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View Poll Results: Do you still use a local brick-n-mortar bank?
I’ve already quit using brick-n-mortar banks. 54 24.32%
I am considering dropping our brick-n-mortar bank. 19 8.56%
I am not interested in ending my brick-n-mortar bank relationship. 149 67.12%
Voters: 222. You may not vote on this poll

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Poll: Ready to drop brick-n-mortar banking?
Old 01-19-2019, 09:08 AM   #1
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Poll: Ready to drop brick-n-mortar banking?

We plan to relocate this year, and we’re wondering if it’s time to drop brick-n-mortar banking. I know that’s heresy to many here and I expect poll answer #3 will be the majority. For others:
  • We don’t need them for loans anymore, they bundle and sell them anyway. There are online loans but I don’t envision taking on a loan again.
  • We haven’t had savings accounts there for years, online bank yields are far better. Don’t need local banks for CDs or MMs either.
  • I don’t care about being able to walk into a physical bank.
  • We use the local ATM weekly, but online banks offer ATM/debit cards without fees. We could use credit cards instead of cash way more than we do too - like many younger folks.
  • We use auto bill pay with every service we can. We still have to write a few checks, that might be the only obstacle?
For those not enamoured with brick-n-mortar banks - what am I missing?
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Old 01-19-2019, 09:20 AM   #2
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Ummm... free notary services?

Seriously- that's about all I can think of; I've had on-line checking for years. Since they refund ATM fees, I can pretty much use any machine rather than having to look for one in a specific network.
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Old 01-19-2019, 09:21 AM   #3
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Ummm... free notary services?

That’s a good service, as are free medallion signature guarantees.
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Old 01-19-2019, 09:24 AM   #4
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Originally Posted by athena53 View Post
Ummm... free notary services?

Seriously- that's about all I can think of; I've had on-line checking for years. Since they refund ATM fees, I can pretty much use any machine rather than having to look for one in a specific network.
Steelyman beat me to it.
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Old 01-19-2019, 09:31 AM   #5
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Safe deposit box?
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Old 01-19-2019, 09:36 AM   #6
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Haven’t had a brick and mortar bank in years. Don’t miss anything.
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Old 01-19-2019, 09:42 AM   #7
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Withdrawing a large amount of cash ($1,000+) in denominations greater than $20 bills. I went into a bank that was not mine with a bunch of $20s wanting to just trade it for a few hundreds, and they wouldn't do it because I wasn't a customer of theirs.

That's about all I got.
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Old 01-19-2019, 09:46 AM   #8
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Withdrawing a large amount of cash ($1,000+) in denominations greater than $20 bills. I went into a bank that was not mine with a bunch of $20s wanting to just trade it for a few hundreds, and they wouldn't do it because I wasn't a customer of theirs.

That's about all I got.
I had this happen to me. You know who did it for me? I went to a Whole Foods. I explained it and they gladly exchanged the bills for me. Did it twice.
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Old 01-19-2019, 09:47 AM   #9
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There might be a nice bonus waiting for you at a bank in your new location.
Having a relationship with a bank or credit union might be a good idea.
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Old 01-19-2019, 09:54 AM   #10
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Why I keep $3k in a checking account at a local brick and mortar bank:

1. Can deposit cash

2. Can withdraw large amounts of cash ASAP (never needed this, but just in case)

3. Ability to withdraw $100 bills (for wedding gifts) or rolls of quarters (super useful when I lived in apartment and paid for laundry).

4. Can get a cashier's check or certified check ASAP

5. Notary services

6. Safety deposit box

The VAST majority of my cash is held at Ally. I just don't see the harm in keep a minimal connection with a brick and mortar bank.
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Old 01-19-2019, 09:57 AM   #11
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In early October 2008, I drove to one large bank and withdrew a substantial amount of cash to pay a contractor renovating a rental. He banked with another large bank where I also had an account, so I drove to that bank and deposited the cash in his account. I wasn't 100 percent sure that day if ANY bank was safe, so I got the cash to him the fastest way possible.

If there is even a hint of a possibility of a bank run, I want to get there first and get out what I can before the regulators shut the pipeline. Can't do that with an online bank.
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Old 01-19-2019, 10:01 AM   #12
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I stopped using a B&M bank back in the 1990s. The I started using one again.

Every B&M bank is also an online only bank. One just has to not go inside the building.*

Also I haven't had a savings account anywhere in decades, so I simply do not care about interest rates on something I will not use.

*Not quite true. I got a roll of quarters once because a remote area I was going to only took quarters.
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Old 01-19-2019, 10:09 AM   #13
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Currently using a combination.

