LETTER OF TRANSMITTAL
|
|
- Garry Hunter
- 6 years ago
- Views:
Transcription
1 XXX Department, XXX Corp. 000 Happy Hollow Rd West Lafayette, IN, LETTER OF TRANSMITTAL Dear Minister, Here is the report you requested about the fee; based overdraft programs and the augment about the programs from customers, critics and banks, along with a policy recommendation for Federal Reserve. The study included both primary and secondary research. The primary study focused on a survey of customers who use fee-based overdraft program. The programs are actually very popular among many big banks, but the information gathered shows that customers using these services are not satisfied with them and even worse, many banks customers are not aware that as part of the process of obtaining the debit card, banks automatically enroll their customers in overdraft program. However, banks claim that the programs definitely protect customers from the bounced-check fees which cost them more. Recommendation for Federal Reserve includes making people aware of these programs, educating people how to avoid overdraft and limiting banks from charging overdraft fee towards individuals. I am grateful to Purdue University s students, staff and the 56 residents in my community (Whispering Winds) for helping me develop a questionnaire and kindly answering my questions. Their enthusiasm and support contributed greatly to the success of this research project. Besides I appreciate Jane Thoman, who works for Bank of America, told me a lot about the overdraft issue. Secondary sources included the investigation of over-draft.com, the online report of GAO (Government Accountability Office) and news of Federal Reserve, books and some other online recourse. Please call me, Mr. Alert, if I may provide additional information or answer questions. I would be pleased to discuss this report and its recommendation with you at your request. Thank you for your confidence in selecting Banking Practices Committee to prepare this comprehensive report. Sincerely, Songyan He Banking Practices Committee Consultant ii
2 TABLE OF CONTENTS TRANSMITTAL LETTER ii EXECUTIVE SUMMARY..iv INTRODUCTION 1 Fee-based Overdraft Program.1 Purposes of the study.1 Scope of the study.2 Sources and Methods.2 RESULTS OF THE STUDY..4 Customers Attitude about the Fee-Based Programs..4 Federal Reserve recent policies about fee-based overdraft 7 CONCLUSIONS 8 RECOMMENDATIONS..8 APPENDIX.. 10 REFERENCES.12 Figure LIST OF FIGURES 1 composition of the survey sample..3 2 Percentage of Depository Institution Branches and Web Sites That Did Not Provide a Comprehensive List of Overdraft Fees and Terms and Conditions..4 3 types of overdrafts..5 4 Average Fee For Overdraft From 1999 To iii
3 EXECUTIVE SUMMARY Purpose of report The purposes of this report are to (1) discuss the pros and cons about the fee-based overdraft programs, (2) find out the current stance the Federal Reserve has taken and (3) recommend way for Federal Reserve to deal with the overdraft programs. Fees-based Overdraft programs at banks Most survey respondents are against overdraft programs and do not know much about the programs until they are charged overdraft fee by banks. Most banks do not publicize these programs and enroll their customers automatically after they open accounts. Federal Reserve is making laws to regulating these fee-based overdraft programs The results of this study show that Federal Reserve need to make more efficient rules to regulate the fee-based overdraft programs. Recommendations for Federal Reserve Based on the findings from the survey, the following recommendations are made to help Federal Reserve refine the laws about banks overdraft fee programs and conduct them more efficiently. 1. Enact new laws to limit the total maximum overdraft fee that banks can charge their customers. 2. Educate people how to manage their account well to avoid overdraft fees by advertising on TV, web sites or newspaper. 3. Increase people awareness about banks fee-based overdraft programs. 4. Refine the monitoring mechanism by taking advantage of customers comments, suggestions and complaints. iv
4 REGULATE THE FEE-BASED OVERDRAFT PROGRAMS INTRODUCTION Since the mid-1990s, consumers have increasingly used electronic forms of payment such as debit cards for many transactions, from retail purchases to bill payment. By 2006 more than two-thirds of all U.S. noncash payments were made by electronic payments (including credit cards, debit cards, automated clearing house, and electronic benefit transfers), while the number of paper payments (e.g., cash) has decreased due to the rapid growth in the use of debit cards(gao,2008). However, not everyone has sufficient money in bank accounts when she or he makes a payment, so banks started services that permit customers to overdraft for a fee. When an account balance falls below zero, banks will provide the account holders with an instant loan and pay off their bills first. Besides, customers can also choose to link checking accounts and debit cards to their savings accounts, lines of credit, or credit cards. Once they overdraft, available funds are automatically transferred to their checking accounts. However banks will also change transfer fee from these optional services. The services seemly benefit the customers a lot, but according to the investigation of Brattleboro Reformer, which is the third-largest daily newspaper in Vermont State, banks collected more than $17 billion in overdraft fees in That number nearly doubled in In 2009, banks are expected to bring in up to nearly $40 billion in overdraft (Martin, 2009). On the other hand, some people still claim that they love these services since the services keep them from becoming embarrassed if they write the check to a friend or business partner and the overdraft protections are much cheaper than the charge by bouncing a check (Pritchard, 2008). Data for this report came from conducting surveys towards approximate 100 residents in Indiana State, interviewing a counselor of Bank of America and searching online sources from online newspapers, Federal Reserve, Government Accountability Office (GAO) which has conducted telephone surveys of 3,310 adults about the overdraft issue. Fee-based Overdraft Program Up to 2003, Fee-based overdraft programs had been used by over 1,000 banks and other financial institutions. The programs charge fees (typically $20 to $39 for each overdraft) to cover check or ATM overdrafts for account holders (Durham, 2003). Banks also make revenues through these programs and encourage their customers to join these programs. Currently, more than 75% of banks automatically sign customers up for overdraft programs, according to a study by the Federal Deposit Insurance Corp. and some banks charge as much as $39 when customers overdraw their bank 1
