This is something I don't understand. Everyone hates bankers but they still bank. Surely if the banks are the criminals society claim why do they still put their money there? They could just keep one account to take paycheques and then put the rest of the money in other investments stocks, shares, precious metals etc. There is no need to use the bank other than to have a couple of grand for payments. If people were really that concerned it could be done immediately by withdrawals of their money. The banks would collapse and people would just use other methods of investing and getting capital. The reason is it is too convenient so with all of the bad they still use the banks. They only have themselves to blame.
I try to never have more than $3k in my bank account and thats just to pay bills. Since the banking cartel is the one that prints the money, its kind of hard not to do business with them. Its sort of like if one guy controls all the food & water. You can complain all you want about the prices he sets, but whats the other option? Not to eat?
"Banking" covers a wide array of products and services. Not many people really hate retail banking. It's institutional banking that is coming under fire. Personally I love my check card. I love being able to review my purchases at the end of the month without the need for saving receipts and adding everything up. I love direct deposit; what a time saver! I love being able to cash the random check I receive here and there without paying a fee like at a check cashing place. Yes, retail banking is catching a little shit because of the huge fees they assess, but really that's only for bad and sloppy behavior. Banks don't levy a fee because you're good looking, or because your account balance was a prime number. They charge you for NSF checks, for missing payments on a car or home loan, for overdrawing your account. Don't like it? Pay your bills on time and don't spend money you don't have. I switched my retail banking to BofA 3 years ago, and they have not made one penny from me in fees.
With respect that is the point I am making. Why don't people invest their money in other ways not using the banks.
Agreed. I will admit that I absolutely despise banks! I used to cover a large territory as the Investment Advisor (They called it "Investment Executive." Lol) Here's what I saw: 1. Big shots from the top put pressure all the way down to the branch employees to open checking accounts. I asked why this is pushed so hard, and was told, "because checking accounts make us 5 to 1 what a CD will." The banks KNOW who is likely to overdraw, and they LOVE eating the entire paycheck of some college kid who dinged his account over the weekend ONCE, all the while his transactions from Thurs, and Friday didn't "post" until Monday, causing a windfall of fees. 2. Marketing to "less than sophisticated" people for credit cards KNOWING they will NEVER pay off the balance... Knowing these people will pay the minimum, and stay buried forever... How do they know how a person pays? Their credit bureau's reports will show how the person pays on cc's. Sad! 3. On my end, the "big shots" tried to push me to get my Registered Reps to push ALL packaged products that pay the upfront riff. Annuities, A share Mutual Funds, etc., Garbage products! I couldn't stand to even be associated with the bank, and went Independent. I'll NEVER, EVER go back to that! Maybe some of you here have had better experiences working in a bank, but when I told them I was leaving effective immediately, I asked several of the idiots who were in the role of "big shot," how do you guys look in the mirror after screwing trusting people day in, day out?" I could go on as there's more... Anyhow, I'd LOVE to see Glass Steagall be overturned NOW!!!!!!!! http://www.investopedia.com/articles/03/071603.asp Banks have ZERO business handling investments! Did I mention I hate Banks! Lol!
I don't hate banks at all but I can see how I don't need one. I can go to a kiosk at a convenience store and deposit commercial checks, withdraw cash, make transfers from checking to savings, etc... and I can get a prepaid Visa Card and never have overdraft charges... but some applications require some banking info so I suppose the thing to do is keep $ in a bank for that purpose. I'd rather pay a check cashing place a fee to cash a private party check than deposit it in a checking account and wait days to have it available sometimes too...
I have a theory that the major banks in the retail biz (BofA, Wells Fargo, et al.) don't actually make any money on their retail customers. I think it's just a front so they have a large constituency of people with skin in their game so they don't face a widespread backlash. Example: The masses were screaming for Goldman to be strung up by their thumbs. Joe Sixpack thinks "I ain't got no money with Goldman, let 'em burn!" While the heads of the retail banks got at most a soft lashing with a wet noodle. Joe Sixpack thinks "Hey I got me my fishin' boat savin's in that Bank of America, I don't want them goin' outta bizniss.."