posted on Oct, 5 2011 @ 12:56 PM
I'm not going to advocate a bank run. I think that may be illegal and it is most certainly a violation of ATS T&C. However, in the spirit of
advocating vitally needed change, I would like to suggest --- yet again --- that people move their banking out of the mega-banks and into smaller
community banks and credit unions. Yes, I know there is a hassel involved but if we truly are supposed to be the activists and not members of the
Sheeple is that really too much to ask?
With BoA and now Citi raising fees on the most basic services, and with the others coming down the pike, exactly how long are we going to allow them
to just take? They helped screw the economy by their actions and by the looks of their earnings, profits and bonuses, their previous irresponsibility
and malfeasance hasn't seemed to have hurt them. They were bailed-out because Washington *said* they were necessary to help stabilize the economy to
affect a recovery. But their lending to businesses has been, at best, anemic; their homeowner assistance programs have helped a tiny fraction of the
people the programs were designed to help; they have gone right back to BAU once they got what they wanted; and yes, money is flowing like water in
So yea, there's a small inconvenience in changing banks. In marketing we call this 'barrier-to-exit'. It is, of course, intentional and by
design. The TelCo's learned from the long-distance wars of the '80s and '90s that people couldn't be allowed to simply change providers without
some pain. Back then, a competing company could send you a better offer and change your long distance service as easy as pie --- often by your simply
depositing an enticement check they send you. So lots of folks ping-ponged between providers with each better offer. It was very expensive for the
LD providers to wage this war and lessons were learned. I know because I was there and saw it first-hand. This is largely what led to 'early
termination fees' in wireless contracts. This avoided a repeat of those LD wars since you can only change providers once your contract is up.
Banks use inconvenience as their barrier-to-exit. They know you usually have multiple bank products, possibly linked, and you have checks floating
out there probably so it's a hassel. Moving a mortgage or loan may be a hassel but your day-to-day banking is no big deal. I got evicerated when
the economy up-ended. In the ensuing chaos BoA screwed us in a number of ways and there are class-action lawsuits pending on many of those bogus
practices. At one point my household had 4 checking accounts, 2 lines of credit, a credit card, 2 savings accounts, an aircraft loan, a student loan
and a mortgage with BoA. We paid-off or transferred all our loans (except our mortgage which we can't refi) and credit card, closed our checking
accounts and moved to a small community bank. I get free checking, free online bill pay and they actually have a rewards program. There aren't as
many ATMs as BoA but with just a little pre-planning it isn't any real inconvenience. I'm paying less bank fees and couldn't be happier with the
service I get.
So, this is our time. Bite the bullet for the cause. It doesn't matter how much or little you have. Waves of account closings DO get noticed.
There isn't much we 'little people' can do to hurt the mega banks but this is something we CAN do and with large enough numbers will have an
impact. Screw the big bailout hogs. Move to a community bank. Do it now!