5 account by even a few dollars (Liberto, 2009). Purposes of the study The purposes of the study are to (1) discuss the pros and cons of the fee-based overdraft programs, (2) find out the stance the Federal Reserve has taken and (3) recommend ways for Federal Reserve to deal with the overdraft programs. People have big disputes on the fee-based overdraft programs: banks claim that overdraft protections aren't loans, but a consumer convenience; however the critics point out that banks are actually making money from these programs. Recommendations will help Fed regulate the programs and let customers get real benefit from the programs. Scope of the study This study investigates participants attitudes toward the fee-based programs, their experiences paying overdraft fee and their preference between paying overdraft fee and being declined by their banks. Only overdraft fees associated with ATM, checks, debit cards and electronic transfers are included in the study since these programs are most popular nowadays. It also includes the Fed s current policies about these programs. Other bank fees like account maintenance fee, ATM surcharge fee and foreign ATM fee, etc. are not included in this report. Sources and Methods Recent business reports, an interview with a consular working at Bank of America and online sources were consulted for background information, the pros and cons about the overdraft programs and Federal Reserve s policies about the programs. In addition, a questionnaire survey of students and staff at Purdue University and residents in whispering winds community was conducted to learn about their attitudes about overdraft programs. The people living in whispering winds community are basically lower middle class or students, who do not own a house themselves. In all, 89 individuals responded to the survey. Figure 1 shows the percentage of students, staff and residents who participated in the survey. Figure 1 1
6 Compostion of Survey Sample Students Staff Residents 3
7 RESULT OF THE STUDY The findings of the study will be presented in two categories: overall customers attitude, pros and cons about the overdraft programs, and the stance that Federal Reserve has taken. Customers Attitude about the Fee-Based Programs A major finding of the survey is that most respondents are against the programs and had bad experiences about it. Data tabulation shows that 96 percent of the respondents hate these fee-based overdraft services. 60 percent of them prefer the bounce check fee to the overdraft fee. 90 percent of them are enrolled into these programs automatically after they have opened an account in banks and they claims that they do not know much about the programs until they are charged overdraft fee by banks. Main reason for most customers do not familiar with these programs is that banks do not publicize sufficient information on web sites and their institution branches. Even worse, banks hide these programs behind so that they can get more customers automatically enroll into these programs. Figure 2 shows the percentage of depository institution branches and web sites that do not provide a comprehensive list of overdraft fees and terms and conditions (GAO, 2008). Figure Percentage of Depository Institution Branches and Web Sites That Did Not Provide a Comprehensive List of Overdraft Fees and Terms and Conditions comprehensive fee information Account termsand conditions Institution Web site Branch visit Source: GAO GAO (General Accounting Office) concluded the 5 possible outcomes of an insufficient fund transition or withdraw and the survey was conducted to the participants according to these possible outcomes. Figure 3 shows the details of 4
8 these possible outcomes and 62 percent of the participants joined the two optional overdraft programs: overdraft to a linked account and overdraft to a line of credit. Figure 3: bank options Ad hoc overdraft Courtesy overdraft Overdraft to a linked saving account Overdraft to a line of credit Transaction or withdraw denied How money transferred to the overdraft account Not publicized to the banks customers. Banks pay for customers manually or automatically. Programs publicized or promoted banks customers. Banks pay for customers manually or automatically. automatically transferred from linked savings accounts, money market accounts automatically transferred from linked credit cards If the service optional Not Optional Not Optional Percent of people involved in the program Possible extra charge 25 $20 to $40 88 $20 to $40 Optional 35 $5 transfer fee Optional 27 $15 annual fee + 12% APR OR $3 cash-advance fee + 18% APR Not Optional 30 $40 to $60 bounced check fee (only for check overdrafts) Old Tricks Banks Played Study find out that banks process account withdraws for each day in the order of the highest amount first to the lowest amount last. Such a policy can be used by the bank to squeeze extra overdraft fees from customers. For example: a customer has $100 in check account and spends following amount in a day: 9 am: $4 10 am: $3 1 pm: $5 3 pm: $2 5
9 4 pm: $105 Banks will purposely put the spending in the following order (highest to lowest): $105, $5, $4, $3, $2. In this way the banks can charge the most overdraft fees (Thoman. J, personal communication, December 4, 2009). Cons: People against the fee-based overdraft programs say that the programs did not help people in the long run and it costs too much to overdraft. A participant says: the reason you had one is because you didn t have enough money available, and now you have less. According to Eric Halperin (2009), director of the Washington, D.C., office of the Center for Responsible Lending, Every interaction with your bank shouldn't be an act of self-defense. It's very reasonable to say that consumers should have the right upfront to decide whether they want their overdraft covered through ATM or debit transactions. The survey also finds that what's also troubling is that most bank customers are automatically enrolled in overdraft programs without their