Uncle Sam Wants Banks To Lower CC Late Fees to $8

[winr]

I aint wise enough to know if that is good or bad, I do read yalls posts to try an glean intel

I pay cash for everything cept my house and have a few years left fore I own it

Used to work with a guy for 5 years, he bounced checks every month, changed banks every year

He allowed the banks were at fault, when one of his checks bounced, it sometimes caused several more of his checks to bounce..... he got hit with multiple fees

Imagine when he got a credit card ....total mayhem, he finally asked me for help, took a year to get him out dept

Then he and wife decided to celebrate by goin out of town, spent all of their saved money an racked up a large bill

I gave up an told him I did not want to hear his misery an woe an dont ask to borrow money from me again

Perhaps some should not have access to credit or such ??


Ricky.

 

[Shmee]

I always pay my CC bills on time, and I don't spend money if I don't have the money to pay off right away. I make CC pay me, with cash back etc.

That said too many people are irresponsible with them and go into debt. Though the interest rates and late fees are pretty darn high, they probably should be more reasonable.

 

[Fenixgoon]

For all the talk of credit score, don't forget that it is a relatively recent invention (1989). Also banks absolutely process transactions in their favor to invite fees.

 

[highland145]

For all the talk of credit score, don't forget that it is a relatively recent invention (1989). Also banks absolutely process transactions in their favor to invite fees.

True. Some years back, BoA was accused of processing large checks 1st so they could bounce 5 small checks for the fees. They claimed they paid the large ones ( mortgage and the like) as a favor for the customers.

 

[[DHT]Osiris]

I always pay my CC bills on time, and I don't spend money if I don't have the money to pay off right away. I make CC pay me, with cash back etc.

That said too many people are irresponsible with them and go into debt. Though the interest rates and late fees are pretty darn high, they probably should be more reasonable.

When wondering about fairness, ask yourself what would happen if the bank/cc company was late/slow with repaying/compensating a customer. If a $xx late fee was deemed unreasonable for the bank to pay, it should be unreasonable for the customer to pay.

 

[GodisanAtheist]

True. Some years back, BoA was accused of processing large checks 1st so they could bounce 5 small checks for the fees. They claimed they paid the large ones ( mortgage and the like) as a favor for the customers.

- While shady, I can see their argument. I'd rather have my mortgage get paid and have Billy's $100 birthday check bounce than the other way around.

Having worked in an FI call center, the bounced check personalities are fascinating.

Some folks are like me, they just want to know what they lost track of and are deeply apologetic for not keeping tabs on their own money (especially when there are so many tools to keep track of how much money you have). I bounced a check as a teen and mouthed off about "the bank" to my mom and she smacked me across the face and told me my money isn't anyone else's problem but my own and that she better not hear about any more bounced checks. Really took that to heart.

Other people, well, they bounced a check and it was EVERYONE ELSE'S FAULT. It was little Billy's fault for not cashing the check ASAP, it was the bank's fault for "structuring payments" (we were a small community bank and just paid things as they came in), it was my fault for not personally calling them and telling them their check hadn't posted (??? How was I supposed to know what checks they wrote???) but ultimately I BETTER REVERSE THAT FEE OTHERWISE THEY'RE TAKING THEIR $500 AND LOW LIMIT CREDIT CARD SOMEWHERE ELSE or GET THE CEO ON THE LINE, THIS IN UNACCEPTABLE BEHAVIOR or whatever.

Some people are just raised or built different, always the victims, and we can't negotiate with them.

That said, keep the fees, but ease up on them a bit.

 

[highland145]

I'd rather my mortgage get paid, too, but BoA isn't the good guy. They'd rather have 5 overdraft fees than 1.

And, yeah, balance your bank account.

 

[GodisanAtheist]

I'd rather my mortgage get paid, too, but BoA isn't the good guy. They'd rather have 5 overdraft fees than 1.

And, yeah, balance your bank account.

-Also, stop writing checks. Basically the worst way to pay for anything at this point.

Either use an electronic payment or use cash.

 

[Red Squirrel]

I rarely write cheques but they can be a quick way to transfer money to someone as a one time thing without having to setup anything.

I find myself using etransfer for payments between individuals more though as that's not really that hard to setup, just need their banking email or phone number. For reoccurring payments to companies I'll either setup preauthorized payment or a bill payment through online banking if they can't do preauthorized. The more I can automate the better.

 

[crashtech]

Many of the vendors I use in my small business seem to prefer checks; they have no online payment method and can only take a credit card by phone if necessary. With those who offer it, a check is the only way to get the 2% early payment discount, so I still write many checks. It'd be great if they'd move into the 21st century already.

 

[Lost_in_the_HTTP]

I have several places I deal with that either don't take cards at all, or add a fee to them. Not a huge issue for small transactions, but at $300-400 or more, even 3% can add up if you do it very often.

But I don't like paying for checks either. I find most banks will give you some for free for your first order on a new account. Couple that with the banks that give a sign up bonus and you can be in free checks for quite a while if you don't mind changing banks every couple of years.

The key to avoiding fees is to stay on top of your money. Watch every transaction and have alerts set up to catch anything unexpected.

 

[manly]

Written checks are basically e-payments at this point, but with a long lag time. Most of the world has ditched them; the U.S. is slowly getting there but doesn't have a total replacement already in place (ACH and Zelle work, but could be better).

 

[nakedfrog]

-Also, stop writing checks. Basically the worst way to pay for anything at this point.

Either use an electronic payment or use cash.

My HOA's management company charges something ridiculous like $12 or $15 to make my quarterly payments online. So I mail a check instead. Could I use my bank to send them an electronic check instead? Oh, probably. Do I hope me mailing in a paper check is more of an inconvenience for them? Yes, yes I do.

 

[Lost_in_the_HTTP]

^^^ My banks try to send an electronic check, but if the receiving company isn't set up for it, they'll mail a paper check. No cost to me.

 

[Lost_in_the_HTTP]

Written checks are basically e-payments at this point, but with a long lag time. Most of the world has ditched them; the U.S. is slowly getting there but doesn't have a total replacement already in place (ACH and Zelle work, but could be better).

^^^ Not when you're dealing with groups like The Amish that refuse to be 'connected' to the outside world. Cash or paper check only.