ForumsLoans and Lines of Credit

Hidden Fees like late fees on credit cards, Cell phones roaming charges, Comically pricey phone calls in hotels.
Low weekly fees for
rental cars, they get you on the insurance, car
seats for the kids, and $6-per-gallon gas.
Getting nailed by a
hidden fee is one of the great annoyances of modern life. It shouldn't be possible to conceal price information
that's important to the consumer: Competing firms will educate
consumers about the other guy's high hidden prices in order to win
business.
LUCKIEST

NatOnline,

Banks cannot provide interest-bearing checking accounts for businesses unless you are a sole proprietor, estate trusts, or a not-for-profit.
This is a federal regulation and not something the banks have come up with on their own.
It is a bit ridiculous, but a regulation never-the-less.
If you are interested in reading about it refer to:
Regulation Q - Prohibition Against Payment of Interest on Certain Deposit Account Types

CC08

Good topic tonight Luckiest, and thank you to the posters.

As for banking, I agree with the concepts of overdraft and late fees as long as they are disclosed. I also understand the regulations against interest on checking funds. But I do strongly wish banks cut us a break on business monthly fees. I have my company (c-corp ownership) set up with B of A and do 95% of my banking actions online. I even opened the account online (with some faxing of signed docs). I was informed since my personal account was also with B of A - no monthly fees. I guess now I will have to maintain some type of minimum ($3000 or $5000 I don't remember which) in the business account to have my monthly fees waived starting in Feb. Well if it is so, it is so. This is not a problem for me, I keep their minimum requirement on hand for strategic reserves. And I will maintain the minimum required in some type of interest bearing item that the bank has to put on their debit side of their balance sheet and credit side of mine for the interest.

The problem is going to be with our just starting members who may not be able to meet the minimum and therefore incur a monthly fee for the necessity of maintaining a business account. I for one would welcome a graduated fee scale. Free for those who cannot afford to maintain the minimum yet. Maybe limit the number of teller assisted transactions to a certain amount per month before incurring a charge but other than that - free. If we are to keep the small start ups financially viable, as we should, they need to be the priority of the banks ability to assist. I would not blink at a $20 monthly maintenance fee now. But when I first started out, that $20 was an entire days profit at times, and I doubt I would have been able to be a B of A customer.

I realise these are not "hidden fees" but merely "changing fees" in my case. But if I were a struggling start-up I would be upset with the change of direction. In fact I am a little upset with the change of direction considering I am very "pro" small business. I mean really - I could never get away with passing the cost of business on to my customers like they are doing. Great bank and everything in my book, but kinda harsh on the smaller businesses.

I agree with you with what you just wrote.

Perhaps banks should review the monthly fees concept for small business and apply it only if a business don't take other services.

For example: BoA monthly fees maintenance (checking account and saving) + BoA merchant account fees + BoA credit card + Authorize.net fees cost us more than $100 per month, and I think our bank need to give us a break on the monthly fees maintenance.

NatOnline,

Speak to your business banker about relationship banking.
Bank of America has a relationship banking package.
You should not be paying a monthly maintenance fee.

CC08

Bully them a little.
Tell them you are tired of being charged.

CC08

Thank you for agreeing with my posts above.
I have a great idea, you and I should setup ATM machines that let people withdraw money with NO fee, but they have to sign up for our services

CC08