knowledge. Currently, more than 75% of banks automatically sign customers up for overdraft programs, according to a study by the Federal Deposit Insurance Corp. (Liberto, 2009). Banks aren't required to send a notice to the customer that they're enrolled in the program unless the bank chooses to promote the program, and most don't. Consumer advocates say these programs are nothing more than high-interest, short-term loans foisted upon unsuspecting customers (Bruce, 2009). According to bank overdraft.com, during 2009, banks are expected to bring in between $27 billion to $38.5 billion in overdraft charges from nearly 50 million customers. Bank of America earns about $40 million a year from overdraft charges and that some of the Social Security recipients in the suit lost 20% of their monthly income in a single day because of bank fees (Dolan, 2009). Moebs Services, a research company that has conducted studies for the government as well as banks, estimates that 90 percent of overdraft fees are paid by the poorest 10 percent of banks' customer base (Liberto, 2009). So the fee-based overdraft programs are actually turning into means of making profits rather than sincere services. Pros: People who like the programs claim that fee-based overdraft programs help them a lot when they do not have enough money available in their accounts. These programs avoid embarrassment if they write checks to friends or business partners or the frustration when they need cash anxiously but unable to withdraw from the nearest ATM. 6
10 The other benefit that you can avoid bounced check fees from the retailer. If you don t have overdraft protection, you may have to pay a fee (Non-Sufficient Funds or NSF) to your bank and an additional fee (Returned-Check) to the retailer. Ultimately, you can end up with negative reports in your ChexSystems file (Pritchard, 2008). In addition, if one returns the amount of money that he overdrafts as soon as possible, the overdraft only cost $20-$30 and it s absolutely better than losing a big client or business deal. Finally, some overdraft protections allow customers link the individual's checking account to their savings and credit cards. In this way, overdraft fee will be avoided (Thoman. J, personal communication, December 4, 2009). Federal Reserve recent policies about fee-based overdraft According to the findings on Federal Reserve official website, the Federal Reserve wants to limit as well as regulate the fee-based overdraft programs and is currently trying to improve laws to protect customers from overdraft programs. The law released on May 2, 2008 by Federal Reserve about overdraft programs: -Banks would be prohibited from applying payments in excess of the minimum in a manner that maximizes interest charges. This rule will stop the old tricks that banks used to play (put the amount a customer spend in the order of from highest to lowest rather than in chronological order). -Banks would be prohibited from imposing interest charges using the "two-cycle" method, which computes interest on balances on days in billing cycles preceding the most recent billing cycle. The Board's proposal under the FTC Act also addresses acts or practices in connection with a bank s payment of overdrafts on a deposit account, whether the overdraft is created by check, a withdrawal at an automated teller machine, a debit card purchase, or other transactions. The proposal requires institutions to provide consumers with notice and an opportunity to opt out of the payment of overdrafts, before any overdraft fees or charges may be imposed on consumers' accounts (Fed, 2008). Fed chair Ben Bernanke released new rules on overdraft fees on November 12, 2009: Starting on July 1, 2010, all banks will have to ask their customers to opt in to overdraft protection plans for ATM and most debit card transactions. The banking industry was not pleased by the Fed's move (Liberto, 2009). Even though banks are limited by this now rule and some banks say they will stop charging for overdraft, the average fee for overdraft is expected to go up in 2010 (Moebs Services Inc., 2009). 7
11 average fee per overdraft Figure 4: Average Fee For Overdraft From 1999 To Big Banks community Banks Source: Moebs Services Inc CONCLUSIONS: 1. The fee-based overdraft programs are services that bank pay the amount of overdraft for their customers first with overdraft fees ($20-$39) when the customers withdraw money, purchase items or transfer funds from an insufficient funds account percent of the respondents object to the fee-based overdraft programs and had bad experience with the programs before. 3. Banks try to make maximum profit from these programs and enroll customers automatically into these programs without showing further information. 4. Federal Reserve keeps trying to refine the laws to regulate the behaviors of banks and protect customers from immoderate overdraft programs. RECOMMENDATIONS Supported by the findings and conclusions of this study, the following recommendations are offered to help Federal Reserve regulate the fee-based overdraft programs better. 1. Increase people awareness and knowledge about banks fee-based overdraft programs by (1) asking banks to update information about the fee-based overdraft programs on their web sites; (2) requiring each bank has a clear introduction about the programs if it wants to promote the programs; (3) designing an eye-catching advertisements and posing them inside every bank. 2. Enact new laws to limit the total maximum overdraft fee that banks can charge their customers. 8
12 3. Educate people how to manage their account well in order to avoid overdraft fees by advertising on TV, web sites or newspaper. Refine the monitoring mechanism by taking advantage of customers comments, suggestions and complaints. Federal Reserve can set up a web site that provides a platform for customers telling their stories or bad experiences about banks overdraft fee, so in this way, Federal Reserve can find the banks which does not obey the new rules and eventually enforce the law thoroughly. 9
