When BOA starts running out of ways to add fees....

[IceBergSLiM]

Originally posted by: Anubis

Originally posted by: IcebergSlim

Originally posted by: Capt Caveman
Sorry but just about all banks will either charge you or not even allow you to cash a check with them unless you're an account holder. Surprised BoA hasn't had this requirement sooner.

I have never heard of this. Proof? I cashed personal and paychecks at many different banks in my state. never an issue.

ive never seen a bank cash a check for someone who did not have an accnt with them
this was i assumed common knowledge.

I've don't literally hundreds of times over the years. I believe its illegal to do this with personal checks.

 

[skyking]

The real reason for this? Overdraft fees.
When you do business with small companies, it is not uncommon to get stiffed now and again.
The banks make tons of money on overdraft fees. One way around it as another small business owner is to go to the issuing bank and try to cash that check. It comes up as NSF, but no money changes hands. You come back by tomorrow, funds are in, you cash it and go.
Now you have to pay a fee to cash it. You (tightwad) elect to deposit said check. It goes to the fed, gets bounced NSF, and you the depositor gets stuck with a $35 fee from your bank. It is a real PITA to get that $35.00 out of the check writer, when you will have no more regular business with them.
If I have a bad feeling about a check, I'll still opt for the fee route and avoid the much bigger NSF charges. It is a form of gambling that I usually win.

 

[Swagman]

Around the time when dirt was coming in to being, which was when I was in first grade, many schools had a banking program. My school used BofA. Each Friday the teacher would collect your little envelope with whatever you had to deposit, and the school had someone who would carry them all down to the bank.

One summer when I was about 22, I got a job a good distance away from home, but drivable. Some banks weren't open on the weekend, and I couldn't make it to my branch on friday before the 5 o'clock closing time. I needed cash for that weekend, so stopped at a branch near the job. The check was against a BofA account, I was in a BofA bank, and had my BofA passbook. The new and improved identification system at that time was your signature in the passbook using magical ink that became visible under a black light.

"We're sorry Mr. Swagman, this transaction can only take place at your branch of account."

"I beg your pardon?"

"We can't cash your check."

"Then just deposit it and I will make a withdrawal from my savings account."

"Sorry, no."

"May I speak to your manager?"

I got the same spiel, along with apologies, from the otherwise pleasant lady.

I had a good chunk of change saved up in preparation for increasing my chances of becoming a further educated fool. When I asked for a bank check in the full amount of my savings and checking, she asked to be excused while she made a phone call. Moments later she said that my original transaction could be completed.

When I insisted on closing out my account, she actually became angry with me.

Banking institutions have always been just a little bit odd in their application of rules and regulations, but BofA has a long history of peculiarities.

 

[Gooberlx2]

Originally posted by: Anubis

Originally posted by: dainthomas

Originally posted by: child of wonder

Originally posted by: IcebergSlim

Originally posted by: Marlin1975
Then cash them in your account. They are doing you a service and as such charge for it. How is this a problem?

Why should I have to have a bank account to cash a check? A check is a monetary instrument used as an equivalent to cash. It doesn't say pay to the order of but deduct a fee on the check
it just say pay to the order of.

so the poor guy making minimum wage has to use an hour of labor just to get paid.

I disagree with these ridiculous bank fees, but what's stopping the minimum wage guy from opening a checking account with any bank and depositing it there?

Maybe the fact that he uses cash only is part of the reason he is a minimum wage guy?

Some homeless guy can't just walk in and open a free checking account. There are certain credit and other criteria if I recall. Therefore if you're a homeless guy who can't open an account and just got a minimum wage job that paid you with a BoA check, then they're charging you an hour's labor to get your money. Nice.

That's why it will always be WAMU or my credit union for me. Banks with fees to just look at a teller can suck it.

im curious who is writing homeless guys checks? most people give them change

A lot of homeless will do odd jobs for businesses. My wife used to issue $50 checks to a homeless person if he/she would put out flyers on all the cars in the parking lot, or stand outside with an advertisement sign for the day.

This happens all the time in cities with actual homeless populations.

My BIL hasn't yet been able to get a new state ID since he's been released from prison (his own fault for fucking around with name changes and getting in trouble), and as such can't open any bank accounts. So he's gotta either go to the bank that issued the check (in the case of his allowance from his parents, since he can't work), or sign it over to me and I cash it at my bank, or he has to pay a fee somewhere else.

I agree with IBS here...it's a shitty move and BoA is a bunch of assholes.

 

[dmcowen674]

Originally posted by: coremortality

Originally posted by: Capt Caveman
Sorry but just about all banks will either charge you or not even allow you to cash a check with them unless you're an account holder. Surprised BoA hasn't had this requirement sooner.

This isn't entirely true. Banks can charge you for cashing a check that does not originate within the same bank because they have no way to verify if the funds are available or if the account is even open so they take a major risk by cashing it.

