Today Show: Credit Unions Best for Small Savers

Financial editor Jean Chatzky, on the Oct. 22 Today Show and in her MSNBC.com column, says credit unions are the best place to go if a consumer is a small saver or a car-loan borrower.

Chatzky, who is an editor-at-large for Money magazine, analyzes the "best banks for your buck." She says:

Credit unions are like not-for-profit banks. They have an even smaller, more individual presence than small banks. Some have a system of branches, some do not. But they're known for charging lower fees and offering higher rates of interest than banks. The catch is that you have to be a member to get a good deal.

Read--and watch--the segment online. Click here.

A Slurpy with My Surcharge-Free

Paging through yesterday's USA Today, this ad caught my attention. The question is simple, and the answer is even better--credit union surcharge-free ATMs.

The ad encourages consumers to join credit unions and use one of CO-OP's 25,000 surcharge-free ATMs, instead of using bank ATMs that carry high fees.

The ad also points out that a new deal will offer consumers a deal at many 7-Eleven stores.

Now I can get my Slurpy and surcharge-free spending cash all in one stop!

But where, oh, where can I find these elusive little gems? Fear not, this handy website shows you.

Survey: Customers fear bank fees more than crooks

Just in time for Halloween, an upcoming survey by the Gartner consulting group finds "many consumers are more worried about banks raiding their accounts than criminals," writes MSNBC blogger Bob Sullivan yesterday.

The research finds "consumers are five times more likely to switch banks because of hidden fees than security concerns." Sullivan quotes Garner researcher Avivah Litan:

"...Banks make the biggest deal about security and how they protect your accounts and spend a lot of money advertising that ... but what people really care about is fees.

Also surprising: the customer churn these fees generate. "When you have one in five customers leaving a bank because of excessive fees, that's a huge customer service cost. They must be making a lot of money from excessive fees."

Among Sullivan's "Red Tape Tips": Investigate a credit union near you.

Read Sullivan's complete MSNBC "The Red Tape Chronicles" blog post here.

Banker likes ATM fees

Bank fees at record levels, says Bankrate

Boo!!!

Bank fees have hit all-time highs in several areas, especially ATM surcharges, bounced check fees, and monthly service fees, according to Bankrate's fall 2007 Checking Study released Wednesday.

The survey examined accounts at the largest banks and thrifts in 25 large markets or 249 institutions plus 16 Internet banks. Credit unions were not included, but the results may make members love their low or no-fees credit unions even more. In almost all categories, fees hit a record.

Motley Fool Says Get a Good Credit Card From a Credit Union

Next to signing up for the military, which makes you eligible for the very best credit card deals, The Motley Fool says go to a credit union to get the best card terms.

It says Consumer Reports asked 36,298 credit card users to talk about the 61,944 cards they stuff into their pockets. Cards from USAA Federal Savings and Navy Fedearl Credit Union ranked the number 1 and 2 best out of 100 cards in the survey. But, hey, you've got to be part of the military to get them. For the rest of us? The Fool says ranked number 3 are the good deals available with all the "plain old 'other credit union cards.'" Click here to see more about this.

Consumer Dude: 'bank at a credit union, not at a bank'

The U.S. Public Interest Research Group (PIRG) has in its crosshairs Bank of America's recently boosted ATM fees...to $3! Consumer hero Ed Mierzwinski on his blog says consumers have an alternative:

So bank at a credit union, not at a bank. Most credit unions waive surcharges on other credit union members. There aren't as many credit union ATMs, but there are some, especially in metropolitan areas. And plan your trips so you have enough cash so you don't need to stick your card into one of Bank of America's or some other big bank's double-dipping ATMs.

Banks Move Like a 'School of Fish' on Fees

Did they mean fish or sharks?

More rankle and furvor over BofA's decision to bump ATM fees to $3 per transaction. This from the Sept. 13 USA Today:

The development will likely lead other banks to raise their ATM fees, too. "Banks often move like a school of fish on punitive charges such as ATM surcharges and credit card late fees, so it's just a matter of time before others follow suit," says Greg McBride, a senior analyst at Bankrate.com (RATE).

Blogger Fumes About Bank Charges

Well, "fumed" wasn't really the word this artist and college student used when describing her experience with one big bank's fee-for-all. She was already in the process of switching to a credit union, and had deposited cash in an out of state branch. The bank told her they put a "HOLD" on the deposit. She fumes about the accumulating fees:

That will be $175 in fees if they charge me - I will fight them to the death on this - I live next door and will sit in their bank everyday for hours until they give me a credit. I am beyond pissed off.

The funny thing is I was planning on changing accounts anyway and not because of anything they had done - just because the credit union has much better deals. Oh well - another dissatisfied Bank of America customer.

Bank breaks $3 ATM fee barrier

As a college student preparing for a night out, I typically would visit the automated teller machine (ATM) and withdrawal $5 from my account. Back then it was free, as financial institutions enticed customers to the world of labor-less banking. Times have changed, indeed.

Bank of America said it is hiking ATM fees to $3 in most U.S. markets. The $1 hike in fees went into effect July 31 for most of the country, and will take effect Aug. 31 in markets in Illinois, New Mexico, New York, Nevada and Massachusetts, reports the San Francisco Business Times.

The fee will not be charged to BoA customers, who do not have to pay to use BoA ATMs. Also, the increase will not be charged at the 6,300 off-site ATM locations such as airports, colleges, convenience stores and malls. At these locations, non-customers will continue to pay a $2 surcharge.

Two years ago, BoA had its last surcharge increase going from $1 and $1.50 to $2 in some markets. The current industry surcharge average is $1.64, according to Bankrate.com.

Ouch!

Statistics from the Credit Union National Association indicate that the average amount of non-member surcharge on owned or leased ATMs ranged from $1.25 to $1.59, depending on credit union asset size.