My Banking Horror Story: Lessons from a Wiser Single Mom

by | Dec 2, 2009

bank_for_childrenLast time I told you my banking horror story. I spent 30 minutes in what seemed like the worst bank account closeout customer service. I closed the account because of too many fees and the affect it had on my inactive account.

I ended up owing the bank money, which is precisely why they thrive off charging fees for every little thing. Here are my thoughts about banks and a few tips on how you can learn from my mistakes and make better choices.

Banks are evil!

This is a bold statement and is my personal opinion. When I say evil, I mean in the sense of being out for their own benefit and not for the little man (or woman). They typically attach fees to everything and for every reason, use bait and switch tactics, and overwhelm you with empty promises. Banks are about business only so larger customer accounts get the most benefits.

Bait and Switch

When I opened my account I was assured I would not have any fees because of my employer. About a year later I received a letter in the mail the account would be subject to a maintenance fee after the one year anniversary. This was not stipulated when I opened the account and when I asked if fees would apply at some time in the future I was assured I would never have fees.

I admit I should have called when I got the letter but I didn’t. Life got in the way and that was not a priority at the time. But as the saying goes, “money talks”. When my inactive account went into the negative because of fees I took action. I decided I did not want to do business with this bank or any other from now on.

Empty Promises

When I opened the account I was promised the free $75. I got it about three months later and I had to call and ask about it. After the call it was deposited into my account a few days later. If I hadn’t called it’s likely I would never have received the money promised.

Sub-Par Customer Service

The customer service was sub-par. The representatives or “bankers” as they are called seemed concerned only about being right. They didn’t seem to care about the customer. While I was waiting for a rep to become available a lady came into the bank from Czechoslovakia. She wanted to speak to someone who spoke her language and could help her with her question.

The woman standing at the front flatly told her there was no one who spoke her language in the branch. She said she spoke Russian instead. The lady needing help said she could speak Russian and after a short exchange the lady was told the information she needed was in English only.

Needless to say the lady left frustrated. It’s understandable if the branch may not have had what she wanted but the cold and aloof manner from the branch employee was unnecessary. The lady who closed my account was more concerned about proving how right she was and how wrong I was. I did not get a warm, fuzzy feeling from her at all. After that experience I will not do business with Bank of America again in any capacity. They do not care for people, only the money they gain from the fees.

Granted most banks have the same kind of fee structure as this is one of the ways they make money, however, commercial banks are not hurting for money and in this economic climate thriving while the rest of the country struggles to stay afloat.

Tips for a Better Experience

My advice when it comes to choosing a financial center to manage your money is to:

  • Shop around and compare
  • Look at reviews from current or past customers
  • Insist on no fees and have it put in writing
  • Be willing to bank online
  • Don’t be suckered by promises of money or toasters if the banks reputation is questionable
  • Close your account if you are dissatisfied
  • Be sure they offer a rewards debit card if possible
  • Use Credit Unions

My experience with this particular bank is not necessarily isolated. You may or may not have had a similar encounter with your local bank. As I continue on this journey of economic empowerment, I am learning that I have choices and the more educated I am the better choices I can make.

If you want to learn how to make good choices, not just about banking, but for your entire financial life, and you want to be empowered, click here to register for FREE basic Economic Empowerment lessons. It is never to late to learn or turn your financial life around.

Being empowered means you do not have to rely on another person or system to provide for you and your children. The result is less stress and more peace and calm in your life. Go ahead and enroll today.

My Banking Horror Story: Lessons from a Single Mom

by | Nov 30, 2009

screamingLast week I got an email alert from Bank of America about my checking account balance. I checked it and was peeved because it was showing a negative balance.

Why was I upset? Well, because I don’t use that account and there has been no activity but I had a negative balance!

The culprit was banking fees. I was reminded once again why I despise using banks in the first place. They typically nickel and dime you to death with their fees and Bank of America is a front runner in this practice.

What Was I Thinking!?!?!

You might be wondering how I got in with this group in the first place, right? About a year ago I did work for a client and he gave me a check from, whom else? Bank of America. I went in to cash the check and go on my merry way. But nooooo ….they started in on me with a heavy sales pitch. So why didn’t you tell them where to get off, you ask?

Promises Promises

They would give me a no-fee account since I was with “X” employer because I let them know I did not use banks because of fees. They threw in an extra $75 for opening the account. Well, who doesn’t like free money? I love free money so I agreed to open the account. I would use it for local deposits and connect my landlord’s account for easy rental payment transfers.

Was it Really Convenient?

At the time I did not have a local financial center, so I bit the bait and got reeled into opening up an account. I deposited the check and opened two checking and one savings accounts. Looking back I see this was a bit over the top. Did I really need two checking accounts? Turns out I got a double whammy of fees because of this decision.

With the most recent email alert I went to the bank on my lunch break to close all accounts with this bank. I was met by a friendly enough young man who searched for a customer assistant to help me. I had to wait about ten minutes while one “banker”, as they are called, finished up with a customer and the other completed an investigation for one of the tellers. It was a little after lunchtime so I suppose everyone was out to lunch after the lunch rush.

I Guess I Can’t Call it Fast Food

After about ten minutes I was escorted into an office and asked the reason for my visit. I told the woman I wanted to close my accounts. She wanted to know why and I told her I hate fees and they are pretty much sticking it to me. She said they could make the account fee-free if I wanted. Duh!!!! I wanted to scream, “Why would anyone want a fee-based checking account?” I told her no thanks and please close my accounts. She asked if I had another bank. I told her yes. She started to ask another question but I cut her off and told her to please close the accounts. I could feel a sales pitch coming again.

