To be used for any generic banking question. If there is a product-specific question, specific tags like credit-card, savings etc. should be used. If there is an entity-specific question, descriptive tags like merchant, community, consumer, small-business should be used.

learn more… | top users | synonyms (1)

16
votes
2answers
21k views

Daily interest calculation combined with monthly compounding: Why do banks do this, and how-to in Excel?

I often see banks advertise (for accounts with fixed yearly interest, let's say 1.5%) – "interested is calculated daily, and compounded monthly". I have 2 questions: Why are they calculating ...
11
votes
3answers
30k views

Would depositing large cash amounts cause problems?

I saw an article recently where a man withdrew $600,000 USD in cash from his bank. I'm sure many folks here would advise against this move for obvious (and perhaps not-so-obvious) reasons. My ...
10
votes
3answers
1k views

Who creates money? Central banks or commercial banks? [closed]

Which of these is a better description of money creation: Scenario 1: Central bank creates money Customer A deposits $10 at his bank. Customer B wants to borrow $100. The bank is in good standing ...
12
votes
3answers
27k views

Co-signed a loan and I need to have my name removed

I co-signed on a car loan with my partner, and now that we are no longer together I want to have my name removed. He has had the car a year now and has been on his job over an year, but he won't do ...
10
votes
2answers
384 views

What is the “Bernanke Twist” and “Operation Twist”? What exactly does it do?

I was reading the article Bernanke’s Twist Sharpens Year-End Anxiety Over Stimulus and In the article it says The Fed on June 20 extended its Operation Twist program to swap $267 billion in ...
1
vote
2answers
478 views

How do I withdraw all money from my HSA account as a non-resident?

I have lived in US for 5 years, and I (still) have an HSA account with BoA. Now I am living in Europe, and there's a fat chance I'll ever go back to live in US, so I would like to withdraw the money ...
0
votes
1answer
56 views

I need to open a brokerage account in the US from AUSTRALIA

Does anyone know if I may be able to open a brokerage account in the united states but living in Australia, to use in trading.
14
votes
6answers
7k views

How easy is it for people from Nepal to open a foreign bank account via the internet?

Has anyone attempted opening a foreign bank account from Nepal as a Nepalese citizen, if so what was your experience? how easy was it? Which country's banks will allow this?
16
votes
3answers
11k views

How can banks afford to offer credit card rewards?

I understand Visa and MasterCard make money on transaction fees, but how much (if any) of those fees do banks see? Do banks make money on people who pay their bills on time, or are reward programs ...
12
votes
2answers
2k views

As a US citizen, should I only have $50,000 in non US banks due to FATCA?

The Hiring Incentives to Restore Employment (HIRE) act was enacted March 18, 2010 with the goal of increasing employment in the US. It also included the Foreign Account Tax Compliance Act (FATCA) ...
11
votes
6answers
4k views

Should I have separate savings accounts for various savings goals?

I have read through some personal budgeting articles and saving tips. Most articles and books mention saving money for emergency funds, large purchases, etc. Should emergency funds and saving funds ...
9
votes
4answers
383 views

Should I switch to this high rate checking account for my emergency fund?

Okay, so I bank at a local credit union, AllegacyFCU. (Here is their rates sheet.) Currently I have through this bank: Daily Access Savings account with 0.2% interest Totally Free Checking (no ...
8
votes
6answers
1k views

How can my friend send $3K to me without using Paypal?

My friend is a paraplegic. He can't go to the bank and wire the money. He used to send money from our partnership via paypal. Now I am banned from paypal. What's the alternative? Google checkout? I ...
5
votes
6answers
677 views

Would you withdraw your money from your bank if you thought it was going under?

The Texas Ratio attempts to measure how well a bank can cover its losses on nonperforming loans. A ratio over 100 indicates the bank is in trouble. I cross referenced the texas ratio for banks ...
14
votes
5answers
4k views

Cashing a fishy cheque addressed to someone else

I agreed to cash a cheque for someone I don't really know. In hindsight, this was very stupid, but now I need to figure out how best to get out of this situation. We both endorsed the cheque, it ...
14
votes
2answers
37k views

“Savings” account vs. “current” account - what's the difference?

