ATTENTION: bad banking policies

Discussion in 'Lawn Mowing' started by Envy Lawn Service, Nov 19, 2004.

  1. Envy Lawn Service

    Envy Lawn Service LawnSite Fanatic
    Posts: 11,062

    I just wanted to alert those of you who are Bank of America customers, work for Bank of America customers, or are thinking about opening a business account with them.

    This bank will not cash it's own checks without charging a $5 fee if the payee is not an account holder. Some of you may say so what? But I do not! I could sort of see it for a check written on another bank, but... I think this is an extremely lousy policy. There is no reason for it other than to scalp money off people you write checks to. Matter of fact I don't even see what gives them the right to charge for checks written on their own bank.

    Anyways, just be aware that this bank will be scalping your customer refund checks, employees, subs, suppliers... or you if you try to cash a customer's check who uses Bank of America.... just any non-account holder trying to cash a check written on Bank of America, at Bank of America.

    I say this scalping practice is very bad business.
     
  2. tiedeman

    tiedeman LawnSite Fanatic
    from earth
    Posts: 8,745

    it seems like then they would start to lose customers
     
  3. MMLawn

    MMLawn LawnSite Gold Member
    Posts: 3,569

    As I understand the BOA Policy the $5 check cashing fee applies to checks that are drawn on a Business (not a personal acct) and yes applies to all non BOA customers who cash that check. Just another reason I will NEVER bank with BOA.
     
  4. grass-scapes

    grass-scapes LawnSite Bronze Member
    Posts: 1,552

    Why wouldn't you just go to your own bank to cash the check? Why take a check into a bank that isn't yours. I can understand it for a few reasons, very few....but if its a customer, deposit it in your account at your bank. OR better yet, open up a bank of america savings account, keep 5 bucks in it.
    LOL
     
  5. MMLawn

    MMLawn LawnSite Gold Member
    Posts: 3,569


    As he said this only applies to their Business Checking and believe it or not not everyone (employees) have a banking relationship. I have a 30 year old employee that has been with me for years and he has no checking or savings acct of any kind and for whatever reason never has had, so he always just cashes his check on payday.
     
  6. packerbacker

    packerbacker LawnSite Bronze Member
    Posts: 1,433





    Tell him to take it to a grocery store then, store around here only charge 2 bucks per 500 on the check but in response thats as bad as banks charging at ATMs if you dont belong to the bank, its a racket
     
  7. grass-scapes

    grass-scapes LawnSite Bronze Member
    Posts: 1,552

    I agree....banks aren't in it to be nice...they are in it to make a profit, just like we are.
     
  8. Runner

    Runner LawnSite Fanatic
    Posts: 13,494

    Actually, there are several banks that do this, and credit unions are real good for this.
    Citizens Bank used to do it, then they did away with the policy. My bank, Bank One, never did it, I believe. They have now merged with Chase Manhatten, so we'll see what the future brings. There was a thread on here about it, - something about charging the customers 2 or 3 dollars extra to cover the fee for cashing their check. It was said that if the customers have any problem with it, to take it up with their bank. Personally, I sort of agree with this, that way, if these greedy banks have more people more inclined to walk away from them, because other services are now costing them more money because of it.
     
  9. MMLawn

    MMLawn LawnSite Gold Member
    Posts: 3,569


    I don't bank with BOA, never will because I know their absurd policies.

    My bank does not charge anyone to cash my business checks, so the employee gets it cahsed for Free as he should, as it is my money not theirs anyway. I'm only allowing them to "borrow" it on a daily basis. :cool2: Sometimes banks seem to forget that is the case it seems.
     
  10. Envy Lawn Service

    Envy Lawn Service LawnSite Fanatic
    Posts: 11,062

    Yes, I agree and I can also see justification for non-account holders to be subjected to certain use/convienence fees. But $5 is a little much and charging to cash checks written on their own bank by their on customers is taking it way too far.

    I see no justification for it and furthermore, I do not even see what gives them the right to create such policies. I say that because to me it is not a matter of who it is that's cashing the check, but rather who has written it.

    All I know is, stuff like this is rotten for business and it goes beyond payroll issues. Where it really sucks is say you write a check to a subcontractor, paying up front for the materials to be brought on-site. That subcontractor may expect to slide by your bank and cash your check so he can make a material run that day instead of having to deposit the check at his bank and wait for it to clear.
     

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