[William A. Baurle]

Financial question here, from someone who is really disgusted and fed up with my bank.

It's real simple: I have over X amount (lots) USD in a savings account with Dewey Phuquem & Howe, here in AZ. I've had the account for several years and have always had a high amount in there. High amount for someone who has never earned more than 35K per year, anyway.

Now, over the past two months my money has earned a whopping (hold your breath folks...) six cents in interest.


That's what I call a serious lack of interest. Can anyone explain to me how this can be okay? To my mind, naive as I am, this should be illegal.

I was told by one advisor that this is balanced out by the amounts that they are willing to lend. That's fine and dandy, but the money they loan me, by way of my credit card, comes with a 17% percent interest rate. Mathematically, the bank has a ridiculous advantage over me, which is not justified by my banking or credit history, which is exemplary. For heaven's sake, my credit rating with one of the major bureaus last time was 830.

Somebody is making more than a few piddly cents off of the funds I have in savings, but it isn't me.

[Mary McLean]

It's the same all over. Those multi-million banker bonuses have to come from somewhere. Over here if you're willing to tie your money up for years you can get a few percent interest, but it's hardly worth the effort.

[William A. Baurle]

To add insult to injury, last year I opened a CD with my bank and put 5,000 USD in it. I did it as an experiment, and wanted to see how much it would earn if I didn't do any kind of trading or razzle-dazzle.

After the eleven month term, the CD earned all of $8.36. They get to keep my money for eleven months, and I can't touch it. If I remove it before its maturity date, I'm charged a penalty. And this penalty would be far more than the measly eight bucks and change the certificate would earn if left untouched!

Talking with others, I was to learn that no other banks are offering much better rates. Why don't the banks just hoist the Jolly Roger and be honest criminals?

[William A. Baurle]

Hi Mary, I think I crossposted with you. Thanks for sharing my misery! I really think something needs to be done. I know that emailing Wells Fargo will be completely useless, and it probably won't even be read. That's part of the problem. I don't think there are any actual human beings running the show. It's all done automatically, on the computer systems.

When I complain to the bankers at the branch I go to, they all just shrug and agree with me, but nobody has any real answers.

[Janice D. Soderling]

I tried to post to you privately but you have opted to not receive PMs. Do you really want to divulge particulars of your financial situation on a public site that can be read by millions? I suggest you reconsider and use general examples.

[William A. Baurle]

Originally Posted by Janice D. Soderling

I tried to post to you publicly but you have opted to not receive PMs. Do you really want to divulge particulars of your financial situation on a public site that can be read by millions? I suggest you reconsider and use general examples.

Sorry, I thought I went and changed my options to accept private messages? I will look into it.

I don't see how I can get the actual wrongness of what the bank is doing if I use general information. I think people in general, not people here on this forum, really need a wake up call.

I thank you very much for your concern. I made a wee change.

[William A. Baurle]

Janice, according to my user CP, I am allowing private messages, and have in fact received one from another member very recently, so I don't know what happened.

[John Whitworth]

It's just the same here. I always said we should hang a few bankers. Now you know I was right.

[Roger Slater]

I'm wondering why you are surprised. When you bought the CD, for example, didn't they tell you what the fixed interest rate would be? And does the interest they paid correspond with that interest rate?

I know interest rates are horribly low (though I suppose the good part is that they are also extremely low for mortgages right now), but when you buy a CD the fixed interest rate is very clear. It is part of the "name" of the product you are buying.

Your CD sounds a bit low. You should have been able to get a 1% CD for a year, which would mean you should have gotten over $40 in interest instead of just $8.

There are banks that have a "no penalty CD" that would allow you to withdraw early without penalty. Currently they pay just a smidge under 1% (I did a quick check before posting).

[William A. Baurle]

Yes, John, let's hang 'em high. And, charge each one $50,000 for the rope and another $75,000 for the hangman's fee.