You recognize the names.
Citgroup, Bank of America, JP Morgan.
At least you should recognize them. Your tax money will be paying for their bailouts, and so will the tax money of your kids and their kids for many years to come.
Well guess what? They haven’t finished squeezing the last penny out of Americans, and the “leaders” of many states are helping them to do just that. Now they are taking advantage of people who have lost their jobs. These people are completely despicable. And so are the state elected officials who are helping them at the expense of the unemployed.
For hundreds of thousands of workers losing their jobs during the recession, there’s a new twist to their financial pain: Even as they’re , they’re paying bank fees just to get access to their money
Thirty states have struck such deals with banks that include US Bancorp, an Associated Press review of the agreements found. All the programs carry fees, and in several states the unemployed have no choice but to use the debit cards. Some banks even charge of up to $20 — even though they could decline charges for more than what’s on the card.., ., and
“It’s a racket. It’s a scam,” said Rachel Davis, a 38-year-old dental technician from St. Louis who was laid off in October. Davis was given aissued through Central Bank of Jefferson City and recently paid $6 to make two $40 withdrawals.
What we are looking at here is one more example of how our elected officials are more interested in lining the pockets of their contributors than they are in their consituents.
The fees are raising questions from lawmakers who just recently voted to infuse banks with taxpayer money to keep them afloat.
Rep. Carolyn Maloney, D-N.Y., a member of the, said the situation points to “yet another example of how we need to regulate the ways in which banks charge overdraft and other fees.”
“Banks, particularly ones that have received federal help, should not be imposing endless fees and charges on the unemployed in this time of economic crisis,” said Maloney, who has written a bill to require that consumers be notified at the point of sale if they’re about to incur overdraft fees.
Some banks, depending on the agreement negotiated with each state, also make money on the interest they earn after the state deposits the money and before it’s spent. The banks andalso get roughly 1 to 3 percent off the top of each transaction made with the cards.
Neither banks nor credit card companies will say how much money they are making off the programs, or what proportion of the revenue comes from user versus merchant fees or interest. It’s difficult to estimate the profits because they depend on how often recipients use their cards and where they use them.
You know something? As much of a capitalist as I am, I am beginning to agree. Somebody needs to regulate these bastards in a big way. They have shaken the tree and now they are checking the branches for any stray fruit. And the elected officials who are working with them in this case deserve to have their own asses kicked hard.
The U.S. Department of Laborallows the fees as long as states create a way for recipients to get their money for free, spokeswoman Suzy Bohnert said.signed by President Barack Obama this week will increase by $40 billion this year. Subsequently, there will be more money from which banks can collect fees. The
“Beyond that, the individual decides how to manage his drawdowns using the debit card,” she said in an e-mail.
A typical contract looks like the agreement between Citigroup and the state of Kansas, which took effect in November. The state expects to save $300,000 a year by wiring payments to Citigroup instead of printing and mailing checks.
Citigroup’s bill to the state: zero. The bank collects its revenue from fees paid by merchants and the unemployed.
Disgusted? Had enough of these pigs? Then call your Congress person and ask if your state is helping banks shove it up the noses of the unemployed. If he or she says Yes, then tell him or her to do something about it from Congress. Now. Then call your Governor’s office and tell your Governor what you think. Nobody……but NOBODY should be forced to use a fee-for-use debit card as a method of receiving their unemployment benefits.