I dumped Wells Fargo as my business banker a couple of years ago. I didn't like their aggressive fees. I am now experimenting on working without credit cards to see if it matters at the small business level. But here comes something surprising" WF employees ripping off customers to win bonuses:
OK. WF has to make some restitution and pay a $100 million fine. Fine. The government will move some ex nihilo credit tally form WF to a government agency.
How about we just deregulate banks?
Feel free to forward this by email to three of your friends.
"At Wells Fargo, when we make mistakes, we are open about it, we take responsibility, and we take action," the bank said in a memo to employees on Thursday....
Wells Fargo declined to say when it hired a consulting firm to investigate the allegations. However, a person familiar with the matter told CNNMoney the bank launched the review after the L.A. lawsuit was filed.
OK. WF has to make some restitution and pay a $100 million fine. Fine. The government will move some ex nihilo credit tally form WF to a government agency.
How about we just deregulate banks?
Feel free to forward this by email to three of your friends.
4 comments:
Another reason to have accounts at more than one bank even in the first-world to be financially secure (to mitigate any possible counter-party risk). Don't put all of your assets in one bank or financial institution. Banks and financial institutions in the first-world are not above having fraud and other shenanigans occur (think of Bear Sterns, Lehman Brothers, various savings and loans during the 1980's, and probably more banks/institutions that you've never heard of). Also, try and have at least one account at a credit union. (Even if you're covered by FDIC insurance, your access to your money can be hampered and delayed, if not worse, and still cause you lots of problems if you only use that one bank).
And, of course, start your own business!
All very good points but it would also be a good idea to have an account with a foreign bank. Not to dodge taxes but rather to have more liquidity as well ad to possibly to hedge against foreign transaction fees. Also, in international trade some businesses would prefer not to do business through a U.S. based bank because of all of the administrative work required to report to the U.S. government.
"Also, in international trade some businesses would prefer not to do business through a U.S. based bank because of all of the administrative work required to report to the U.S. government."
John, has being a U.S. citizen, which I assume you are, ever been a problem doing business overseas? (I'm a U.S. citizen too by the way.)
I think John uses and recommends HSBC for banking(?).
Yes, I am a citizen of USA, I have HSBC bank accounts overseas, and as to specifically banking, even foreign banks are obliged by treaty to make the onerous reports to Uncle Sam. Some banks simply refuse to do business with Americans.
As to doing business as an American overseas, one of my jobs is to solve problems, break log jams, whether these are physical, psychological, administrative... so I am not sure I'd remember. I am still standing after 40 some years, so I guess I overcame them Do you have any particular concern in mind?
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