If the check originated from the bank but the person who wants to cash it doesn't have an account with that bank, the bank should just issue the cash because they are able to verify if cash is available. If they charge you then they're crooks.

All true, there is no "risk" as the corporate apologists in here are trying to claim.

Check 21 put into place by Bush a few years back for the banking scam industry ensures that banks can in fact verify the money is there.

 

[Capt Caveman]

There's a reason why cash checking places are located in poor areas.

 

[Leros]

Banks make their money off of money deposited into their system. If you don't have an account and you cash a check, you're getting a service and they get no payment. It makes sense for them to charge you in that case.

 

[Gooberlx2]

Originally posted by: Leros
Banks make their money off of money deposited into their system. If you don't have an account, you're basically leaching off the bank. It makes sense for them to charge you in that case.

LOL, leeching? Right, because being given money owed to you is leeching. :roll:

 

[coremortality]

Originally posted by: Swagman
Around the time when dirt was coming in to being, which was when I was in first grade, many schools had a banking program. My school used BofA. Each Friday the teacher would collect your little envelope with whatever you had to deposit, and the school had someone who would carry them all down to the bank.

One summer when I was about 22, I got a job a good distance away from home, but drivable. Some banks weren't open on the weekend, and I couldn't make it to my branch on friday before the 5 o'clock closing time. I needed cash for that weekend, so stopped at a branch near the job. The check was against a BofA account, I was in a BofA bank, and had my BofA passbook. The new and improved identification system at that time was your signature in the passbook using magical ink that became visible under a black light.

"We're sorry Mr. Swagman, this transaction can only take place at your branch of account."

"I beg your pardon?"

"We can't cash your check."

"Then just deposit it and I will make a withdrawal from my savings account."

"Sorry, no."

"May I speak to your manager?"

I got the same spiel, along with apologies, from the otherwise pleasant lady.

I had a good chunk of change saved up in preparation for increasing my chances of becoming a further educated fool. When I asked for a bank check in the full amount of my savings and checking, she asked to be excused while she made a phone call. Moments later she said that my original transaction could be completed.

When I insisted on closing out my account, she actually became angry with me.

Banking institutions have always been just a little bit odd in their application of rules and regulations, but BofA has a long history of peculiarities.

That sounds like standard BofA tactics.

My grandmother banked with them and had a fairly substantial amount of money saved. When she died, my Uncle (a well known Attorney in his community who also banked with BofA) went to the bank with a death certificate to liquidate her accounts. The bank refused and put a hold on the accounts. It took him threatening them with a lawsuit before they finally issued him the funds in a cashiers check.

 

[Parasitic]

Edited. Didn't see the explanation up there.

 

[coremortality]

Originally posted by: Parasitic

Originally posted by: crystal
Are you guys saying everyone can get a free checking account? Even the homeless guy with no know address and bad credit? Anyway, $6 to process a check is pretty excessive.

I always thought that the minimum criterion of having a checking account is that you're over 18. If they want an address give them a PO box. I don't think you need a home address to register for a PO box.

After 9/11/01 the Fed make the requirements much more strict. You must have a physical non-P.O. Box address and a home phone number that is not a cell phone in addition to two forms of legally accepted ID. It's more BS that they say is to prevent "terrorist activities."

 

[Deeko]

Originally posted by: Capt Caveman
Sorry but just about all banks will either charge you or not even allow you to cash a check with them unless you're an account holder. Surprised BoA hasn't had this requirement sooner.

Not if the check was issued by that bank.

 

[SacrosanctFiend]

Originally posted by: coremortality
This is honestly not much of a surprise to me as someone who has worked in the banking industry. I find it disgusting that they can get away with screwing the public like this.

The tactic is, as others have pointed out, a move by BOA to try and keep funds with in the bank and to also squeeze people for as much money as they can get away with.

As to "why would a homeless guy have a check" comment. Many state governments offer programs and funding to try and assist the homeless and mentally ill, and some of these programs are in the form of a monthly stipend.

Also, in order to open a checking account at any institution it is federal law that the individual is required to have two forms of ID (SS Card doesn't count as ID) so if someone was homeless they would need a State ID and their birth certificate because they more than likely do not have a Credit Card or any other accepted form of ID.

There are plenty of legitimate reasons to NOT have a checking account or want one. One such reason would be that many banks and credit unions (BOA especially) will close peoples accounts for overdrawing their accounts as little as two times. Once the accounts are closed the customer is reported to a "check fraud prevention" agency which then reports the closure to all other major financial institutions, there by screwing the customer from getting any sort of account for as little as 2 years to as many as 7.

The more you know.

EDIT: Couple of things I forgot.

In addition to 2 forms of ID a person is required to have a permanent non-P.O. Box address AND phone number in order to open any sort of financial account. This is Federal Law.

