Dollars and Sense May 1st, 2012

Alright, I know I haven't gotten one of these out in quite some time, but like I said, I am absolutely against blogging at work, I will not use any of my companies time for a post I can easily do at home in my spare time.



One of the things I try to do is try and make sense of things happening concerning the economies, but more specifically, from my viewpoint as a banker. None of the post I write should be considered "poking" at other banks (like this one), I'm only trying to bring these issues to light.

With that said, Bank of America is cutting around 2,000 jobs. Which only increase people's fear of big banks, and being hired by a "Big Bank". The problem is, and it's not necessarily a problem as it is a goal that just hinders the res tof the banks here in the United States, that Bank of America is continually in a race with JPMC, Wells Fargo and Citi bank, for top dog...not only in the United States, but the entire world. In order to do those, profits must be raised, and the emotional attachment to fulfilling lives of employees, and sometimes even customers, has to be set aside.

I don't know about you, but I love what Bank of America IS, not what it stands for.

While over at the WSJ, (and I do want to give credi to them as much as possible, but I do not like to link to them. This is a very rare occurrence), I skipped over an article about how debit card fees are higher at smaller baks than larger banks. I believe this statement goes without saying. I work for one of these "Smaller" banks, and we do charge fees. Sorry, folks, but banking is not free, nor will it ever and should it never be free. It is not a free service. If banking should be free, than public education should be free (which it isn't, check your taxes!). We offer a service, we deserve to be paid.

Now, where this simple message gets mixed up is in the media, and also some of the "Big Banks" practices. Most of which I will not agree with, some I do. Overdraft is a privilege, not a right. So, the abuse of it will cost a pretty penny. But charging someone 5 dollars JUST to use their debit card is, quite frankly, outlandish.

I can see why people would think bank fees are ridiculous, but think of it as a restaurant, and it makes more sense. Extra fries? Gonna cost you some more. More/Better services? Gonna cost you more.

And yes, smaller banks do charge more, but it's because we HAVE to. It's strictly out of necessity, unless you want no other choice but to bank with one of the 5 big boys.

We offer as much as we can, and try as hard to compete with the big boys as we can. But at the end of the day, we have to pay our employees some how. It's all business.