Christmastime was sparse for us. Things were tight, so we were buying Christmas gifts for our small children on ebay, and through the second-hand marketplace offerings on Amazon.com. I went to Amazon and purchased 18 second-hand Christmas gifts for my children—mostly books and puzzles for a few dollars each—for a total of $70. I was so excited to have gotten so much for such a small budget.
On my end, it was one (1) transaction with Amazon. Since each marketplace seller is a separate seller under Amazon, the 18 charges went through one at a time, which I had no idea would happen.in the meantime, Peoples had put a hold against a $53 annual membership charge, so that only $19 was left in the account. They then posted all the Amazon charges one by one, charging $35 for each, for a total of $595. They also then rejected the $53 charge and fined us $35 for that too, bringing the total to $630 in fines in one day.
At that time, Peoples online banking was always a day or two behind in their online statements, so I didn't even know there was an error until two days later—even though I checked my account online twice daily. Once I saw what had happened, I went to the manager on Greenwood, and simply asked that the Amazon charge be considered one charge, since it was one transaction for me. One mistake. (The $53 charge was an automated charge that wasn't even due to come out for another 3 days, so I wasn't expecting it). He said NO. I told him we were so broke, I was buying used books for my kids for Christmas, that it was only one transaction, and that Amazon had agreed to verify that on the phone with him. He said "Sorry, there's nothing I can do. That's the policy." And I said "That's loansharking. You charged me thousands of percentage points overnight for money you never even paid out." And he said "Well, it's legal." So I said "But is it ethical? Merry Christmas to you too."
I was floored! Honestly, I do not know how that man can sleep at night. How can anyone look a mother and her little kids in the eye without even blinking, at Christmas and tell her "Well, it's legal, " charging $595 in one day for $70 in transactions? This still blows my mind to this day.
That said, I called the president of People's and he also refused my request. So, I went to the CT Dept. Of Banking, and filed a report. They called the bank and then, lo and behold, a VP called me and refunded all but $35, which, to me, was the fair thing to do.
I understand *a* charge for a mistake, but the multiple, runaway charges are simply outrageous. I consider it stealing, and wonder how we can expect to raise ethical kids when the financial nexus of our communities is legally allowed to steal from its people.
The real problem is the laws that allow banks to destroy families, communities and the economy through their thievery. I just read an article that the new business model is not to make money from interest, but from these fines. Banks raked in over $17 billion in checking account fines in 2006. It's what they designed the computer systems to do, this is all part of their business model, their design, to steal from the poor and give to the rich. If we all said "No, " to checking accounts, consumer banking branches would flounder. That means it's up to us to change things.
Please join me in just saying "No" to banks. Get a prepaid debit card that will just be declined when you try to pay something against funds you don't have, instead of letting it post and then charging you $35. Debit cards now allow direct deposit of paychecks, and if your company is still using paper checks, go to a check cashing place, cash the check and have the funds put right on your debit card. Or, take the cash if you prefer.
With a debit card, you can also send checks for your bills right online! The money comes out when you fill out the check, so no chance of bouncing. If you need an in-person payment right away, either pay cash, OR go to the post office and get a money order for a $1 fee. (Sure beats the $35 x 17 policy.) You can buy money orders with your debit card. If you have to have a bank account because some company requires one to verify you or give you a payment plan, make it a savings account, keep $5 in it, and never connect it to a debit card. We do not need to accept what banks are doing to us.
People's Bethel, and talking to their manager, was the worst of all experiences I have had with any bank though. Bar none.
0 comments