I have been a loyal customer of TCF bank since 2006 with various accounts during those 6 years time span. But yesterday, i checked my balance online and saw $28 DAILY fee slapped because my account went negative. And the reason my account went negative was because TCF charged me $6 on service charge. I would understand (although not agree) TCFs policy to charge overdraft fees if my balance went negative because of my purchases. But to charge me $28 DAILY fee for a service charge that TCF imposed on me, goes beyond my comprehension of how a bank that claims to have an outstanding customer service, can be such an anti-consumer.
Back to the topic again; I called TCF customer service and after half hours of back and forth, she said she was not unable to reverse those overdraft fees. She also told me that unless i pay whatever accumulated overdraft fees, i will be charged $28 EACH DAY. I even told her i would close my account if i have to pay all that accumulated overdraft fees to which she told me I cant close your account since you owe the overdraft fees. So, seeing there will not be any fruitful resolution, i hung up on her and rushed to the closest TCF branch. The customer Rep lady asks me how she can help me. I tell her that i close my all my accounts with TCF. And the she casually says Sure, we can help you with that and escorts me to her desk. I was just flabbergasted that she did not even ask me why i was closing my account. After she closes my account, i explain it to her that if she had asked me why i was closing my account, she probably would have been able to help me with the ridiculous overdraft fees and thus retain me as a TCF customer. But she said, she wouldnt have been able to help me with the overdraft fees. I then had to explain her what the $60 overdraft fee will cost TCF. Below is a simple approximate break down of how much it would cost TCF to lose me as a customer (I assumed i would have TCF account for at least next 5 years):
1. Cost to TCF for me not using my TCF Card:
- I spend about $6000 a year with my TCF Debit card. Since i closed my account, I wont be using TCF card. Thus TCF will lose an average of 3% of merchant fee it collects from the merchants i purchase merchandise from. That amounts to:
$180 (3% of $5000) per year, which means $900 in 5 years
- I approximately have 3 debit card transactions per day, which will in average amount to 1200 debit card transactions a year. TCF charges an average of $. 30 per transaction to merchants. This amount to:
$360 (1200 *. 3) per year$1800 in 5 years
Total cost to TCF from this Category = $2700 ($900 $1800)
2. Cost to TCF for at least one of my friends not using TCF Card (I will convince one for sure if not more):
I will convince at least one friend of mine to close their TCF account, which means TCF will incur the effect of double the balance calculated above. Meaning another $900 in 5 years (merchant transaction rate) and $1800 in 5 years (Fee per transaction charged to merchant).
Total cost to TCF from this Category = $2700 ($900 $1800)
3. Cost to TCF because I wont be having my Mortgage with them when i buy a house (30 year fixed):
Average annual interest of $6000 on a house valued at $120,000, will amount to $30000 in the first 5 years.
Total cost to TCF from this Category= $30000 Total Cost (in 5 years) to TCF from all categories 1,2 and 3 above: = $35,400. Why? Because, I had no option other than to close my accounts with TCF.
Note: I have not even counted the interest TCF makes on my money. I also have not counted TCFs lost goodwill because i will be writing negative reviews about this bank and telling my acquaintances the mishaps I have had with TCF. Thats why all bank should treat their customer like a valued customer and not like a cash cow. Adios tcf
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