My favorite "benefit" was at a bank which was located next to my old office. The had a great free coffee corner set up for customers. They also had a medallion guarantee, and there was a period of time after DF passed that I needed it a lot.


I tend to get better condition cash from a teller than the ATM machine. I still use cash, and need good bills for the LIRR ticket machines.


Two safety deposit boxes.


Pens.

Currently, I am still working and we have hot-and-cold-running notaries in our office, but when I retire I won't have that - so it is a benefit.

Being able to deal with a person when addressing an issue.
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Old 01-19-2019, 10:15 AM   #14
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Use a local bank (credit union really) with a checking account but like mentioned already, I generally keep only about $2K balance. I don't even have a check book for this account. My main checking account is through online Discover Bank. As many mentioned, local bank used for safe deposit box, obtaining or depositing cash, notary and medallion services. I move money in and out of the local bank through ACH as needed. Gives me decent flexibility with little to no cost.
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Old 01-19-2019, 10:34 AM   #15
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Originally Posted by steelyman View Post
That’s a good service, as are free medallion signature guarantees.


I recently found that the 3 brick and mortar banks my family does business with (Wells Fargo, Chase, US Bank) limits the dollar amount of the medallion signature guarantee to something like $25,000, $50,000, or $100,000. So when an out-of-state mutual fund company required 3 medallion signature guarantees to change the account ownership from a deceased parent to the estate trustee on an account > $100,000, it was difficult finding a business willing to provide one.

Do online bank checking accounts allow you to write personal checks, or is it only electronic transactions? I have a few sole proprietors (yard maintenance, piano tuner) that accept only cash or personal check.
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Old 01-19-2019, 10:40 AM   #16
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When I purchase a car, after putting as much as they allow on my 2% cash back credit card, I go to my nearest bank branch, and get a cashiers check for the balance. As a result of my relationship with the bank, I get cashiers checks (among other things) for no fees.
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Old 01-19-2019, 10:42 AM   #17
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Quote:
Originally Posted by Another Reader View Post
In early October 2008, I drove to one large bank and withdrew a substantial amount of cash to pay a contractor renovating a rental. He banked with another large bank where I also had an account, so I drove to that bank and deposited the cash in his account. I wasn't 100 percent sure that day if ANY bank was safe, so I got the cash to him the fastest way possible.

If there is even a hint of a possibility of a bank run, I want to get there first and get out what I can before the regulators shut the pipeline. Can't do that with an online bank.
ATM?
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Old 01-19-2019, 10:43 AM   #18
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Originally Posted by swakyaby View Post
I recently found that the 3 brick and mortar banks my family does business with (Wells Fargo, Chase, US Bank) limits the dollar amount of the medallion signature guarantee to something like $25,000, $50,000, or $100,000. So when an out-of-state mutual fund company required 3 medallion signature guarantees to change the account ownership from a deceased parent to the estate trustee on an account > $100,000, it was difficult finding a business willing to provide one.

Do online bank checking accounts allow you to write personal checks, or is it only electronic transactions? I have a few sole proprietors (yard maintenance, piano tuner) that accept only cash or personal check.
Yes, checks and they are free.
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Old 01-19-2019, 10:47 AM   #19
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We keep some savings at Ally. But we use our Fidelity cash management account for all normal banking activity... like checking, direct deposit, bill-pay, free ATM, cash-back CC, and check deposit using mobile app. I guess technically, they do have a B&M location about 45 minutes away, but we've never been there. I'm not even sure what kind of transactions can been done there, if any.

We do keep $1500 parked in a Wells Fargo checking account (minimum to avoid fee). We rarely use it for anything except transferring money to/from the kids on occasion since they both use WF. We used their free notary service 2 or 3 times in recent years. And I deposited a large amount of cash once after selling a car. That's about it. I figure it costs us about $33/yr which is the interest we could earn on the $1500 at Ally. Pretty reasonable price for the convenience when needed.
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Old 01-19-2019, 10:58 AM   #20
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Quote:
Originally Posted by sergio View Post
Why I keep $3k in a checking account at a local brick and mortar bank:

1. Can deposit cash

2. Can withdraw large amounts of cash ASAP (never needed this, but just in case)

3. Ability to withdraw $100 bills (for wedding gifts) or rolls of quarters (super useful when I lived in apartment and paid for laundry).

4. Can get a cashier's check or certified check ASAP

5. Notary services

6. Safety deposit box

The VAST majority of my cash is held at Ally. I just don't see the harm in keep a minimal connection with a brick and mortar bank.
Exactly my reasons and current usage.
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