When I draw money from ATMs or open a new bank account, there's the choice of either "savings" or "current" account. What's the difference between these two account types?
11
votes
1answer
271 views

WSJ article about CFDs - am I missing something?

In this WSJ article, it comments Traders held a net $22.6 billion in bets that the dollar will appreciate, a gain of 31% in net wagers over the previous week and the largest such position since ...
8
votes
3answers
3k views

What is the best way of transferring money from American to Canadian bank?

I am a Canadian that will be working in US for some time. I will still have Canadian bills to pay, so I would need to regularly transfer US dollars from some US bank to my Canadian bank account in ...
3
votes
1answer
195 views

Can a check be indorsed anywhere, or just in the specified area?

So I wanted to know, but nobody has been able to answer me. Can an indorsement be made anywhere on a check, or does it always have to be made in the designated space on the back of the check?
1
vote
2answers
1k views

Most Efficient Way to Transfer Money from Israel to the USA?

I am considering relocating back the USA and am looking for an efficient means to transfer our savings to a US bank. From my initial research the simple answer seems to be wire transfer for large ...
0
votes
2answers
308 views

Military member asks me if she can have money wired into my bank account but needs my social security number and bank routing number [duplicate]

I was recently talking to someone online and she said that she was in the Army and then she went on to tell me that she had a lump sum of 45,000$ co.i g to her but she needed my bank account routing ...
0
votes
1answer
80 views

Check expiry date

I have received a banker's check which HSBC New York sent after closing my account. There is no mention of expiry date. Can somebody inform me how many months are USA checks valid?
28
votes
8answers
6k views

How to organize bank accounts with wife

My wife and I are recently married, both of us are working hard. At the moment we currently have the same system as prior to our marriage. Which simply put is that both of have our own bank accounts ...
19
votes
7answers
6k views

Why is the fractional-reserve banking not a Ponzi scheme? [closed]

Operating a Ponzi scheme is a crime which I suppose has some sort of definition in the penal code or criminal law. It is a fraudulent investment operation that pays returns to separate investors from ...
17
votes
5answers
30k views

How to store millions of dollars?

Not that I have it but most banks only secure amounts up to $100k so if you put $1M in there are you at risk of losing $900k if that bank shuts down? How do people store large sums of money, do they ...
4
votes
4answers
581 views

Which UK banks have an account that features free online incoming/outgoing international wire transfers and no monthly charges? [closed]

This is a similar question to US bank w/ free online incoming/outgoing international wire transfers, no monthly charges, online application in relation to the UK. Which UK banks have an account with ...
9
votes
4answers
2k views

I'm moving to another country. Where should I keep my money?

I've been working in the US for a number of years, and am shortly to return to Australia. My cash is in an online bank based in the US. Would you recommend I move it to an Australian bank, or leave ...
11
votes
1answer
1k views

Buying checks from places besides your bank? How does it work?

I just opened a new account at Bank of America. The checks they sell aren't cheap and I heard that you can buy checks elsewhere. Does this mean that I can just buy a packet of blanket check and just ...
11
votes
5answers
8k views

Can a “For Deposit Only” endorsement on a check be changed (canceled) by initialing?

My wife endorsed a small check "For Deposit Only". Then, she crossed the endorsement out, and initialed it. The grocery store refused the check, saying once it's endorsed for deposit only, the bank ...
9
votes
1answer
12k views

How do wire transfers get settled?

Say I open accounts on Bank A and Bank B. I deposit $20 in Back A. I then initiate a wire transfer to my account in Bank B. I drive over to Bank B and withdraw $20. Bank A now has $20 extra and Bank ...
7
votes
1answer
4k views

Difference between a (credit union) “share certificate” and a (bank) CD?

