A quiet protest taking place out in the burbs that may be stronger than you think (Lynchburg: HOA fees, mortgage)

[Caladium]

Like a lot of people out here in the burbs, we have our HOA fee taken directly out of our bank account so we don't have to worry about mailing a check every month. When Bank of America announced the debit card fee, we decided to close that account.

So I went to the HOA to get the form and discovered there's quite a quiet little revolution going on out here in the burbs.

I thought I was making an unusual request. To my surprise the clerk at the HOA said several hundred people have done the same thing within the last week, all of them changing from large corporate banks to smaller local institutions, credit unions, or USAA.

If several hundred people from my HOA are doing this, does this represent a huge trend? Is it happening in other HOAs? I wonder how many thousands are doing this all over our metro area?

[ChristineVA]

Apparently enough people were doing it so that BoA changed its mind.

[LynchburgLover]

. . . and Bank of America just started sending out the pink slips in Charlotte last week. They estimate 30,000 people nationwide.

[Dusty Rhodes]

Quite a few people down here are doing the same thing, it seems, at least, that there is movement toward smaller independent banks, fewer random fees, friendlier service. It is nice to be greeted by name when I enter my bank.

[United_Caps_Skins_Fan]

Originally Posted by LynchburgLover

. . . and Bank of America just started sending out the pink slips in Charlotte last week. They estimate 30,000 people nationwide.

I hope that no one thinks that they are doing this because they realised they cant just rip people off anymore. If they are laying off that many, that bank has far bigger, and deeper problems than just the backlash from their whole debit card fee debacle.

While I fee sorry for those that may lose their jobs, I do NOT feel sorry for companies that get so large, they lose site of where there money comes from, their customers, and end up treating everyone poorly. IMHO, there is no such thing as too big to fail when it comes to any private business. You treat your customers right, do right by them, don't rip them or anyone else off, and don't get greedy, your business will do probably just fine.

Alas, I think that companies, especially some large ones have forgotten most of the things above, and put greed / profits far before actual people. Those companies IMHO, deserve to fail. People, especially customers, is what makes up a business in the first place, and makes a business successful. When that is forgotten by the company (which it often is) then if / when that company fails, you wont see me shed a tear.

I left BOFA years ago when they started taking over other banks, and started raising my fees. I went with a credit union, and a very small, very old local bank, and have been happy with both ever since. All while waiving goodbye to being feed and nickeled and dimed to death.

[saganista]

Originally Posted by LynchburgLover

. . . and Bank of America just started sending out the pink slips in Charlotte last week. They estimate 30,000 people nationwide.

No less work is being done. HOA fees are still being paid. If BoA somehow had to fire 30,000 people, then other institutions had to hire that many. 30,000 people being laid off from one place makes the papers. Two people being hired at 15,000 places doesn't.

Too-big-to-fail is a systemic concept. It has to do with an institution's place and scope within the global financial system. It has nothing to do with bank customers, officers, or stockholders at all.

Speaking of which, aside from whatever minimum account one might need to maintain in order to get access to free ATM's, there is virtually no reason ever to do business with a bank.

[ChristineVA]

Originally Posted by saganista

Speaking of which, aside from whatever minimum account one might need to maintain in order to get access to free ATM's, there is virtually no reason ever to do business with a bank.

I almost *never* go inside the bank.

One of the reasons I have a BoA account is that many years ago, when I didn't have a lot of money and could not keep a high enough balance to get rid of fees, they offered an e-Bank account. No minimum balance and no bank fees as long as I never set foot inside the bank and used a teller. The minute I had face-to-face contact with a teller, I would get a fee. I never did that so I was fine using my ATM card all the time and doing everything electronically. BoA (as well as other banks) encouraged the use of debit card transactions and all other means of electronic processing as it was cheaper for everyone all around.

I found it laughable that now that they have weaned most of society off of using the checkbook (because remember processing checks is SO expensive), that they want to start gouging people for using their debit cards outside the ATM machine. I do realize that those debit card fees were being paid by merchants and that legislation was passed to stop that so the fees go to the banks now.

[spencgr]

Originally Posted by Dusty Rhodes

Quite a few people down here are doing the same thing, it seems, at least, that there is movement toward smaller independent banks, fewer random fees, friendlier service. It is nice to be greeted by name when I enter my bank.

While I agree it's nice to be greeted by name, I haven't entered a bank in years. Everything (car loan, house loan, banking, etc) is all done on-line. Some of the smaller banks and credit unions don't have the option to do it all online.

[Middlin]

I'm no fan of BOA or any bank for that matter, but keep in mind that BOA did the $5 under full disclosure. Don't kid yourself that BOA or any other bank will not collect this money that has been taken from their bottom line.

[jmking]

I dumped Suntrust and will soon dump Wells Fargo who holds my mortgage as soon as I sell my home of 15 years in Fairfax next year perhaps. I hate Wells Fargo and cringe every time I see a new Wells Fargo sign where there used to be a Wacovia. WF treated me and my very ill wife extremely poorly and had to acquire help from my congressman Gerald Connally to call off those animals. Very very bad customer service, the worst I've seen from any business I've ever encountered in my 54 years.