13 APPENDIX Banks have implemented the fee-based programs for a long time. The programs allow customers overdraft up to a certain dollar amount and pay a fee for that. These programs are pretty controversial. Please take a few minutes to answering the following questions so that we can make these programs actually benefit for you. 1. Have you ever paid overdraft fee before? Yes No 2. Do you think these fee-based overdraft programs benefit you? Yes (go to question 3) No (go to question 4) 3. Why do you think the programs benefit you? (give specific reasons) (go to question 4) 4. Why do you enroll into these fee-based overdraft programs? Banks automatically enroll you into the programs. You choose to enroll into the programs. Banks enforce you to enroll into the programs. The programs are mandatory service of another service. 5. Have you ever paid the following types of overdraft fees? Overdraft types Ad hoc overdraft Courtesy overdraft Overdraft to a linked saving account Overdraft to a line of credit Transaction or withdraw denied How money transferred to the overdraft account Not publicized to the banks customers. Banks pay for customers manually or automatically. Programs publicized or promoted banks customers. Banks pay for customers manually or automatically. automatically transferred from linked savings accounts, money market accounts automatically transferred from linked credit cards You need to pay bounced check fees and interest Have you paid this kind of overdraft fee before? Y/N 10
14 6. Which one do you prefer when you overdraft? Pay overdraft fee Be declined by banks and pay the bounce check fee 7. How do you rate the importance to limit the programs? Extremely important Important Don t care Least important Comments: Thank you for your responses! Please just leave the questionnaire at where you get it if you are a Purdue student or staff. Please return the questionnaire to Apt B5, 2410 happy hollow rd. if you are a resident of whispering and fail to hand it in to me in person. 11
15 REFERENCES Federal Banking Regulators Could Better Ensure That Consumers Have Required Disclosure Documents Prior to Opening Checking or Savings Accounts. (2008). Retrieved from:// Washington, DC: U.S. Government Accountability Office. Protecting yourself from overdraft or bounced-check fees. (2005). The Federal Reserve Board System. Washington, DC: U.S. Government Federal Reserve Banking and Consumer Regulatory Policy Press Release. (2008). The Federal Reserve Board System. Washington, DC: U.S. Government Federal Reserve. Moebs $ervise. Overdrafts [Data file]. Retrieved from cnn=yes Pritchard, J. (2008). Overdraft Protection Plans. Retrieved from Bruce, L. (2009). Courtesy overdraft: bad for customers. Retrieved from Dolan, M. (2009, June 02). Bank of America wins appeal on overdraft fees. Los Angeles Times. Retrieved from Liberto, J. (2009, November 12). Fed cracks down on overdraft fees. CNNMoney.com. Retrieved from cnn=yes 12
Lesson Description. Concepts. Objectives. Content Standards. Cards, Cars and Currency Lesson 3: Banking on Debit Cards
Lesson Description After discussing basic information about debit cards, students work in pairs to balance a bank account statement and calculate the costs of using a debit card irresponsibly. The students
More informationwith the support of Everyday Banking An easy read guide March 2018
with the support of Everyday Banking An easy read guide March 2018 Who is this guide for? This guide has been designed to help anyone who might need more information about everyday banking. We will cover
More information24-HOUR GRACE. Learn all the details about how it works
2-HOUR Learn all the details about how it works 2-HOUR How does 2-Hour Grace help? When your account is overdrawn, 1 2-Hour Grace gives you more time to make a deposit to bring your account positive and
More informationHIGH YIELD CHECKING. EXPLANATION OF SOME OF OUR KEY SERVICES AND CHARGES Here are details about High Yield Checking services.
EXPLANATION OF SOME OF OUR KEY SERVICES AND CHARGES Here are details about High Yield Checking services. KEY ACCOUNT TERMS AND CHARGES: Monthly Service Charge: No monthly service charge. Includes free
More informationGet Ready to Take Charge of Your Finances
Checking Account & Debit Card Simulation Grade Level 7-9 Get Ready to Take Charge of Your Finances Time to complete: 180 minutes National Content Standards Family and Consumer Science Standards: 1.1.6,
More informationImpacts of Overdraft Programs on Consumers
CFPB Notice and Request for Information SUMMARY: Impacts of Overdraft Programs on Consumers February 28, 2012 77 Fed. Reg. 12031 Title XIV of the Dodd-Frank Wall Street Reform and Consumer Protection Act,
More informationJune 8, Monica Jackson Office of the Executive Secretary Consumer Financial Protection Bureau 1700 G Street NW Washington, DC 20552
June 8, 2017 Monica Jackson Office of the Executive Secretary Consumer Financial Protection Bureau 1700 G Street NW Washington, DC 20552 Re: Docket No. CFPB-2017-0006 Consumer Action 1 is pleased to respond
More informationUnit 4 More Banking: Checks, Savings and ATMs
Unit 4 More Banking: Checks, Savings and ATMs Banking: Vocabulary Review Directions: Draw a line to match the word with its meaning. 1. bank 2. credit 3. ATM 4. minimum 5. maximum 6. teller 7. balance
More informationOverdraft Privilege. E-ADV-2EL (Rev 08/13) Page 1 of 6
Overdraft Privilege Overdraft Privilege is our discretionary overdraft service. Overdraft protection under our Overdraft Privilege service is expensive, and may not be the best option for you. We hope
More informationBANKING HANDOUT Facts About the Community Reinvestment Act (CRA)
Facts About the Community Reinvestment Act (CRA) The CRA is a bill that was passed by Congress in 977. It says that banks have to give back to the entire community in exchange for the special benefits
More informationBOUNCE PROTECTION INFORMATIONAL PACKET. What is Bounce Protection? What does my Bounce Protection cost? How does Bounce Protection work?
BOUNCE PROTECTION INFORMATIONAL PACKET At times, unanticipated expenses or unforeseen problems can leave you with too little cash in your checking account. Having a check returned due to insufficient funds
More informationPay no monthly service charge. PLUS, get additional time to make a deposit and avoid overdraft fees.
Pay no monthly service charge. PLUS, get additional time to make a deposit and avoid overdraft fees. Key Benefits: No monthly service charge No minimum balance required No minimum deposit to open the account
More informationAutomatic Enrolment Frequently Asked Questions
Automatic Enrolment Frequently Asked Questions This guide answers some of the questions you may have about automatic enrolment, workplace pensions and the True Potential Investments Pension (TPI Pension).
