Bank Transfer Day: A Protest With Your Money
The social uprising — called "Bank Transfer Day" — encourages bank customers to take their cash out of big banks and put it in smaller banks and credit unions instead. The movement is ostensibly in response to aggressive fees institutions are rolling out to recover profits lost from new financial regulations, notably Bank of America's (BAC - News) decision to stick debit card users with a $5 monthly fee and Wells Fargo's (WFC - News) $3 test of the same.
Here's an explanation from the organizers of Bank Transfer Day, straight from the group's Facebook page:
"Together we can ensure that these banking institutions will always remember the 5th of November!! If the 99% removes our funds from the major banking institutions on or by this date, we will send a clear message and give the 1% a taste of the fear that we experience every day when we aren't able to pay for our rent, food, medication, utilities, student loans, etc."
As of Oct. 10, the group's organizers say 6,500 Americans have already signed up in support of the event. How many of those consumers will actually yank their deposits from big banks is an open-ended question that won't be answered until Nov. 5, if at all.
Originally posted by inthemass
It would be great if it would work...
Chase now charges a $10 monthly fee if you have less than $3500. If you have a student I.D. they will drop the fee so that helps me out. I still say it's nonsense, charge the lower income people?
Originally posted by forevertruepatriot
This needs to be spread with the channels that are spreading the Occupy Wall Street stuff. Without an action like this, protests mean very little to the head bankers.
Four Reasons to Choose Credit Unions Over Big Banks
1. Free Checking. Fat chance of finding a bank that has totally free checking these days. Although there are crafty ways of avoiding checking account fees, no bank is going to tell you that. Most credit unions still have totally free checking account for members.
2. Free ATMs. Most credit unions belong to networks within the National Credit Union Administration or NCUA. If you go to any credit union that is part of this group, you will often receive no fee ATM transactions. It doesn’t always work out like that, but even if you do pay a fee, it’s going to be a lot cheaper than traditional bank fees.
3. Better Interest Rates. Credit unions are non-profit. When you join a credit union you have to pay in to it as a shareholder. It’s only about $5 that you pay as your “share,” but that $5 makes you an owner of the credit union and because of that, you’re entitled to benefits. Credit unions often have better rates on loans, and better interest rates on deposit accounts.
4. No Strange Fees. If you’ve taken a large amount of cash in to a bank lately, you’ll notice that they charge you for the deposit. Isn’t that kind like McDonalds charging you to purchase lunch, and then charging you for the food? If it seems silly, it is, but that’s the new normal with banks. Credit unions have also been affected by legislation and have beginning to hop on to the fee bandwagon, but not with outlandish fees like this.