Piggyback on Double Ay............

I have a question...... how do you think banks and credit institutions make money? 

Most banks and FI's are publicly traded companies, meaning they have forecast and profit margin goals to meet each quarter for their shareholders - how do you think they create and make those goals happen?

Given the current economic situation - less people CAN borrow money, so there's less 'interest' to be paid - but their goals are still intact - how do you think they go about still making their fiscal target as a business? 

Based on some of the answers I've seen, I really curious.............

I think most people get the fact that banks make money by their fees and stuff.  What I was most interested in with my post was the shrewd ways that some of our BAF brethren could help me learn to protect my loot and avoid the banking gotchas. 

But nooooooooooooooooooo...   You went there on a brotha. 

ummmm Trina...we aren't stupid...we know how banks make money.  The previous post sounded to me like more of a vent. 

Even though we all know the workings of banks.....we can still biotch about it and not like some of the methods used.

BTW - they also make money from the billions of dollars they received from government help.

  thank you Kim.  i worked in banking years ago and know the in's and outs of the legally corrupt game.  another way they make money...FROM YOUR MONEY...the longer you keep it in there, the more interest they make from it.  the scamming game is just icing on the cake.

eta...also wanted to add from the other post...overdraft is NOT a privilege.  it's something that happens when a debit goes against your account and there aren't enough funds to cover it.  overdraft privilege on the other hand, is the banks way of "helping" you by not returning the debit item.  either way, the bank is going to get their fee.  it's up to you whether or not you want to pay for the return check IN ADDITION to paying the bank.

shyt, loss my train of thought.  another way the banks scam the customers is through the debit card system.  i think Ayy was also venting about how the banks are getting over on the customers by allowing credits to go through even tho the funds aren't there to cover it, THEN charging for it.  i believe this is also a part of the new bill/law against the credit card companies.  hell, if i ain't got it, don't allow me to get it AND charge me more for it!!!  in the words of DD...THAT IS ALL....lmao

Hey Shontay!

I also worked in the banking industry for a number of years...but I wasn't in the mood to even go there!  SMH

I know exactly what you mean.

...and here's another one....

You can walk in a bank, deposit a check, and if you don't have enough funds to cover it, they will hold that amount.  Yet, they will allow you to walk outside and withdraw those same funds from the ATM....why????  SO THEY CAN CHARGE YOU A FREAKIN FEE for doing it!!!!!!!!!!!!!!!

WTF???????????? 

Now mind you, practically everything is now done 'real-time' .....so why don't they withdraw those funds from the deposited checking account 'real-time'?  That would be the customer-friendly thing to do.  NO, they want to be able to charge the fee!

....don't get me started!

  @ the banks are getting over on the customers by allowing credits to go through even tho the funds aren't there to cover it, THEN charging for it... Hell, if i ain't got it, don't allow me to get it AND charge me more for it!!!

In the word of the The Fonz, "Correcta-mundo!"  That was the point of my vent all along.  See I'm really not stupid.  I just play a jack-azz on BAF-TV

Ummmm Kim - then YOU ain't the issue I'm talking about.  *I* have encountered and still do encounter folk *****ALLY think banks should put more care in how they handle their customers and create policies that don't allow folk to slip up. 

and I didn't call anyone stupid - I just asked a question.  Thanks for the reply!!!! 

I KNOW I'm not the issue....I also know you didn't call anyone stupid.......per se......it's the condescending tone of the question that I was addressing.

And yes, I do think banks should put more care into how they handle their customers.  No, I won't go as far to say they should create policies that don't allow folks to slip up, BUT, those policies can be carried out in better ways in some cases.

There's no more condescension in my statement than vent 'tone' in the other.  I think that I'm one of the people around these parts that says exactly what I mean - no need for implication, suggestion or per se to it. 

You think I need to hide behind innuendo????  Come on!!!  you know me betta than that!!!!

LMAOOOOOOO