Fifth Third bank

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raiderbuck

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Feb 28, 2013 11:43 AM
sleeper;1397776 wrote:Really? Try banking with someone other than 5/3 then because I never pay for my free checking. I mostly just use my current bank to funnel money to an online bank.
I don't, and have never, banked with 5/3. Not that they are a bad bank, but because I bank with Chase...and it's simply easier for me. I don't pay a service fee for my checking account either. Nor my savings. But Chase is still making money off me. Just because I don't see it on my statement as a glaring "$12 service fee" doesn't mean they don't make money off of me.
Feb 28, 2013 11:43am
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sleeper

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Feb 28, 2013 11:47 AM
raiderbuck;1397779 wrote:I don't, and have never, banked with 5/3. Not that they are a bad bank, but because I bank with Chase...and it's simply easier for me. I don't pay a service fee for my checking account either. Nor my savings. But Chase is still making money off me. Just because I don't see it on my statement as a glaring "$12 service fee" doesn't mean they don't make money off of me.
How are they making money off of you?
Feb 28, 2013 11:47am
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SportsAndLady

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Feb 28, 2013 12:17 PM
sleeper;1397784 wrote:How are they making money off of you?
The more households, the more $$$.

If you have a higher share of the market, your company will become more and more monetarily valuable--directly and indirectly.
Feb 28, 2013 12:17pm
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raiderbuck

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Feb 28, 2013 12:21 PM
sleeper;1397784 wrote:How are they making money off of you?
Me, specifically? Or "You" as in a general consumer? Either way...they make money when I use an ATM that doesn't belong to the bank (I do get some relief on some out of network ATMs). They make money off my small IRA, my credit card interest, and possibly using my deposit balances as leverage for their investments (although, I believe that's not 100% accurate anymore?). Banks used to rake in about $.30 per debit card transaction. Now, I believe that number was slashed to $.12 (Dodd-Frank).

As a consumer? Well, banks (especially larger ones) know that customers will bring more business to them if they are satisfied with their primary checking. You want a mortgage? Well, the average person will contact their own bank for pre-approvals. Banks will provide discounts for mortages to account holders, and at the same time make it all back, plus some, when the person closes on that mortgage. Same for vehicle loans, student loans, business loans, etc.,. The checking account is the gateway. So yea...I'm sure you do have a free checking, but like I said. Your bank is making money off you anyway.
Feb 28, 2013 12:21pm
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sleeper

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Feb 28, 2013 12:27 PM
Exactly. The make money on passive activities that do not harm on the customer and financially poor decisions of their customer base. They don't need to charge fees just to have an account and if they do there are plenty of banks that don't.
Feb 28, 2013 12:27pm
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WebFire

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Feb 28, 2013 12:52 PM
sleeper;1397774 wrote:These people that complain should find another bank. Most banks make plenty of money from loans; they don't need to nickel and dime consumers to make money. The last bank that charged me any fee I dropped them the next day and went to another bank and I'll do the same if my current bank ever tries to pull that shit.
The one that sticks out to me was a business owner that complained of fees on a business checking. Is there such a thing as free business accounts? Also, it isn't just checking accounts people bitch about. It's all fees.
Feb 28, 2013 12:52pm
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WebFire

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Feb 28, 2013 12:53 PM
sleeper;1397812 wrote:Exactly. The make money on passive activities that do not harm on the customer and financially poor decisions of their customer base. They don't need to charge fees just to have an account and if they do there are plenty of banks that don't.
Doesn't 5/3 have free checking accounts?
Feb 28, 2013 12:53pm
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wildcats20

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Feb 28, 2013 12:58 PM
WebFire;1397828 wrote:Doesn't 5/3 have free checking accounts?

Only one now. But you can't write any checks. It's all electronic so to speak.
Feb 28, 2013 12:58pm
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raiderbuck

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Feb 28, 2013 1:02 PM
sleeper;1397812 wrote:Exactly. The make money on passive activities that do not harm on the customer and financially poor decisions of their customer base. They don't need to charge fees just to have an account and if they do there are plenty of banks that don't.
This goes back to the point of why banks exist. They are a business in to make money. A checking account is not a service, it's a product. There will be a cost to the bank to offer this product, and that cost can be leveraged over other products/services (like I mentioned), or passed to the consumer in the form of a maintenance fee. As a convenience, banks offer ways to avoid paying that service fee. The sooner people grasp the understanding that a business is making money off your money, the more educated the consumer will become.
Feb 28, 2013 1:02pm
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FatHobbit

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Feb 28, 2013 1:08 PM
wildcats20;1397832 wrote:Only one now. But you can't write any checks. It's all electronic so to speak.
I also think you have to have direct deposit.
Feb 28, 2013 1:08pm
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sleeper

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Feb 28, 2013 1:16 PM
raiderbuck;1397836 wrote:This goes back to the point of why banks exist. They are a business in to make money. A checking account is not a service, it's a product. There will be a cost to the bank to offer this product, and that cost can be leveraged over other products/services (like I mentioned), or passed to the consumer in the form of a maintenance fee. As a convenience, banks offer ways to avoid paying that service fee. The sooner people grasp the understanding that a business is making money off your money, the more educated the consumer will become.
And once again, there are plenty of banks that offer this product for free and customers should go to those places. I am aware that banks are businesses. LOL :thumbup:
Feb 28, 2013 1:16pm
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wildcats20

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Feb 28, 2013 1:19 PM
FatHobbit;1397842 wrote:I also think you have to have direct deposit.

Correct. Which would be no problem for me, except I have to write 2 checks a month, sometimes more.