Originally posted by: Capt Caveman
Sorry but just about all banks will either charge you or not even allow you to cash a check with them unless you're an account holder. Surprised BoA hasn't had this requirement sooner.

This isn't entirely true. Banks can charge you for cashing a check that does not originate within the same bank because they have no way to verify if the funds are available or if the account is even open so they take a major risk by cashing it.

If the check originated from the bank but the person who wants to cash it doesn't have an account with that bank, the bank should just issue the cash because they are able to verify if cash is available. If they charge you then they're crooks.

Actually, federal law requires that financial institutions obtain and verify a persons identity. That can be done with, minimally:

Name;
Date of Birth (for an individual);
Address, and;
Identification number (for U.S. citizens, a taxpayer identification number is defined as the individual's Social Security number or employer identification number).

It can verify that information through required documents (a Driver License or Passport alone could verify all the necessary information) or checking with a credit reporting agency. The amount and type of identification required varies depending on the bank.

 

[Deeko]

Originally posted by: coremortality

Originally posted by: Parasitic

Originally posted by: crystal
Are you guys saying everyone can get a free checking account? Even the homeless guy with no know address and bad credit? Anyway, $6 to process a check is pretty excessive.

I always thought that the minimum criterion of having a checking account is that you're over 18. If they want an address give them a PO box. I don't think you need a home address to register for a PO box.

After 9/11/01 the Fed make the requirements much more strict. You must have a physical non-P.O. Box address and a home phone number that is not a cell phone in addition to two forms of legally accepted ID. It's more BS that they say is to prevent "terrorist activities."

huh? I've never listed a home phone (don't have one) and I've opened several checking accounts since 2001.

 

[dainthomas]

Originally posted by: Leros
Banks make their money off of money deposited into their system. If you don't have an account and you cash a check, you're getting a service and they get no payment. It makes sense for them to charge you in that case.

Actually the person who wrote the check is getting the service. You know, the one with the account. Instead of paying whoever they owe in cash, they're having the bank give the person cash. If the bank wants to charge whoever wrote the check, fine. But to charge the person who it's owed to is not only shady but downright illegal in many states.

But as someone else explained, this isn't about "processing costs" or whatever. It's all about maximizing the huge revenue they get from small businesses for overdraft fees.

 

[coremortality]

Originally posted by: SacrosanctFiend

Originally posted by: coremortality
Also, in order to open a checking account at any institution it is federal law that the individual is required to have two forms of ID (SS Card doesn't count as ID) so if someone was homeless they would need a State ID and their birth certificate because they more than likely do not have a Credit Card or any other accepted form of ID.

Actually, federal law requires that financial institutions obtain and verify a persons identity. That can be done with, minimally:

Name;
Date of Birth (for an individual);
Address, and;
Identification number (for U.S. citizens, a taxpayer identification number is defined as the individual's Social Security number or employer identification number).

It can verify that information through required documents (a Driver License or Passport alone could verify all the necessary information) or checking with a credit reporting agency. The amount and type of identification required varies depending on the bank.

True, but again if the person wanting to open the account was homeless, mentally ill or for some reason could not produce satisfactory documentation (it's a lot more common than most think) then the bank wont open an account.

I can't tell you how many people I had to turn away because they couldn't prove their identity to a satisfying degree.

Also, even though Identification number is supposed to be an accepted form, try actually using it, you wont get very far.

 

[Throckmorton]

Originally posted by: mugs

Originally posted by: IcebergSlim

Originally posted by: mugs

Originally posted by: IcebergSlim

Originally posted by: Common Courtesy

Originally posted by: IcebergSlim

Originally posted by: mugs

Originally posted by: IcebergSlim

Originally posted by: Marlin1975
Then cash them in your account. They are doing you a service and as such charge for it. How is this a problem?

Why should I have to have a bank account to cash a check? A check is a monetary instrument used as an equivalent to cash. It doesn't say pay to the order of but deduct a fee on the check
it just say pay to the order of.

so the poor guy making minimum wage has to use an hour of labor just to get paid.

No, the poor guy making minimum wage can get a free bank account the same as the rest of us.

yes that way they can con him into using a debit card and start nailing him with over drafts too. brilliant.

How are you going to get nailed with overdrafts unless you choose to spend more than you have?

somebody without a bank account is probably bad with money. They are preying on these people im sure.

Maybe that guy should refuse to accept checks that are drawn from BOA accounts. Demand cash. I'm sorry if I really don't care about the financial problems of a guy who can't even manage to have a free bank account without screwing it up. We can't hold everyone's hands, some are going to fall by the wayside. It's nature's way of ensuring the continuation of the species.

cashing someones check with out bending them over is hand holding ......who is the crazy one here?

Charging someone $0 to open a bank account is not bending them over.

