Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Cost of Reforms-now no free checking-No Free Lunch Next?
Old 07-09-2010, 07:30 PM   #1
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
dex's Avatar
 
Join Date: Oct 2003
Posts: 5,105
Cost of Reforms-now no free checking-No Free Lunch Next?

Wells Fargo Ends Free Checking Before New Bank Rules - Bloomberg

Wells Fargo, the U.S. bank with the largest branch network, eliminated free checking accounts for new customers as firms prepare for stricter consumer- protection measures. New basic checking accounts carry a $5 monthly fee as of July 1, said Julia Tunis Bernard, a spokeswoman for the San Francisco-based bank. Wells Fargo also established minimum deposit requirements for waiving the fee, she said



*******


The costs of reforms are adding up. So far the ones I've encountered are:
- Citi visa charging $60 annual fee - eliminated if you spent 2,400? - I can canceled

- No rollback option on my health ins
- If I get a new health plan it is a 'new' health plan; subject to congress' additions


These type of things really hurt the poor. They can not afford the minimums to avoid the fees.

I wonder what is next.
__________________

__________________
Sometimes death is not as tragic as not knowing how to live. This man knew how to live--and how to make others glad they were living. - Jack Benny at Nat King Cole's funeral
dex is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 07-09-2010, 07:48 PM   #2
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jun 2005
Posts: 8,615
Looks like a total non-event to me. Almost all the past "free-checking" accounts had a minimum balance and/or direct-deposit requirement, so WF is just re-implementing that.

So to get free-checking it still appears that there are very low hurdles to jump over.

But I like best the "we pay YOU to have checking at our bank" accounts. USAA was like that for a while. They haven't offered to pay me $2,000 this year to keep my account open like they have for the past 3 years. So I had to go to the highest balance I've had with them so far: $0.00. Negative balances were always better.
__________________

__________________
LOL! is offline   Reply With Quote
Old 07-09-2010, 09:03 PM   #3
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Nov 2007
Posts: 7,526
Speaking of free lunches. The 0% no fee balance transfer offer is back!!!

https://applications.usbank.com/oad/...rType=customer

Anyone else like borrowing free money? Maybe use this money to pay those checking account fees.
__________________
Retired in 2013 at age 33. Keeping busy reading, blogging, relaxing, gaming, and enjoying the outdoors with my wife and 3 kids (5, 11, and 12).
FUEGO is offline   Reply With Quote
Old 07-10-2010, 08:18 AM   #4
Full time employment: Posting here.
 
Join Date: Feb 2009
Posts: 886
Quote:
Originally Posted by dex View Post
Wells Fargo Ends Free Checking Before New Bank Rules - Bloomberg

Wells Fargo, the U.S. bank with the largest branch network, eliminated free checking accounts for new customers as firms prepare for stricter consumer- protection measures. New basic checking accounts carry a $5 monthly fee as of July 1, said Julia Tunis Bernard, a spokeswoman for the San Francisco-based bank. Wells Fargo also established minimum deposit requirements for waiving the fee, she said



*******


The costs of reforms are adding up. So far the ones I've encountered are:
- Citi visa charging $60 annual fee - eliminated if you spent 2,400? - I can canceled

- No rollback option on my health ins
- If I get a new health plan it is a 'new' health plan; subject to congress' additions


These type of things really hurt the poor. They can not afford the minimums to avoid the fees.

I wonder what is next.

OFGS
Transparency is not a cost. Bank accounts cost banks to operate. Transparency makes banks compete on published obvious costs.

If we want to help the poor we pay the cost of accounts publicly

Concealed fees only help banks and the folks they pay in congress to shill for them

Standardized weights and measures , including open and transparent pricing is one of the cornerstones of an efficient marketplace.
__________________
Emeritus is offline   Reply With Quote
Old 07-10-2010, 08:22 AM   #5
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Gone4Good's Avatar
 
Join Date: Sep 2005
Posts: 5,381
Quote:
Originally Posted by Emeritus View Post
Standardized weights and measures , including open and transparent pricing is one of the cornerstones of an efficient marketplace.
But then you foreclose the possibility of the careful shopper (free checking) being subsidized by those stupid enough to get ripped off (overdraft fees).
__________________
Retired early, traveling perpetually.
Gone4Good is offline   Reply With Quote
Old 07-10-2010, 09:05 AM   #6
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
brewer12345's Avatar
 
Join Date: Mar 2003
Posts: 16,391
Its a competitive market place. If your bank starts charging fees and other banks or credit unions offer the same service for free, go elsewhere.
__________________
"There are three kinds of men. The one that learns by reading. The few who learn by observation. The rest have to pee on the electric fence for themselves."



- Will Rogers
brewer12345 is offline   Reply With Quote
Old 07-10-2010, 11:36 AM   #7
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jul 2006
Posts: 11,014
Checks are becoming obsolete technology. This drives up the unit cost of processing a check. It's totally understandable why the banks are passing the increased cost on to customers. It's an incentive to get online or use debit.

Your checkbook is obsolete - MSN Money
__________________
Meadbh is offline   Reply With Quote
Old 07-10-2010, 11:55 AM   #8
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
dex's Avatar
 
Join Date: Oct 2003
Posts: 5,105
Quote:
Originally Posted by Meadbh View Post
Checks are becoming obsolete technology. This drives up the unit cost of processing a check. It's totally understandable why the banks are passing the increased cost on to customers. It's an incentive to get online or use debit.

Your checkbook is obsolete - MSN Money
Good point - I don't use check - except to pay taxes. I think those on the lower end of the economic scale probably use them more than the middle class. Also, I think those who follow Dave Ramsey use them instead of credit cards.
__________________
Sometimes death is not as tragic as not knowing how to live. This man knew how to live--and how to make others glad they were living. - Jack Benny at Nat King Cole's funeral
dex is offline   Reply With Quote
Old 07-11-2010, 01:13 PM   #9
Full time employment: Posting here.
 
Join Date: Sep 2007
Posts: 716
Yup. We still are using checks that show our old address----which we moved away from 5 years ago. We pay almost everything now by online bill pay. Heck, even our latest car licence tag renewal was paid by online check.

Most of the paper checks we write are for birthday presents to relatives.
__________________
rayvt is offline   Reply With Quote
Old 07-11-2010, 08:32 PM   #10
gone traveling
 
Join Date: May 2008
Posts: 3,864
Quote:
Originally Posted by brewer12345 View Post
Its a competitive market place. If your bank starts charging fees and other banks or credit unions offer the same service for free, go elsewhere.
+1
__________________

__________________
Westernskies is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
End of free checking? mickeyd FIRE and Money 31 06-19-2010 09:41 AM
Fraudulent advertiser on TV - no free lunch outtarentals Other topics 9 06-19-2008 04:21 PM
Free Lunch Seminar Fraud FinallyRetired Other topics 0 09-10-2007 08:20 AM
There is a Free Lunch! JPatrick FIRE and Money 0 02-17-2006 09:58 PM

 

 
All times are GMT -6. The time now is 03:59 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.