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The two primary functions of banking should be to take deposits and to make loans; all other services should be supplementary to these two primary activities.
January 17 -
I would feel better about banking at a place that took an active role in educating the public on the financial system. I would also appreciate a complete breakdown on any puzzling paperwork, confusing mathematics or common mistakes when I sign up for an account.
January 16 -
Debit cardholders would feel more appreciated if their bank voluntarily notified them prior to overdrafts and offered to mail statements in languages other than English.
January 16 -
More than anything I would like good customer service, close attention to my account security and really low fees. Unfortunately, I must admit I almost never get what I want from my bank.
January 16
Remember the 1993 Michael Douglas movie Falling Down? Directed by Joel Schumacher, the film is the story of an unemployed defense worker who has a breakdown because of society's ills, and as a result, he goes on a violent yet oddly cathartic for the viewer vigilante spree as he travels home. I'd like to suggest that Schumacher follow up the movie with Falling Down 2 only this time the protagonist is a homeowner who goes nuts because it took him almost a year to do a simple refi that cost twice as much as he thought it would and required him to fill out the same paperwork again and again. Later, the same guy goes shopping for a home equity line of credit, but decides to try a smaller, local bank, hoping for better customer service. But that experience is also fraught with problems. They misspell his name on all the paperwork. He spots it early and asks them three times to fix it, but when he shows up to what was supposed to be the closing, it was still misspelled, and as a result he can't close. This, of course, causes a complete mental collapse and the movie ends with him on the floor of the bank in the fetal position.
This story, I confess, bears a striking resemblance to my own travails in the world of retail banking. Chances are many can relate. These days complaints about banks aren't exactly rare. Just ask the Consumer Financial Protection Bureau, whose
I bring this up not to point fingers. From the financial institutions' perspective, these are complicated, highly regulated transactions, which require a number of steps that the average consumer likely can't fully appreciate. Anyone who has closed a mortgage and tried to read the
There's the
There's also
Or
These stories could all be made into movies, but those of us who work in financial news hear them all the time, along with the more pedestrian tales like the year-long refi saga. (To be fair, this column could easily be adapted to car dealers, cable companies and hospitals.)
The point is that these issues are far from unique. They happen in big financial institutions and small and they all take a real toll some obviously more than others. It feels to many that the financial institutions don't fully grasp the impact they have. Perhaps that's understandable. They are overwhelmed too and they deal with so many people in various states of distress, maybe they've become desensitized to it on an institutional level. But banks should remember that despite the necessary focus on balance sheets, liquidity, interest rates, tranches, and so on, they aren't simply in the money business. They are in the people business. We are the raw materials and without us all of us there is no business.
Michael Schreiber is the editor-in-chief and chief content officer of