So I closed my account and am now with Huntington.
Feb 28, 2013 1:19pm
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raiderbuck

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Feb 28, 2013 1:21 PM
^ok bro...you show me a checking account where a bank (or a credit union) doesn't make a dime off of you. You're paying, one way or another.
Feb 28, 2013 1:21pm
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Crimson streak

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Feb 28, 2013 1:29 PM
raiderbuck;1397854 wrote:^ok bro...you show me a checking account where a bank (or a credit union) doesn't make a dime off of you. You're paying, one way or another.

No there are plenty of banks where you pay nothing to the bank. No fees nothing. PNC has never charged me a dime for anything and actually give me back my atm fee if I use an ATM that's not pnc.
Feb 28, 2013 1:29pm
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sleeper

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Feb 28, 2013 1:37 PM
raiderbuck;1397854 wrote:^ok bro...you show me a checking account where a bank (or a credit union) doesn't make a dime off of you. You're paying, one way or another.
I use PNC's free checking account. I haven't paid them anything. LOL :thumbup:
Feb 28, 2013 1:37pm
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gut

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Feb 28, 2013 1:41 PM
Crimson streak;1397862 wrote:No there are plenty of banks where you pay nothing to the bank. No fees nothing. PNC has never charged me a dime for anything and actually give me back my atm fee if I use an ATM that's not pnc.
How much money do you actually have in accounts? In my experience, most have a minimum balance of $1000 to waive fees, or direct deposit....or direct pay at least 2 bills a month. All of that is designed to get you to start doing more business with them.

Then if you wanted a little better rate, min, balances go up more. Most of these banks will get you somewhere, some might charge a bit more for non-network ATM's, more for checks, etc...
Feb 28, 2013 1:41pm
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BR1986FB

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Feb 28, 2013 2:18 PM
Dropped 5/3 awhile ago. They were putting 3-10 day holds on my paycheck (anything over a certain amount gets a hold). This was a few years back though.
Feb 28, 2013 2:18pm
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raiderbuck

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Feb 28, 2013 2:20 PM
Crimson streak;1397862 wrote:No there are plenty of banks where you pay nothing to the bank. No fees nothing. PNC has never charged me a dime for anything and actually give me back my atm fee if I use an ATM that's not pnc.
sleeper;1397876 wrote:I use PNC's free checking account. I haven't paid them anything. LOL :thumbup:
raiderbuck;1397809 wrote:Me, specifically? Or "You" as in a general consumer? Either way...they make money when I use an ATM that doesn't belong to the bank (I do get some relief on some out of network ATMs). They make money off my small IRA, my credit card interest, and possibly using my deposit balances as leverage for their investments (although, I believe that's not 100% accurate anymore?). Banks used to rake in about $.30 per debit card transaction. Now, I believe that number was slashed to $.12 (Dodd-Frank).
I just mentioned two ways a bank can make money off your checking account without ever charging you a service fee. The above is why the Government has passed acts like Dodd-Frank to curb the profits banks raked from consumers.

Truth be told, if you don't want to be nickled and dimed (like maintenance fees), then don't bank at small regional banks. More specifically, don't bank with institutions who's major profit stream comes from consumer banking. Banks like BofA, Chase, and Wells Fargo make more money from their commercial banking, investment, and mortgage areas anyway.
Feb 28, 2013 2:20pm
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sleeper

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Feb 28, 2013 2:21 PM
Right because banks using my money or earning money from ATM fees really affects me. You're really stretching. LOL :thumbup:
Feb 28, 2013 2:21pm
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gut

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Feb 28, 2013 3:13 PM
You might have a chance for free checking/accounts with a larger bank because they have more service to take advantage of. But it's rare that you get something for nothing - they all are going to get their money from somewhere.

You just have to shop around and find the cheapest account that fits your needs. It's normally not hard, from signing up for direct deposit to auto-pay a few bills each month (which, unfortunately, is more difficult than it sounds because there aren't a lot of fixed monthly payments for most outside of rent).

Brokerage accounts are a nice way to get around this, and also have easy access to move funds between your account. But the flipside is you'd be better off with a discount online brokerage. The downside to the latter is you have to transfer funds every time you want to add to your investments.

Don't forget about a CC with your local bank, either. You can get fee breaks for using a CC.

The challenge is finding the right account because at these rates you're getting a negative real return on your money, so you shouldn't have very much money with your bank. But, again, it can be costly to move money around to get better rates (and if we're talking investments, also more risk).
Feb 28, 2013 3:13pm
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Commander of Awesome

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Feb 28, 2013 3:21 PM
Crimson streak;1396710 wrote:I have pnc. I haven't had a single problem with them.
Same, been with PNC since I was 8 yrs old.
Feb 28, 2013 3:21pm
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raiderbuck

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Feb 28, 2013 3:21 PM
sleeper;1397911 wrote:Right because banks using my money or earning money from ATM fees really affects me. You're really stretching. LOL :thumbup:
Wtf? Did you even read what I wrote? I said banks...you know what, nevermind. Arguing with you is pointless.
Feb 28, 2013 3:21pm
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Commander of Awesome

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Feb 28, 2013 3:28 PM
raiderbuck;1397961 wrote:Wtf? Did you even read what I wrote? I said banks...you know what, nevermind. Arguing with you is pointless.
QQ
Feb 28, 2013 3:28pm
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sleeper

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Feb 28, 2013 3:40 PM
raiderbuck;1397961 wrote:Wtf? Did you even read what I wrote? I said banks...you know what, nevermind. Arguing with you is pointless.
Oh banks make money? Insightful. Please tell me more. :thumbup:
Feb 28, 2013 3:40pm
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Crimson streak

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Feb 28, 2013 3:53 PM
sleeper;1397971 wrote:Oh banks make money? Insightful. Please tell me more. :thumbup:

I lol'd
Feb 28, 2013 3:53pm