More informationManaging Your Checking Account
Managing Your Checking Account Overview At River Valley we strive to provide value to all of our customers and partners. This module was developed to help you: Better Manage Your Checking Account. Avoid
More informationHow to Manage Your Checking Account
CHAPTER 3 How to Manage Your Checking Account Activity: Individual 25 MINUTES Materials: One activity sheet and one calculator per student Objective: The purpose of this activity is for students to demonstrate
More informationWelcome. 1. Agenda. 2. Ground Rules. 3. Introductions. Bank On It 2
Bank On It Welcome 1. Agenda 2. Ground Rules 3. Introductions Bank On It 2 Objectives Identify the major types of insured financial institutions Identify five reasons to use a bank Describe the steps involved
More informationChapter 12. Banking Procedures and Services Pearson Education, Inc. All rights reserved
Chapter 12 Banking Procedures and Services 2010 Pearson Education, Inc. All rights reserved Learning Objectives Explain the difference between different types of financial institutions Learn the basics
More informationBanks' free checking*
NET GAIN Scoring points for your financial future AS SEEN IN USA TODAY JULY 02, 2004 Banks' free checking* *Read the fine print; other fees may clip your wings if you're not careful By Christine Dugas
More informationPay Card - Recipient Frequently Asked Questions
Q: How soon will my card arrive? A: You should receive your card in 7-10 business days. A complete Pay Card Disclosure and Terms and Conditions will accompany the card. If you do not receive your card,
More informationOverdraft/Bounced-Check Protection
Order Code RS22874 May 13, 2008 Summary Overdraft/Bounced-Check Protection Pauline Smale Economic Analyst Government and Finance Division Overdraft protection programs are an option offered by financial
More informationOpt-in overdraft regulation affects bank revenues
University of Arkansas, Fayetteville ScholarWorks@UARK Finance Undergraduate Honors Theses Finance 5-2012 Opt-in overdraft regulation affects bank revenues Kyle Mills University of Arkansas, Fayetteville
More informationLogix Federal Credit Union October 1, 2017
Logix Federal Credit Union October 1, 2017 IMPORTANT INFORMATION ABOUT SAME-DAY PAYMENTS NOTICE OF IMPORTANT CHANGES TO OVERDRAFT DISCLOSURES AND ANNUAL DISCLOSURE NOTICE SAME-DAY PAYMENTS As our financial
More informationOverdraft and Courtesy Pay FAQ
What is an overdraft? An overdraft occurs when you do not have enough money in your account to cover a, but we pay it anyway. We can cover your overdrafts in two different ways: 1. Through the standard
More informationHKBU Institutional Repository
Hong Kong Baptist University HKBU Institutional Repository HKBU Staff Publication 2016 Youths' attitudes toward banking services and bank advertising in China Kara Chan Lennon Tsang This document is the
More informationSUB-PART OF CONSUMER MEMBER ACCOUNT AGREEMENT EFFECTIVE OCTOBER 20, 2017
SUB-PART OF CONSUMER MEMBER ACCOUNT AGREEMENT EFFECTIVE OCTOBER 20, 2017 OVERDRAFT POLICY DISCLOSURE The Bethpage Overdraft Policy describes circumstances when we (the credit union) may, at our sole discretion,
More informationAutomatic Enrolment Frequently Asked Questions
Automatic Enrolment Frequently Asked Questions This guide answers some of the questions you may have about automatic enrolment, workplace pensions and True Potential Investor. Contents Q 01 Q 02 Q 03 Q
More informationHello. Classic Classic Plus
Hello. Classic Classic Plus Welcome to a different kind of banking. Hello, welcome and above all, thank you for opening a current account with TSB. You ve joined a bank that isn t like any other bank.
More informationFinancial Knowledge and Remittances Study Final Survey
Financial Knowledge and Remittances Study Final Survey 1. Last month did you use a newspaper, website or other source of information to compare the costs of sending money overseas? Yes go to Question 2
More informationRand Corp. and the Center for Economic and Social Research online panels
A brief from Oct 2015 Data and Methods Experimental research Nationally representative findings in this report are based on an online experiment completed by adults 18 and older. The experiment was conducted
More informationBanking Basics. Banks and Credit Unions. Warm-Up Activity. Why should you put your money in a bank?
Account Management Account Management You will be introduced to the banking process. You will learn how to locate a bank or credit union with which you want to do business, what accounts you should have
More informationConsumer Testing Informs Policy: Overdraft Regulation as a Case Study
Consumer Testing Informs Policy: Overdraft Regulation as a Case Study Philip Keitel* June 2010 Summary: In November 2009, the Board of Governors of the Federal Reserve System issued regulations that protect
More informationHow to Bank and Save In Canada
for Newcomers and New Canadians Workbook 1 How to Bank and Save In Canada Welcome! We made this workshop for newcomers to Canada. Knowing more about how banking works here can help you settle in faster,
More informationWe want you to avoid overdraft fees. Having a clearer understanding of overdrafts is a good place to start.
Overdraft Overview. We want you to avoid overdraft fees. Having a clearer understanding of overdrafts is a good place to start. So, what is an overdraft? In most cases, an overdraft is when the bank allows
More informationOverdraft Products. Examples of Associated Fees* Account Sweep $2.00 transfer fee $2.00
Overdraft Products Woodforest National Bank ( Woodforest ) offers several overdraft solutions to assist you in managing your account while allowing you to control your cost. Paying attention to your financial
More informationABA Staff Analysis: Questions and Answers on the Overdraft Services Final Rule June
ABA Staff Analysis: Questions and Answers on the Overdraft Services Final Rule June 2010 1 Scope of Coverage 1. REVISED Does the rule apply if the bank does not have an automated service for paying overdrafts
