open a basic checking or savings account, it can take 30 to 60 days to set up the account completely. That includes switching direct deposits from employers or state agencies and arranging automatic bill payments for things like utilities and gym memberships. Cheryl Cebula, chief executive of Albina Community Bank in Portland, Ore., plans to work in one of the bank's five branches on Saturday to help ease the workload in case there is a surge of new customers.[/quote] Source: [url]http://finance.yahoo.com/banking-budgeting/article/113744/bank-protest-hits-weekend-traffic-wsj?mod=bb-budgeting[/url] Maybe it could be a "Bank Transfer Month" instead of a single day?
CU with 239 branches? Talk about being local.
It took me one day to move all of my money over, I'm not sure why he's making it sound so difficult.
[QUOTE=ewitwins;33139818]It took me one day to move all of my money over, I'm not sure why he's making it sound so difficult.[/QUOTE] Understaffed on Saturday and Federal Reserve is closed so you cant transfer money. That's why he says pick a different day. Saturday is a bad day.
"no guys please dont try to retrieve your money, we gave it all away so we dont have it right now"
I was going to switch to USAA anyway so this doesn't really affect me. But still, it seems pretty silly that he would tell people not to join his credit union.
I was out with my local Occupy movement and they actually brought up that they won't be handled until the business week starts so it'll be a couple of days before the requests are actually completed.
Closing an account and opening a new one shouldn't be that hard, but taking care of any automatic bill payments or direct deposit of paychecks could take a bit longer for some.
[QUOTE=Kopimi;33139892]"no guys please dont try to retrieve your money, we gave it all away so we dont have it right now"[/QUOTE] The one speaking is the one who the money are supposed to be transferred TO.
[QUOTE=DamagePoint;33139899]I was going to switch to USAA anyway so this doesn't really affect me. But still, it seems pretty silly that he would tell people not to join his credit union.[/QUOTE] He's saying to join another day. As someone already stated, weekends are not good for money transfers.
Why not just use credit unions from the start then? Do they have lower interest rates or something?
[QUOTE=Beafman;33140234]Why not just use credit unions from the start then? Do they have lower interest rates or something?[/QUOTE]They're not for profit organizations owned by the members, not shareholders. They don't have big CEOs who take in multi-million dollar paychecks, all the money has to be given back to the members in some form.
It makes sense, small scale banks and CU's don't have the ability to take on so many people at once as well as transfer so much money at once. It needs to be done over say a period of a month instead of one day.
[QUOTE=UncleJimmema;33140756]It makes sense, small scale banks and CU's don't have the ability to take on so many people at once as well as transfer so much money at once. It needs to be done over say a period of a month instead of one day.[/QUOTE] Some of the smaller ones might even shut down the new accounts part of business long enough to take care of their huge backlog.
Honestly, just open up your credit union account and cancel your bank account later. Not seamless like the transfer, but you may have less problems doing it this way, since there are going to be tons of people transferring.
A suggestion to people opening new accounts at a credit union is that if you're bank account only has a few hundred dollars in it, withdraw that money and bring it with you. It's more than likely that they'll be able to process a cash deposit more easily on the spot, and that's what Arizona State Credit Union had me do. Several Credit Unions require an initial deposit to open the account as well, so make sure you have at least $50 with you. It was $5 for my checking account and $20 for my savings. However, keep in mind that these deposits [B]are not[/B] fees, they're simply initial deposits and it's your money, you can just turn around and withdraw it again. Also, with my checking and savings accounts, there was no minimum amount, so don't worry too much about fees.
I'm doing this. Everyone convince someone you can reach to switch over to a credit union. My girlfriend and parents are on their way. My Bank of America checking account went into the negatives after I found out it costs money to remove money from your savings account. WHAT THE FUCK IS THIS BULLSHIT
Once I got my job I opened an account a credit union, all I gotta do is keep $5 in my savings. Nice not having to worry about anything else.
I think it speaks to the nobility of credit unions that they'll actually publicly say "hey we don't want your money just yet, wait until we can handle it"
Moving money with a bunch of flaky trend following kids sounds sketchy, what happens when they get their panties in a twist again? I'd only do it if one of my banks started to do me wrong, until then it stays where it is. I've already pulled from one broker because of that. Not because of the little co-op fad thing.
[QUOTE=tinos;33145479]Moving money with a bunch of flaky trend following kids sounds sketchy, what happens when they get their panties in a twist again? I'd only do it if one of my banks started to do me wrong, until then it stays where it is. I've already pulled from one broker because of that. Not because of the little co-op fad thing.[/QUOTE] Yeah uh you have no idea what the fuck you're on about.
