Predatory lending. Overdraft fees. Minimum balances. Setting due dates on holidays and and weekends, then refusing to process payments for a three days prior to the due date. Opening lines of credit for people with mental handicaps. Fixing their books. Lying to regulatory agencies.
You had to focus on one thing in my comment, and you still didn’t even get it correct!
Bank of America intentionally processed transactions out of order to put accounts in the red faster in order to maximize per-transaction penalties. They are not the only bank.
Earlier today I read about someone who had their withdrawal processed before their deposit, placing their account into the red for a miniscule amount of times but still incurring the $35 overdraft fee.
Money printing. Larger amounts loaned out every year devaluing all existing dollars. The number might be higher but it counts for less. Official inflation figures don’t even cover it since they don’t count things people actually try to use to store wealth.
Most new money enters the system by being created via loans ultimately from the federal reserve bank. This is the primary way the money supply expands.
That’s an assumption about what I meant, but the fact is both create money. Banks loan out new money, which must only be matched by deposits equal to a small percentage of their outstanding loans specified by the reserve requirement. Which not too long ago IIRC was temporarily removed entirely.
Every time I’ve put money in a bank, I’ve gotten out more than I put in. Where’s the “robbery”?
Predatory lending. Overdraft fees. Minimum balances. Setting due dates on holidays and and weekends, then refusing to process payments for a three days prior to the due date. Opening lines of credit for people with mental handicaps. Fixing their books. Lying to regulatory agencies.
Wait until you learn overdraft fees are entirely the fault of the person overdrafting their account!
You had to focus on one thing in my comment, and you still didn’t even get it correct!
Bank of America intentionally processed transactions out of order to put accounts in the red faster in order to maximize per-transaction penalties. They are not the only bank.
Earlier today I read about someone who had their withdrawal processed before their deposit, placing their account into the red for a miniscule amount of times but still incurring the $35 overdraft fee.
It takes more nuance and braincells than that to understand the joke.
I think it just takes a not particularly reflective cynicism. “Banks actually steal from us” is just an edgelord “good things are actually bad” take.
Money printing. Larger amounts loaned out every year devaluing all existing dollars. The number might be higher but it counts for less. Official inflation figures don’t even cover it since they don’t count things people actually try to use to store wealth.
Loans don’t devalue dollars.
When they increase the money supply, yes they do.
Loans don’t increase the money supply, though. They increase monetary velocity.
Most new money enters the system by being created via loans ultimately from the federal reserve bank. This is the primary way the money supply expands.
Right but that’s a lot different than the loan being discussed here, which is when the bank capitalizes its own loans via deposits.
That’s an assumption about what I meant, but the fact is both create money. Banks loan out new money, which must only be matched by deposits equal to a small percentage of their outstanding loans specified by the reserve requirement. Which not too long ago IIRC was temporarily removed entirely.
Wow! You must be rich, mister!
Wait til you hear about how much THEY made off that money.
An economic transaction was non-zero-sum and made us both money? You love to see it! Capitalism wins again.