More informationReady to Go Checking SM Account
For us, it s important that you understand exactly how your Ready to Go Checking SM account works. Below is an explanation of the key terms and fees of your personal account. For additional details of
More informationFARMERS INSURANCE FEDERAL CREDIT UNION
FARMERS INSURANCE FEDERAL CREDIT UNION ELECTRONIC SERVICES DISCLOSURE AND AGREEMENT In this Disclosure and Agreement, the words I, me, mine, my, us, and our mean each and all of those (whether one or more
More informationYour account charges explained
Your account charges explained 2 Contents Our Business Banking current accounts 2 Our accounts for not-for-profit organisations 2 Our general accounts in more detail 3 Our 5 Fixed Fee account plans 3 Day-to-day
More informationBounce Protection First National Bank
Bounce Protection First National Bank At times, unanticipated expenses or unforeseen problems can leave you with too little cash in your checking account. Having a check returned due to insufficient funds
More informationCHEQUES: MARKET RESEARCH June 2016
CHEQUES: MARKET RESEARCH 2016 June 2016 INTRODUCTION Market research conducted annually Business research C&CCC annual survey of business users of cheques 1,000 businesses surveyed by telephone Consumer
More informationChecking Account & Debit Card Simulation. Understanding Checking Accounts and Debit Card Transactions
Checking Account & Debit Card Simulation Understanding Checking Accounts and Debit Card Transactions What is a Checking Account? Common financial service used by many consumers Funds are easily accessed
More informationReading Essentials and Study Guide
Lesson 3 Banking Today ESSENTIAL QUESTION How has technology affected the way we use money today? Reading HELPDESK Academic Vocabulary products things that are sold Content Vocabulary credit union nonprofit
More informationChecking Account & Debit Card Simulation. Understanding Checking Accounts and Debit Card Transactions
Checking Account & Debit Card Simulation Understanding Checking Accounts and Debit Card Transactions Why Do People Use Checking Accounts? Reduces the need to carry large amounts of cash Convenience useful
More informationConsumer Electronic Fund Transfer Agreement and Disclosure
Consumer Electronic Fund Transfer Agreement and Disclosure For use with our Account Agreement and Disclosures TABLE OF CONTENTS CONSUMER ELECTRONIC FUND TRANSFER SERVICES AGREEMENT AND DISCLOSURE 1 CONSUMER
More informationConsumers Want Informed Choice on Overdraft Fees and Banking Options
Consumers Want Informed Choice on Overdraft Fees and Banking Options CRL Research Brief April 16, 2008 Leslie Parrish Senior Researcher A new CRL survey of nearly 2,000 nationally representative checking
More informationInformation Memorandum Transmittal
Seniors and People with Disabilities Information Memorandum Transmittal Jane-ellen Weidanz Number: SPD-IM-05-087 Authorized Signature Issue Date: 11/02/2005 Topic: Medical Benefits Subject: MMA Transmittal:
More informationMaking cards work for you. A public education campaign brought to you by MasterCard
Making cards work for you A public education campaign brought to you by MasterCard At school or work paying bills, renting an apartment or shopping for a new car, you need to know how cards save you money
More informationAn update from Pace. What s inside this issue? Autumn 2014
An update from Pace Autumn 2014 Welcome to our annual update. The big news this year is that the Government wants to change the pensions rules to give you even more flexibility and freedom to use your
More informationThe Freedom of pportunity. Low Rates. 0% Balance Transfers
0% APR* Introductory Balance Transfers for the first 6 billing cycles Rates as low as 9.9% APR* to 13.9% APR* The Freedom of pportunity Reasons to Switch to PeoplesChoice Freedom Visa 0% Balance Transfers
More information4 BIG REASONS YOU CAN T AFFORD TO IGNORE BUSINESS CREDIT!
SPECIAL REPORT: 4 BIG REASONS YOU CAN T AFFORD TO IGNORE BUSINESS CREDIT! Provided compliments of: 4 Big Reasons You Can t Afford To Ignore Business Credit Copyright 2012 All rights reserved. No part of
More informationDEFERRED COMPENSATION PLAN SURVEY RESULTS. February 21, 2005
DEFERRED COMPENSATION PLAN SURVEY RESULTS February 21, 2005 General Satisfaction Levels Questions 1-3 1. How satisfied are you with the Deferred Compensation Plan offered by the City of Los Angeles? 2.
More informationName: Preview. Use the word bank to fill in the missing letters. Some words may be used more than once. Circle any words you already know.
Preview. Use the word bank to fill in the missing letters. Some words may be used more than once. Circle any words you already know. Advance Organizer Banks, Credit & the Economy Preview. Use the word
More informationCheck It Out. FDIC Money Smart for Young Adults. Building: Knowledge, Security, Confidence
Check It Out FDIC Money Smart for Young Adults Building: Knowledge, Security, Confidence Purpose Check It Out will teach you how to use a checking account responsibly 2 Objectives By the end of this course,
More informationWhat You Need to Know about Overdrafts and Overdraft Fees
What You Need to Know about Overdrafts and Overdraft Fees An overdraft occurs when you do not have enough money in your account to cover a transaction, but we pay it anyway. We can cover your overdrafts
More informationElectronic Banking. Accounts opened after this date will be considered new accounts: What is a PIN used for?
1.7.2.L1 Note taking guide Electronic Banking Total Points Earned 25 Total Points Possible Percentage Name Date Class Electronic Funds Transfer (EFT) Can do: Through: Benefits include: PIN- Accounts opened
More informationInactive Account Fees Any account inactive for one year, with a balance under $50.00, will be assessed a $2.00 charge per month.
Business Banking Schedule of Charges Effective August 2015 Checking Business Basic $10.00 Monthly fixed charge if the average daily balance falls below $1,500.00 on any given day during the statement cycle.