[QUOTE=tinos;33145479]Moving money with a bunch of flaky trend following kids sounds sketchy, what happens when they get their panties in a twist again? I'd only do it if one of my banks started to do me wrong, until then it stays where it is. I've already pulled from one broker because of that. Not because of the little co-op fad thing.[/QUOTE] Community banks and credit unions aren't exactly fads, they've been around just as long as banks and do exactly the same thing on a much smaller scale. Technically, they already DO you wrong by charging obscene amounts of money in bank charges, miss-selling loans and insurance oh and.. um.. being responsible for the recession? Take your cool collective pseudo-smartass opinions elsewhere.
[QUOTE=tinos;33145479]Moving money with a bunch of flaky trend following kids sounds sketchy, what happens when they get their panties in a twist again? I'd only do it if one of my banks started to do me wrong, until then it stays where it is. I've already pulled from one broker because of that. Not because of the little co-op fad thing.[/QUOTE] Yes, because we all know changing the institutions that store your money is a "flaky trend".
The biggest problem with this idea is that it's on a SATURDAY. Which is also known as the day that almost all banks and credit unions are either closed or on drastically reduced hours. The bank needs to be open for you to take all your money out and close your account, idiots. Anyway, I'm not participating. My bank is about the 20th largest one in the US, and so far I'm not subject to BoA's trolling. If they charged for checking or debit use I'd dump them in a second, but they pretty much leave me and my checking account alone. They haven't made me angry enough to go through the trouble of setting up all my automated deposits and stuff over again. Though I don't get any interest on my checking balance...
[QUOTE=Kopimi;33139892]"no guys please dont try to retrieve your money, we gave it all away so we dont have it right now"[/QUOTE] You DO realize that only 10% of the world's currencies are in paper form, right? The rest is all digital. A run on banks would empty their safes and leave people unable to withdraw their funds. That is why the feds closed all the banks at the start of the Great Depression.
[QUOTE=Awesomecaek;33140018]The one speaking is the one who the money are supposed to be transferred TO.[/QUOTE] wow that was embarassing 9/10 times I can just read "bank" in the title and shit out my anti-bank rhetoric, guess I need to remember to read the articles :v: [editline]6th November 2011[/editline] [QUOTE=Ridge;33146601]You DO realize that only 10% of the world's currencies are in paper form, right? The rest is all digital. A run on banks would empty their safes and leave people unable to withdraw their funds. That is why the feds closed all the banks at the start of the Great Depression.[/QUOTE] I see someone else remembered that tidbit from Zeitgeist: Addendum
[QUOTE=Ridge;33146601]You DO realize that only 10% of the world's currencies are in paper form, right? The rest is all digital. A run on banks would empty their safes and leave people unable to withdraw their funds. That is why the feds closed all the banks at the start of the Great Depression.[/QUOTE] Please clarify the claim that "only 10% of the world's currencies are in paper form" I cant imagine that even 10% of counties (the primary issuers of currency) would decide that they shouldnt have any physical money. [sp]To clarify, I'm saying that you want "currency" not "currencies" because the way you say it makes it sound like third world countries have a monetary system based on debit/credit cards[/sp] Also I'm pretty sure that 90% of the money in the banks being digital was not the reason the federal government closed all banks.
[QUOTE=Xain777;33146980]Please clarify the claim that "only 10% of the world's currencies are in paper form" I cant imagine that even 10% of counties (the primary issuers of currency) would decide that they shouldnt have any physical money. [sp]To clarify, I'm saying that you want "currency" not "currencies" because the way you say it makes it sound like third world countries have a monetary system based on debit/credit cards[/sp] Also I'm pretty sure that 90% of the money in the banks being digital was not the reason the federal government closed all banks.[/QUOTE] A. He's saying 90% of money recorded as existing and sitting in vaults is actually digital, not that there's a lot of currencies that aren't physical B. No, but that isn't what he said either. Due to fractional reserve banking, the bank doesn't have everyone's money ready to give back to them, because they're counting on you not all drawing it out at once.u When people tried to get their money out of the bank back then, the banks didn't have the money to give them and the Great Depression began.
[QUOTE=Kopimi;33147204]A. He's saying 90% of money recorded as existing and sitting in vaults is actually digital, not that there's a lot of currencies that aren't physical B. No, but that isn't what he said either. Due to fractional reserve banking, the bank doesn't have everyone's money ready to give back to them, because they're counting on you not all drawing it out at once.u When people tried to get their money out of the bank back then, the banks didn't have the money to give them and the Great Depression began.[/QUOTE] [sp]read spoiler tags and find out that I'm only teasing him to help his persecution complex[/sp] [editline]6th November 2011[/editline] alternate ending: [sp]You've activated my trap card![/sp]
[QUOTE=Xain777;33147232][sp]read spoiler tags and find out that I'm only teasing him to help his persecution complex[/sp] [editline]6th November 2011[/editline] alternate ending: [sp]You've activated my trap card![/sp][/QUOTE] wow seriously im done posting in this thread, im just terrible i even got trap carded
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