Money Under A Mattress

And why is it we need banks?

Pay in Cash?

In my on-going series on banks, I thought I would pass this article in today's New York Times about the fees Visa (and your bank) charge for using a debit card. Remember, a debit card is your money. Yet Visa (and your bank, which takes a fee from Visa) charge retailers and venders a fee for every time you use your card. If you don't use your PIN, in other words, the card swipes as credit, even though your checking account is debited, the fee is even higher (hence the reason Costco only accepts debit cards).

So, since retailers don't make a full dollar for every dollar they charge you, the cost of goods and services increases to cover that deficit.

Simply amazing what those bankers think of, isn't it?

Banking's Deaf

In today's New York Times is an article about pre-paid debit cards, or cash cards. How this is the new way for banks and the financial industry to ding owners of these cards (and oh, surprise, surprise, surprise, most people who have these cards are unable to open accounts at banks and are usually poor!). Activation fees, monthly fees, fees for using ATMs, fees if they go over the amounts on their cards. Yikes!

The financial industry is deaf. They clearly can not hear that we are more than fed up. Or maybe the problem is we're not mad enough.