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Ok, so then you have to consider the cost of the safe in addition to the (miniscule) lost interest.
Even with a safe the potential to lose the cash is their so your original question is still valid. Safes could fail in a fire, be stolen or broken in to
Ok, so then you have to consider the cost of the safe in addition to the (miniscule) lost interest.
You do realize many people have safes in their home right now that they have money, jewelry, computer drives, important documents, guns, etc? It's not like a safe can only hold money!
The bank has every right to ask what you are doing with the funds, you don't have to answer however. AML procedures sure allow for a fair amount of questioning
Well do they want customer's deposits or not? They have discretion in how they deal with customers transactions. It would be advisable to be respectful to a long time customer who is obviously not a terrorist or drug cartel dealer, to just allow them to conduct their business without the spying.
I don't really understand the new rules, the banks still offer things like CD specials if you deposit over, say 50K, so they are attempting to attract large deposits. Yet those "cash" people, mostly older folks, would be the ones who may do transactions of 5K or so for different things, and who would be scrutinized, prompting them to discontinue depositing their hundreds of thousands that the bank still tries to attract by offering higher rates and no fees.
The answer is it depends as it's not a blanket yes or no. There are plenty of customers the bank does not want
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They have discretion in how they deal with customers transactions. It would be advisable to be respectful to a long time customer who is obviously not a terrorist or drug cartel dealer, to just allow them to conduct their business without the spying.
Spying is a poor choice of words, if I ask you a question and you answer that's certainly not spying. There is nothing to say a long time customer can't start laundering money. It happens sometimes with said customer being scammed. Asking question sometimes protects the customer from losing more money, this is something I deal with on an increasingly frequent basis
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I don't really understand the new rules, the banks still offer things like CD specials if you deposit over, say 50K, so they are attempting to attract large deposits.
Attracting large deposits is not the same thing as attracting large cash or cash equivalent deposits
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Yet those "cash" people, mostly older folks, would be the ones who may do transactions of 5K or so for different things, and who would be scrutinized, prompting them to discontinue depositing their hundreds of thousands that the bank still tries to attract by offering higher rates and no fees.
It would be rare for some old person to come in with hundreds of thousands in cash to deposit for a promo CD. Again a cash/cash equivalent issue
No bank thinks your money is theirs so stop with the nonsense. The bank has every right to ask what the purpose of the withdrawals are for and you have every right not to answer. I'm really not sure what you are asking why about but banks are required to have AML procedures in place and included in those would typically be inquires into the purpose of withdrawals or transfers, the origination of deposit and a host of many other variables.
Also on a very basic level the bank knowing what it's for might have a better alternative for the customers other than carrying larger amounts of cash. As was the case above, a bank check for free or alternatively a wire transfer might be a better option. I've asked clients before and offered up better solutions, it's not always about an info grab
Again I ask why ? They don't ask about where you got your money when you deposit it ?
Ok, so then you have to consider the cost of the safe in addition to the (miniscule) lost interest.
You think it will be a one time thing ?
In Japan you get one penny a year for $1000 on deposit.
But you pay $1.00 for every ATM withdrawal.
It's not lost interest. It's lost principal.
I don't know the other charges.
But it must be significant enough that people are buying every safe on the shelves in stores.
I can only imagine that the people that got their money and gold out of the banks before FDR seized control were thought of as being crazy and paranoid.
As they say..history repeats but just takes on a different melody.
Again I ask why ? They don't ask about where you got your money when you deposit it ?
I answered your why question with multiple answers already
And yes banks do sometimes as where you got your money from. It may not have happened to you but it happens. They also ask questions on how/where you acquired you wealth for similar anti money laundering practices as I've mentioned a couple of times already.
The answer is it depends as it's not a blanket yes or no. There are plenty of customers the bank does not want
Spying is a poor choice of words, if I ask you a question and you answer that's certainly not spying. There is nothing to say a long time customer can't start laundering money. It happens sometimes with said customer being scammed. Asking question sometimes protects the customer from losing more money, this is something I deal with on an increasingly frequent basis
Attracting large deposits is not the same thing as attracting large cash or cash equivalent deposits
It would be rare for some old person to come in with hundreds of thousands in cash to deposit for a promo CD. Again a cash/cash equivalent issue
I did not mean the large deposits were coming in cash. I was referring to insulting good customers by delving into their personal use of their own money. If Jane is a long time customer, has a couple of jumbo cds at your bank, and she wants to withdraw 6K cash from her money market account but gets questioned, she may feel uncomfortable with that.
Jane knows that if she fails to answer the question, you will probably go ahead and file that SAR. That has nothing to do with servicing the customer to offer the best options. That is about suspecting an innocent person of criminal behavior, because she would not answer a personal question.
You may ask the question but many will feel violated and it just causes a breakdown in trust.
I did not mean the large deposits were coming in cash. I was referring to insulting good customers by delving into their personal use of their own money. If Jane is a long time customer, has a couple of jumbo cds at your bank, and she wants to withdraw 6K cash from her money market account but gets questioned, she may feel uncomfortable with that.
She may feel uncomfortable or she may not. She also would probably not be asked each time she withdrew money. You are interjecting your possible feeling about a possible scenario, but in reality the questions are rarely met with negativity by the customer
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Jane knows that if she fails to answer the question, you will probably go ahead and file that SAR.
You have no idea of knowing that
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That has nothing to do with servicing the customer to offer the best options. That is about suspecting an innocent person of criminal behavior, because she would not answer a personal question.
More interjection, the question could very well be a service based inquiry as it was by the person it happend to in this thread
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You may ask the question but many will feel violated and it just causes a breakdown in trust.
If you feel violated by this I'd say you are a bit sensitive because rarely is this a SAR related issue. Furthermore if you take issue with possible questioning you can thank your elected officials because that's the main reason AML procedures have gone where they have
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It's not like a safe can only hold money! 