The Plot Thickens

While processing the request she told me I had to pay the fees for the negative balance. I knew I would so I wasn’t sweating it. I’d chalk it up to experience, i.e. never deposit my money in a fee-based checking account with an institution that thrives on such fees. I told her I would pay it with my debit card from my other bank, but she says they can’t accept that. I looked at her like she had two heads because I’m confused. I assumed money is money and any legal tender should do. I am feeling very unhappy by this time but I was in for more aggravation.

No debit cards? No problem. I decide to write a check but, as I’m pulling it out, she tells me I can use the ATM in the lobby to get cash! She was “concerned” about my using checks on this small matter. I am feeling more inconvenienced as time ticks away especially since I’m on my lunch break. Her next statement baffled me even more. We had to go out to a teller to complete the transactions. She couldn’t complete the closeout at her computer or accept the money. In my book this makes her pretty worthless. I could have done everything, at the teller counter, in that case.

So, I agreed to go to the lobby, to the conveniently located ATM, to withdraw cash, to pay for fees they’ve attached to my inactive account. I get to the machine and ask her how much the fee will be from the ATM machine. She doesn’t know and proceeds to tell me that all banks charge fees, even mine. I flatly told her that mine doesn’t because it’s a CREDIT UNION! She’s clueless and keeps going on and on about banks and ATM fees and it’s no different, blah, blah, blah. I stare at her blankly and she finally zips it sensing, I’m sure, I didn’t want to hear it.

I’m About Ready to Have a Meltdown!

The answer to my next question really wanted me to go through the roof. When I asked her how much I owed, she got the “deer caught in the headlights look” and stammered out she needed to do the calculations. What? Are you kidding me? She went through all of this and didn’t know how much I “owed”? She bounces off to the teller counter to grab a calculator to make her calculations while I stood there waiting as time slowly ticked-tocked away.

I managed to maintain my professional composure and refrained from giving her a lecture in customer service. I got my total, got the cash and waited as she and the counter teller processed my accounts bringing them to a zero balance. The “banker” had to go do something in the middle of the process. In the meantime the teller waited with a plastic smile until she returned. Finally everything was closed out and I got my receipts; but it wasn’t over. I had to go back to the bank lady’s office for the final printouts showing my accounts were now closed.

This process took 30 minutes to complete! It was a lot of irritation on my part and poor customer service and processing on their part. The experience, as frustrating as it was, reminded me of lessons I learned a few years ago about banks and hopefully taught you a few things in its retelling. 

Next time I’ll share my thoughts about banks and give you a few tips to help you avoid what I went through.

Do you have any banking horror stories? Which do your prefer? Banks or Credit Unions?

Single Mom Economic Empowerment: 3 Ways to Make Quick Money

by | Nov 25, 2009

Too often single mom struggle with money. There seems to one problem after another and no real solutions in sight. The problem is especially pervasive during the holiday season. How can you or a single mom you know get through the holidays (or any day) feeling more empowered?

Here are 3 quick and easy way to make money fast:

1. Sell extra electronics, clothes, or appliances on Craigslist.org or to the pawn shop
2. Donate Plasma to the local blood bank
3. Clean a friend’s house

Hopefully with these quick tips you will see the extra money you need within a few hours. All it takes is creativity and guts to go out and make it happen.

If you want economic empowerment, today is the day to join the Rich Single Momma community. You will get exclusive access to videos, articles, and lessons on economic empowerment.

You do not have to struggle forever because you have the power to change your course. Join the Rich Single Momma Economic Empowerment community now!


Visit Rich Single Momma

How to Survive on $12k a Year!

by | Nov 24, 2009

See the other videos here.

Practical Pampering for Single Parents

by | Nov 24, 2009

tranquility_4What do you get when you wear the hat of mother, father, nurse, teacher, employee, chef, and chauffer? One tired single mom is what you get. Picture an eight-armed; four-legged woman with a haggard face, furrowed brow, and drooping shoulders and you just might be looking at yourself. Too often single moms are so worn out from doing it all that they forget about caring for themselves. I have fallen into the super mom trap many times to count and I am sure you have too. 

Finding the time to pamper yourself is difficult at times, not to mention expensive, but I am going to share a few great ways to get your needs met without breaking the bank. All it will take is a few clicks of your mouse, a phone call, and a minimum of an hour of your time. 

So where can you get pampered at rock-bottom prices? Where can you get your hair and nails done for less than $20 bucks? Where can you get a 30 -60 minute massages or facials for under $45 dollars? Need a shampoo and cut for under $15? Well it is possible and likely right around the corner from your home or job. I love being pampered this way but I often don’t have a wad of money to plunk down for these services. I’m thinking technical colleges and universities. 

I got turned on about these cheap, but quality services when I was a teenager. My mom attended cosmetology school and I would go and get my hair done for as little as $5. Getting services through a beauty school, technical college, or university is a wonder alternative to going to a regular and more expensive service provider. 

To find schools in my area, I googled a service school I wanted including my city and state. For example I entered “beauty school Atlanta, Ga” and received several hits. I clicked on the links to the school and located the services page on the site. On this page I was able to find out the services they offered, prices, hours of operation, and a telephone number. It was very easy to do and now I am calling to book my first visit. 

I couldn’t believe how reasonable the prices were. The best thing is that there are so many services you can get this way. You can get spa-type services like massages, manicures, pedicures, facials, waxing body scrubs, etc at a fraction of upscale spa prices. Get you hair shampooed, cut, colored, or processed for next to nothing and you can feel comfortable because, though students perform the services, the experienced instructor is there to assist the entire time.

You can even get health services like dental exams and cleanings, optometry exams, and basically any service there is a school for. Visit your local and surrounding technical college and university website and see what programs of study they offer then contact then to see if they offer services to the public. This is the most affordable to get treated like a queen at pauper prices. Happy pampering!