More informationTransferring to Alliance Trust Savings
Transferring to Alliance Trust Savings ATS TERMINOLOGY ATS uses some terminology that you may not be familiar with as a Stocktrade client. Here are a few of the main examples to help explain. INVESTMENTS
More informationFinancial Management Service Docket FISCAL-FMS , Management of Federal Agency Disbursements; 75 Federal Register, ; June 17, 2010
Stephen Kenneally Vice President Center for Regulatory Compliance Phone: 202-663-5147 skenneal@aba.com August 16, 2010 By electronic delivery to: Mr. Walt Henderson Financial Management Service 401 14
More informationPFIN 5: Banking Procedures 24
PFIN 5: Banking Procedures 24 5 1 Checking Accounts OBJECTIVES Explain the purpose and use of a checking account. Prepare a checkbook register. Write a check and prepare a deposit slip. Prepare a bank
More informationWhat to expect with PayFlex
What to expect with PayFlex Detailed information about your health savings account (HSA) HSA members moving to PayFlex 69.03.615.1 (6/15) We d like to tell you what you can expect from us as you prepare
More informationElectronic Payment Card Program Frequently Asked Questions
1. What is the new Visa Electronic Payment Card? The Visa Electronic Payment Card (EPC) is a safe and secure method for payment of weekly Unemployment Insurance benefits. It can be used to get cash from
More informationQUESTIONS AND ANSWERS
QUESTIONS AND ANSWERS MERGER Q: When will the merger take effect? A: On September 1, 2016. Q: Why did we merge with Texas Trust? A: When Martin Marietta acquired TXI we lost our sponsor support requiring
More informationPersonal Visa. Visa Platinum. Visa Classic. 24 hours n Low 9.5% APR interest rate on purchases and balance transfers n 12.9% APR on cash advances
Personal Visa P.O. Box 9750 Bellingham, WA 98227-9750 360.676.1168 www.wecu.com At WECU, having a Visa card is more than just a way to shop. WECU s Visa cards are smart to carry. We offer a Classic Visa
More informationWorkbook 3. Borrowing Money
Workbook 3 Borrowing Money Copyright 2019 ABC Life Literacy Canada First published in 2011 by ABC Life Literacy Canada All rights reserved. ABC Life Literacy Canada gratefully thanks Founding Sponsor TD
More informationUsing a Credit Card. Name Date
Unit 4 Using a Credit Card Name Date Objective In this lesson, you will learn to explain and provide examples of the benefits and disadvantages of using a credit card. This lesson will also discuss the
More informationFSB Overdraft Protection
FSB Overdraft Protection OVERDRAFT PRIVILEGE PROGRAM At times, unanticipated expenses or unforeseen problems can leave you with too little cash in your checking account. Having a check returned due to
More informationVISA PERKS CREDIT CARD. Apply Now! of rewards points with every purchase! Enjoy the PERKS midcoastfcu.me.
186 Lower Main Street Freeport, Maine 207.865.4443 831 Middle Street Bath, Maine 207.443.5531 6 Station Avenue Brunswick, Maine 207.729.8737 41 Route One Edgecomb, Maine 207.882.7919 209 New County Road
More informationSpend the winter saving for your summer vacation at your Catholic credit union.
PURSER WINTER 2016 Wishing the cold days of winter would end already? Start saving for the summer at Oceanside Christopher FCU! Spend the winter saving for your summer vacation at your Catholic credit
More informationCommBank Personal Overdraft Terms and Conditions.
CommBank Personal Terms and Conditions. 1 January 2018 Contents Terms and conditions 1. Understanding your contract 3 2. Using and managing your 3 3. Fees and interest 7 4. Other things to know 7 5. What
More informationLoans: Banks or credit unions can loan you money. You pay the money back a little at a time. They charge you interest for the loan.
Basic Banking Services and Checking Accounts Intermediate MATERIALS What Can a Bank Do for You? Lesson 1: Introduction to Banking Services Worksheet 1-1 page 1 Beginner & Low- What Can a Bank Do for You?
More informationRegulation E Disclosure Revised 8/25/17 First State Bank of Arcadia. Electronic Funds Transfer Agreement and Disclosure
Regulation E Disclosure Revised 8/25/17 First State Bank of Arcadia North Arcadia Office East Arcadia Office 400 N Brevard Ave 2747 SE Hwy 70 Arcadia, FL. 34266 Arcadia, FL 34266 (863) 494-2220 863) 993-1500
More informationELECTRONIC FUND TRANSFERS AGREEMENT AND DISCLOSURE
ELECTRONIC FUND TRANSFERS AGREEMENT AND DISCLOSURE This Electronic Fund Transfers Agreement and Disclosure is the contract which covers your and our rights and responsibilities concerning the electronic
More informationThis information is accurate as of March 31, 2017.
Example of Credit Card Agreement for Bank of America Rewards, Bank of America Accelerated Rewards and Bank of America Accelerated Cash Rewards American Express Card accounts This information is accurate
More informationDeposit Account Disclosure and Bank Fee Schedule. Account opening and usage
BMO Harris Smart Money TM Deposit Account Disclosure and Bank Fee Schedule Account This Deposit Account Disclosure and Bank Fee Schedule and the Deposit Account Agreement for Personal and Business Accounts
More informationLaw Help New Mexico. Temporary Assistance for Needy Families (TANF) What is TANF? Is my family eligible for TANF?
Law Help New Mexico Advancing Fairness and Justice for All www.lawhelpnewmexico.org Temporary Assistance for Needy Families (TANF) What is TANF? Temporary Assistance for Needy Families (TANF), known in
More informationFAQ s. Why should I hire Social Security Advocates for the Disabled? How can you help me if I don t live near your office?
800.825.7735 136 Long water Drive, Suite 100, Norwell, MA 02150 FAQ s Why should I hire Social Security Advocates for the Disabled? Hire us because we win, and we ve been winning since 1994. People that
More informationUsing Banking Services
Teacher's Guide $ Lesson Six Using Banking Services 04/09 using banking services websites websites for banking services The internet is probably the most extensive and dynamic source of information in
More informationGetting started. Introducing your account
Getting started Introducing your account 2 Welcome to banking designed to suit your taste When it comes to banking, we don t believe one size fits all. That s why in addition to our regular Bank Account,
More informationAs used here, the word "we" means the financial institution and the word "you" means the account holder.