I've seen both Share Certificates and Certificates of Deposit available. Are they the same thing? Do they have different names based on whether they are offered at a bank or credit union? Does one ...
5
votes
3answers
5k views

The difference between Islamic Banks and Western Banks

I have been doing some reading on the differences between Islamic Banks and Western Banks lately and found that the main difference is that Islamic Banks do not charge interest when they lend out ...
4
votes
1answer
252 views

Are there Canadian banks with low or nil user fees?

My banking institution is [again...] raising their fees for the second time in 12 months starting March 1st, 2012. I would like to find a Canadian bank or type of bank that has lower fees, of course. ...
17
votes
2answers
577 views

What's the difference between credit unions and banks?

Is one better than the other? I've noticed that national banks seem to charge more (and higher) fees. Is that just me?
12
votes
1answer
343 views

What are the benefits and risks of doing your banking through a credit union, versus a bank? What's the difference?

What are the major differences to having your mortgage, credit, savings/chequing accounts with a credit union (or caisse populaire, in Québec) versus just a regular bank?
11
votes
2answers
388 views

Why do they ask whether it is a paycheck or not in a bank?

I am getting paid with checks so each time I deposit it to my bank account they ask whether it is a paycheck or not. What difference does it make?
11
votes
3answers
46k views

Bank Draft vs. Certified Cheque - when is it appropriate to use one or the other?

Bank drafts and certified cheques are similar but have different costs associated with them. When is one more appropriate to use vs. the other?
9
votes
4answers
14k views

Are Square credit card readers practical for individual use?

Has anybody tried using a Square credit card reader for individual (non business) use? The scenarios I'm thinking about are for selling stuff at garage sales or on Craig's List but I imagine there are ...
8
votes
2answers
8k views

How does Wells Fargo use my phone number to find my Bank of America account?

I'm extremely confused about how Wells Fargo's SurePay transfers money to Bank of America. I've set up my Bank of America account to use my mobile phone number to receive payments. Now someone sent ...
6
votes
2answers
2k views

How does a bank transfer money to another bank?

In a fiat currency if I do an electronic transfer for US$200,000 from say a Bank of America current account to Citibank how do the banks account for/handle the transfer? Are we just relying on trust ...
5
votes
5answers
2k views

Should credit card payments be broken up into amounts smaller than $10K?

As mentioned in this answer about bank transaction reporting, a Cash Transaction Report (CTR) will be generated for deposits (or all transactions?) greater than $10K. So, there are two parts to this ...
4
votes
1answer
623 views

How does bank deposit insurance work in Singapore?

When I check bank web sites in Singapore, they usually post something like below: Singapore dollar deposits of non-bank depositors and monies and deposits denominated in Singapore dollars under ...
4
votes
2answers
20k views

What is a maximum amount that I can wire transfer out of US?

Say, I would like to buy a property in Thailand. The price is about $200,000. I might wire it to my Thailand's checking account. Just want to know is the limitation of wire transfer. Also, is there ...
3
votes
1answer
125 views

Bank accounts that do not get overdrawn

Are there any banks (in the US) that do not have an overdraft facility? That is, an account which cannot have a negative balance and they simply reject/decline transactions that would take the account ...
3
votes
1answer
6k views

Transfering money to personel saving account in India

I am currently residing in Qatar since 2 years. I am transferring my salary from Qatar to my personal Indian savings bank account. The amount I used to transfer is used for general expenses. Do I ...
2
votes
2answers
187 views

What is covered by CDIC savings deposit insurance?

In the unlikely event that a financial institution fails in Canada, what is covered by the Canadian Deposit Insurance Corporation? What is the limit of coverage?
1
vote
1answer
235 views

Where can I place my savings in to limit my exposure to the risk of European bank failures and sovereign debt defaults?

After looking at this stunning Euro Zone Bank Stress Test tool provided by Reuters, I see the danger and the hight level of interconnections that exists among Banks in EU. The actual scenario ...