Here are the most important ones to remember when you visit any bank
Everyone one of us rely on our banks for our financial needs. Right from opening a savings bank account to getting a loan for your house or car or paying any bill you have to go to bank or do online banking. But do you know that banks have their secrets which they never share with their customers. Here are the most important ones you should remember when you visit bank for any of your financial purpose.
- It takes three days to clear a check to your account. This means the bank waits on purpose? Well if your check bounces you have to pay $30 to the bank.
- ATM cards come with loss and theft protection and you never asked the bank about it. So if you’re using your ATM card for debit transactions, ask your bank what kind of protection it offers if the card is stolen or lost. Remember thousands of dollars could be pulled from your checking account. Also in many cases, you wouldn’t be nearly as protected as you would be with a stolen credit card.
- There is universal default clause which means before you sign up for a bank-issued credit card, ask if it has a “universal default clause”—also known as “the ultimate poison clause in credit cards.” If it does, never take that card as it allows the bank to look through all your credit accounts, and if it sees that you’re late paying a bill on another card, it gets to jack up the interest rate on its card.
- If you thought and trusted online banking fully then you might be wrong. According to researchers at the University of Michigan in 2008 studied 214 financial-institution out of which 76% websites had design flaws, including banks redirecting users to less-secure sites.
- The teller at the bank is very busy man and that’s why you see the line is long and only one teller window is open, but no, the guy in the cubicle can’t come over to help out.
- You can call or visit in person to resolve a problem as filling out online forms will usually get you the by-the-book reply, but a representative will often forgive a fee over the phone so that you can all just get on with your lives.
- There are itemized penalties such as a bounced-check fee, account not having the balance and so most people keep a much higher balance in their checking accounts than necessary. According to personal-finance writer Jason Zweig. “Banks make a ton of money off this mental quirk since they would have to pay interest on the money if we left it in our savings accounts, where it belongs.”
- Remember that a bank has the right to pay itself back so any fees or overdraft loans that you owe can be deducted from your next deposit.
- Also you probably don’t need to pay fees as you can get practically any fee waived if you ask, especially if you’re a longtime customer. Did the bank tell you this?
- Often tellers routinely press you into opening new accounts as their jobs depend on it. Banks hire “mystery” customers who secretly test whether a teller is cross-selling services. Banks working as secret agents?
- If your check bounces or you have less balance, you’re liable. Postdating a check rarely works. With stacks of deposits to process, banks look at account names, not dates. Also It’s not banks fault that you can’t control your spending. The bank didn’t make you swipe your card or write a check that you didn’t have money for.
- Banks will tell you that small business loans are hard to get as the loan officers have pretty much decided before you walk in that you’re not getting a loan for your dream bistro. But they’ll let you apply for one anyway. We’re not crazy about lending to nonprofits and houses of worship either. We don’t want the bad publicity when we go after them.
- Keep receipts for every ATM transaction and don’t feed cash directly into the machine without first putting it into an envelope—unless you know you’re at one of the ATMs that accepts loose bills.
- Banks don’t always promote their highest interest rate accounts as they know you’re already willing to sign up for an account that pays less.
- Always read the fine print and ask banks to explain the terms, and get the details in writing before you sign anything.
- Also beware of overdraft fees. Many banks will permit you to withdraw more money than you have on deposit at the ATM, but they’ll charge you about $34 for the privilege.