Terms and Conditions of Deposit Accounts This brochure contains the rules which govern, where appropriate, your deposit account with us. Unless it would be inconsistent to do so, words and phrases used
More informationInterest rates, charges and important information
Interest rates, charges and important information CONTENTS Savings 1 Current Accounts 9 International Payment Services 13 Mortgages 14 Important Information 15 Savings Intelligent Finance isaver Intelligent
More informationLesson Description. Texas Essential Knowledge and Skills (Target standards) Texas Essential Knowledge and Skills (Prerequisite standards)
Grade Level: 4 Smart Cash Lesson: 5 Lesson Description As in Mr. Cash s class, your students will play a game called Smart Cash. Groups of 3-4 students will use a game board and a set of game cards. Each
More informationISPFCU VISA PLATINUM PROGRAMS TERMS AND CONDITIONS The information about the costs of the card described is accurate as of July 14, 2017.
ISPFCU VISA PLATINUM PROGRAMS TERMS AND CONDITIONS The information about the costs of the card described is accurate as of July 14, 2017. ANNUAL PERCENTAGE RATE (APR) Other APRs Platinum Elite: Wall Street
More informationYour account charges explained COMMERCIAL BANKING
Your account charges explained COMMERCIAL BANKING Contents Help with queries 2 Keeping your charges low 2 Electronic Business Tariff 4 Business Extra Tariff 4 Other service charges for all tariffs 8 Business
More informationPersonal Schedule of Fees for SafeBalance Banking
Personal Schedule of Fees for SafeBalance Banking Effective November 3, 2017 The SafeBalance Banking account is a personal deposit account. bankofamerica.com Applies in all states. Bank of America, N.A.
More informationMCU Check Card Agreement:
MCU Check Card Agreement: This agreement describes how to use your MCU Check Card and explains your rights and responsibilities as an MCU Check Card user. When you signed the MCU Check Card application,
More informationC R E D I T C A R D H O L D E R A G R E E M E N T & D I S C L O S U R E. Cardholder Agreement and Disclosure Statement for Your SCFCU Credit Card
C R E D I T C A R D H O L D E R A G R E E M E N T & D I S C L O S U R E SERVICES CENTER FEDERAL CREDIT UNION 609 WEST 21 ST STREET PO BOX 704 YANKTON, SD 57078 Cardholder Agreement and Disclosure Statement
More informationELECTRONIC FUND TRANSFERS AGREEMENT AND DISCLOSURE
ELECTRONIC FUND TRANSFERS AGREEMENT AND DISCLOSURE This Electronic Fund Transfers Agreement and Disclosure is the contract which covers your and our rights and responsibilities concerning the electronic
More informationElectronic Services Agreement PO Box 98979
PO Box 98979 Lakewood, WA 98496 Tel. (253) 584-0079 1-800-244-0874 Fax (253) 581-5052 www.americanlake.org This Agreement is the contract, which covers your and our rights and responsibilities concerning
More informationCardholder Agreement
Cardholder Agreement 1. Your Agreement to these Terms and Conditions; Definitions. The terms and conditions in this Agreement govern your Card and all credit extended to you under this Agreement. The Agreement
More informationGetting started. Introducing your account
Getting started Introducing your account 2 Welcome to banking designed to suit your taste When it comes to banking, we don t believe one size fits all. That s why in addition to our regular Bank Account,
More informationWhat You Need to Know about Overdrafts and Overdraft Fees
What You Need to Know about Overdrafts and Overdraft Fees An overdraft occurs when you do not have enough money in your account to cover a transaction, but we pay it anyway. We can cover your overdrafts
More informationELECTRONIC FUND TRANSFERS AGREEMENT AND DISCLOSURE
ELECTRONIC FUND TRANSFERS AGREEMENT AND DISCLOSURE This Electronic Fund Transfers Agreement and Disclosure is the contract which covers your and our rights and responsibilities concerning the electronic
More informationACCOUNT CHARGES. Your account charges explained
ACCOUNT CHARGES Your account charges explained March 2014 Account charges To put your business in greater control we d like to fully explain your business banking fees. Here we ll outline how our charges
More informationMONEY 101. An MIT Student s Guide to Financial Wellness. Your guide and online resource to answer the questions you have about financial wellness.
MONEY 101 An MIT Student s Guide to Financial Wellness Your guide and online resource to answer the questions you have about financial wellness. FAQs and Tips on: 1. The Value of Credit Union Membership
More informationChecking, Saving, Investing, and Protecting your money Unit 3
Checking, Saving, Investing, and Protecting your money Unit 3 Banks Financial Institutions licensed to receive and utilize deposits There are 2 main types of Banks Retail/Commercial Banks- Financial Institutions
More informationBook 2: Personal Banking
Math 21 Earning and Spending Money Book 2: Personal Banking Teacher Version Assessments and Answers Included Edited April 2015 Year Overview: Earning and Spending Money 1. Budget 2. Personal Banking 3.
More informationOverdraft Education Practice & Reference Materials
Overdraft Education Practice & Reference Materials 2013 IN-Focus Digital Booklet Instructions 2 This booklet is designed for use with the Overdraft Education Workshop video. Any unauthorized use is prohibited
More informationPO Box 179 Greenbelt, MD esfcu.org
PO Box 179 Greenbelt, MD 20768-0179 301.779.8500 esfcu.org Electronic Fund Transfers Agreement and Disclosure This Electronic Fund Transfers Agreement and Disclosure is the contract which covers your and
More informationName: Period: Date. Financial Fitness. TEACHER: For the next few days we are going to be focusing on Family, Career and
Financial Fitness Introductory Skit: TEACHER: For the next few days we are going to be focusing on Family, Career and Community Leaders of America s (FCCLA s) Financial Fitness Program. STUDENT: Financial
More informationEvidence of Coverage:
January 1 December 31, 2017 Evidence of Coverage: Your Medicare Health Benefits and Services and Prescription Drug Coverage as a Member of Health Net Jade (HMO SNP) This booklet gives you the details about
More information