Sunday, February 28, 2010

Banks Apply Pressure to Keep Fees Rolling In

The following excerpt is from an article provided by the New York Times to Yahoo Finance:

...So many people now dip their balance below zero that banks generated an estimated $20 billion from overdraft fees on debit purchases and A.T.M. transactions in 2009 according to Michael Moebs, an economist who advises banks and credit unions. All of this revenue is potentially at risk, since these are the two areas that the new Federal Reserve regulations cover. (Banks generate an extra $12 billion by covering checks and recurring bills; under the new rules, they can still cover those and charge fees without customers' consent.)..

There are growing reports among consumers about hundreds of dollars charged on small purchases. I guess $32 billion dollars is something to talk about.

New legislation passed help notify consumers, give them options, and put this bank revenue at risk. Read the complete article in the link below and if you have debit cards make sure you understand what your options are so that you can make wise decisions when you get all that mail from the bank telling you why they want you to think it is in your best interest to keep on paying these fees.

Monday, February 22, 2010

A word to renters

What if a forclosure or eviction notice is posted to your door and you know you have been paying your rent on time? What do you do?

Landlords like everybody else have been affected in this economic crisis. Why? Because it is the housing industry that is at the heart of the problem, specifically the banking practices that effect the housing industry. The landlord may have multiple properties. Property taxes are going up dramatically to try and increase county and state revenue. Compounded by that, they may have also been affected by residents that live in the properties they own and have not been able to pay rent due to layoffs, garnishments, and weather expenses.

Sometimes the landlord will get behind on the mortgage payments. If this has occurred the property may be going into foreclosure. Representatives of the bank may be taking photos, and posting notices that you must move out immediately. This is seldom the case however it is unnerving and scary. It is easy to respond in anger or fear without knowing what your rights really are. This is not a good situation for anybody, however, as renters the government has put some protections and help in place for you!

The attached article indicates that Federal law may allow you to continue living in your residence all through the forclosure process and then 90 DAYS AFTER THE FORECLOSURE is finalized or until your lease has expired as long as you continue to pay your rent.

Take a copy of this article and then go talk to a lawyer to find out actually what your rights are:|hp-desktop|dl3|link6|

Not only may you have much more time than you think but if the foreclosure is finalized the new owner may be willing to negotiate a new rental agreement with you so that you don't have to move at all.

This article is not intended to give legal advice. I am not qualified to do so. If you find yourself in this situation consult professionals who are qualified to give you accurate, legal advice.

Thursday, February 18, 2010

The Frog and The Scorpion

There was an old children's story something about a scorpion who was wounded and got a frog to let him ride on his back to cross the river. Midstream that old scorpion bit the frog on the back knowing that they would both die. The frog, shocked and amazing asked the scorpion why he would do such a thing. The scorpion responded that the frog should have known he was a scorpion when the agreement was made.

The new credit card rules are here. But, even before they take effect the banks have structured a whole new set of fees and charges.

So, if you have not already made your personal vow to cut up your credit cards and get rid of credit debt here is another story to remind you why it might be the best idea to do so.

Thursday, February 11, 2010

America's Best and Worst Banks

I was so excited to see that a news story was coming out by Forbes that listed the best and worst banks. But alas, again, their analysis was only based on who made the most money. What about customer service? Even before the new credit card laws are in effect the banks have come up with a new list of fees and programs to keep their profits high off YOUR money while continuing to tighten the noose around their customers necks.

Remember it's YOUR money that they are making their profits from. If you are not satisified with the service take your money out. Don't judge a bank by their commercials.

If your bank has treated you well pass the word. If they have not then pass the word even faster.