What about borrowing the person's money? BOA has a minimum deposit right?

 

[Gooberlx2]

Originally posted by: Throckmorton

Originally posted by: mugs
Charging someone $0 to open a bank account is not bending them over.

What about borrowing the person's money? BOA has a minimum deposit right?

Yep, else you get charged a service fee.

edit...maybe things have changed for checking since I was a customer. I know there is a service fee for their savings accounts in the absence of minimum funds. They kept billing me for a savings account that was supposed to be closed...bunch of retards, I had to call 4 separate times to finally have someone actually close the damn thing. Somehow they kept screwing that up.

 

[mb]

Originally posted by: Throckmorton

Originally posted by: mugs


Charging someone $0 to open a bank account is not bending them over.

What about borrowing the person's money? BOA has a minimum deposit right?

There is a $25 Initial opening deposit requirement, but there is a $0 Minimum balance requirement, so you can just take the $25 out after the account is open.

At least, this is what I found from spending 1 minute on their website. Didn't read the fine print.

 

[IceBergSLiM]

you are overlooking that checking is only free if you have DIRECT DEPOSIT!!!!

 

[mugs]

Originally posted by: IcebergSlim
you are overlooking that checking is only free if you have DIRECT DEPOSIT!!!!

You don't HAVE to deposit the check into a BOA account. You also don't have to deposit into a checking account.

Why are we talking in hypotheticals here? You said that you've cashed checks at the bank that issued them hundreds of times without having an account at the bank. Between that and the fact that you're getting very worked up over this, can we assume that you don't have a bank account? Why don't you tell us why YOU don't have a bank account?

 

[ElFenix]

Originally posted by: Marlin1975
Then cash them in your account. They are doing you a service and as such charge for it. How is this a problem?

how is presenting a demand instrument to the issuing bank and asking for payment as promised 'doing me a service'? it's what they were contracted to do! it's the whole point of a check!

Originally posted by: child of wonder

I disagree with these ridiculous bank fees, but what's stopping the minimum wage guy from opening a checking account with any bank and depositing it there?

Maybe the fact that he uses cash only is part of the reason he is a minimum wage guy?

$100 in fees a year or more is a good reason not to have a bank account. not to mention all the crap that the feds put in place to stop terruh! my cheapwad luddite boss won't get direct deposit so i can't get a free checking account pretty much anywhere. thankfully we use the same bank so i still get my money fast rather than having to wait a couple days.

Originally posted by: Capt Caveman
Sorry but just about all banks will either charge you or not even allow you to cash a check with them unless you're an account holder. Surprised BoA hasn't had this requirement sooner.

refusing to cash another bank's check unless you're the bank's customer is standard. that isn't the situation here. BOA IS THE ISSUING BANK! it's THEIR CHECK! they have to cash when presented to them!

 

[puffff]

Originally posted by: ElFenix

Originally posted by: Capt Caveman
Sorry but just about all banks will either charge you or not even allow you to cash a check with them unless you're an account holder. Surprised BoA hasn't had this requirement sooner.

refusing to cash another bank's check unless you're the bank's customer is standard. that isn't the situation here. BOA IS THE ISSUING BANK! it's THEIR CHECK! they have to cash when presented to them!

Text


there is no such law requiring this, from the link above, it doesn't sound like the standard.

 

[IceBergSLiM]

Originally posted by: mugs

Originally posted by: IcebergSlim
you are overlooking that checking is only free if you have DIRECT DEPOSIT!!!!

You don't HAVE to deposit the check into a BOA account. You also don't have to deposit into a checking account.

Why are we talking in hypotheticals here? You said that you've cashed checks at the bank that issued them hundreds of times without having an account at the bank. Between that and the fact that you're getting very worked up over this, can we assume that you don't have a bank account? Why don't you tell us why YOU don't have a bank account?

I have 4 active accounts with BOA, checking, savings, credit card, and mortgage.

EDIT: my point was that people were saying just open an account its free. Its not free. Its only free if you have direct deposit.

 

[Vette73]

Originally posted by: IcebergSlim

Originally posted by: mugs

Originally posted by: IcebergSlim
you are overlooking that checking is only free if you have DIRECT DEPOSIT!!!!

You don't HAVE to deposit the check into a BOA account. You also don't have to deposit into a checking account.

Why are we talking in hypotheticals here? You said that you've cashed checks at the bank that issued them hundreds of times without having an account at the bank. Between that and the fact that you're getting very worked up over this, can we assume that you don't have a bank account? Why don't you tell us why YOU don't have a bank account?

I have 4 active accounts with BOA, checking, savings, credit card, and mortgage.

EDIT: my point was that people were saying just open an account its free. Its not free. Its only free if you have direct deposit.

And as usually, you are wrong.


MyAccess Checking® is now free when you open an account online. No direct deposit or minimum balance required.

Thats from their web-site