Estimated $4.5 billion was moved on bank transfer day

[Texashiker]

Watch in 6 months deposits trickle back as those people who moved to CUs experience the lack of ATMs and service.

People still use ATMs?

Why not just get cash back on a purchase? I have not used an atm machine in years,, maybe 3 or 4 years.

 

[Craig234]

Lot of clueless people here about political movements calling this 'useless'.

Their homework: name for me, picking from any major political movements in US history from the civil rights movement to womens' suffrage to abolitionists and more:

Name a few specific protest events that changed things. Some specific marches for civil rights, some marches for womens' suffrage, etc.

Oh, out of the many event, protests, marches, none had much specific effect?

Guess they were useless then.

Who needs democracy or the right to assemble or to petition government? It's all useless.

This event helped built the political movement. A lot of events help, a few voters each time.

 

[NeoV]

calm down LK - did you expect them to topple the big banks in a few weeks? Reconstituting Glass Steagall is a "simple thing"? Really?

JS - you may want to get a clue about how our economic system works before you make any more inaccurate statements about it

I say hats off to the folks who, unlike most, actually stood up and did something against a perceiving wronging.

Ask Bank of America if the customer reaction to their $5 fee's went unnoticed.

 

[K1052]

Watch in 6 months deposits trickle back as those people who moved to CUs experience the lack of ATMs and service.

Some smaller banks and CUs reimburse ATM fees. Provided these have local branches also I wouldn't bet on people turning back to the majors.

 

[NeoV]

hey Texas - when you choose 'cash back' with your debit card - you get charged a fee by your bank - congrats on not using an atm for 3 or 4 years.

 

[JS80]

JS - you may want to get a clue about how our economic system works before you make any more inaccurate statements about it

I know way more than you.

 

[JTsyo]

ROFL. This is truly so insignificant that isn't not even worth mentioning. As somebody said, let me know when it hits a trillion, then I'll stop scoffing.

I would think people rather the banks reform than fail outright. Hopefully this gets the message across that customers aren't pleased with how the banks are being run.

While the 4.5 billion might not be a big deal for the big bank, it might help the small banks offer more features now as their deposit size grows.

 

[Dulanic]

Watch in 6 months deposits trickle back as those people who moved to CUs experience the lack of ATMs and service.

Not to mention mobile apps, better websites and a host of other things you can't find from little banks. People don't primarily use big banks just because... they use them because they offer a benefit and convenience. And somehow... I have yet to pay any fee to a big bank so far to date... imagine that.

 

[Texashiker]

hey Texas - when you choose 'cash back' with your debit card - you get charged a fee by your bank - congrats on not using an atm for 3 or 4 years.

Nobody said my debit card was through a bank.

Congrats on jumping to conclusions.

 

[Munky]

LOL @ demands for 1 trillion. Do you realize that the American banks are leveraged about 12:1, and the European banks are leveraged even higher? That means any loss of money or deposits will actually cost them a lot more than the mere face value of the loss.

 

[LegendKiller]

LOL @ demands for 1 trillion. Do you realize that the American banks are leveraged about 12:1, and the European banks are leveraged even higher? That means any loss of money or deposits will actually cost them a lot more than the mere face value of the loss.

You do realize that deposits aren't considered equity and thus the leverage doesn't apply. Leverage ratio = assets:equity, not assets:deposits.

For example, BoA has ~900bn in deposits, they don't have 10TR in assets.

 

[Ns1]

People still use ATMs?

Why not just get cash back on a purchase? I have not used an atm machine in years,, maybe 3 or 4 years.

you can't get $400 cash back on a purchase.

 

[Munky]

You do realize that deposits aren't considered equity and thus the leverage doesn't apply. Leverage ratio = assets:equity, not assets:deposits.

For example, BoA has ~900bn in deposits, they don't have 10TR in assets.

I also know that banks engage in all kinds of fraud and balance-sheet games to make them look better than they really are. For example, moving its derivatives liabilities to a deposit-holding subsidiary.

http://www.bloomberg.com/news/2011-...-moving-merrill-derivatives-to-bank-unit.html

 

[Lithium381]

hey Texas - when you choose 'cash back' with your debit card - you get charged a fee by your bank - congrats on not using an atm for 3 or 4 years.

um.... wut? I use BoA and if i do cashback i don't get a fee..... buy a $0.50 candybar at walgreens, cashback for $20. win.

 

[PokerGuy]

Hey, I'm all for the free market forces working. If people are fed up with the fees and move their money elsewhere, that's great.

 

[woolfe9999]

Yup, I bet that puts them in the red this quarter.

PR doesn't mean squat when their important customers are millionaires (and other institutions, such as credit unions,) they're backed by the government and they're still making billions of dollars in profit per quarter. Do you think the bank exec on a private jet with your senator is going to shed a tear over $4.5B in withdrawals? "Sorry senator, the caviar hot tub is missing 3 eggs, darn those occupy wallstreet rascals!"

Why did BofA and Wells back off from announced fee increases?

 

[Texashiker]

you can't get $400 cash back on a purchase.

Just because you have to run down to the ATM and get $400 to stop Aarons-rent-to-own from repossessing your TV does not mean everyone has to.

 

[LegendKiller]

I also know that banks engage in all kinds of fraud and balance-sheet games to make them look better than they really are. For example, moving its derivatives liabilities to a deposit-holding subsidiary.

http://www.bloomberg.com/news/2011-...-moving-merrill-derivatives-to-bank-unit.html

That isn't "fraud", nor "balance sheet games". It's merely moving the derivatives, which aren't wholly "liabilities" in and of themselves in notional balance, to a portion of the bank that is seen as higher rated to avoid having to post collateral on those derivatives in a downgrade and/or mark-to-market scenario.

So yeah, 404 "Fraud" not found.

 

[Munky]

That isn't "fraud", nor "balance sheet games". It's merely moving the derivatives, which aren't wholly "liabilities" in and of themselves in notional balance, to a portion of the bank that is seen as higher rated to avoid having to post collateral on those derivatives in a downgrade and/or mark-to-market scenario.

So yeah, 404 "Fraud" not found.

You're arguing semantics here.

They moved them to a portion of the bank which holds deposits, thereby putting the depositors' money and FDIC-insurance on the line for the derivatives in case the bank fails, a risk neither the depositor nor the FDIC agreed to. If that isn't fraud in your book, then it's no surprise the banks have been getting away with other fraud.

 

[DesiPower]

That isn't "fraud", nor "balance sheet games". It's merely moving the derivatives, which aren't wholly "liabilities" in and of themselves in notional balance, to a portion of the bank that is seen as higher rated to avoid having to post collateral on those derivatives in a downgrade and/or mark-to-market scenario.

So yeah, 404 "Fraud" not found.

It working the system, its not illegal but its improper and deceptive and fraudulent. Its like what Al Gore does with cap and trade.

 

[JS80]

Ignorance in this thread...is not surprising.

 

[DesiPower]

Hey, I'm all for the free market forces working. If people are fed up with the fees and move their money elsewhere, that's great.

This

/thread

 

[highland145]

Why did BofA and Wells back off from announced fee increases?

Because the dead weight left, maybe? We'll see next quarter.

 

[dainthomas]

Some smaller banks and CUs reimburse ATM fees. Provided these have local branches also I wouldn't bet on people turning back to the majors.

My CU reimburses up to $20 a month in ATM fees. But of course I hardly ever use them since all my deposits are electronic and there is cash back for withdrawals when I do need cash (which is hardly ever).

 

[dainthomas]

you can't get $400 cash back on a purchase.

Who carries $400 in cash? Write a check if you're too scared to use those shiny plastic cards, gramps.