AP IMPACT: More pain for unemployed a...

AP IMPACT: More pain for unemployed as banks turn profit on new...

There are 40 comments on the Chicago Tribune story from Feb 19, 2009, titled AP IMPACT: More pain for unemployed as banks turn profit on new.... In it, Chicago Tribune reports that:

Graphic shows states that issue bank card unemployment payments; includes how process works, with fees2c x 3 1/2 inches; 96.3 mm x 88 mm; 2c x 4 3/4 inches; 96.3 mm x 120 mm; First, Arthur Santa-Maria called ...

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Jan

Bonnots Mill, MO

#1 Feb 19, 2009
Good grief! Why doesn't the State just do electronic transfers directly to the individual's bank account, the way Social Security is done?
liner

Bronx, NY

#2 Feb 20, 2009
Show up at the bank at 9AM, the day your check is out and withdraw the entire amount.
Yolanda

AOL

#3 Feb 20, 2009
get a job
Crab

United States

#4 Feb 20, 2009
This is sickening. These banks are capitalizing on people at the end of the line, people WHO LOST THEIR JOBS. State governments should have made sure these fees were more reasonable before reaching these contracts. At least with this in the news, more people will know to take the money out all at once to avoid a fee.
PJR

United States

#5 Feb 20, 2009
To Jan .. the state does offer direct deposit to an individualís account. Not to mention almost every bank in the country now offers a free checking account.

To Crab .. most banks allow 1 or 2 withdrawals per week at no cost.

To everyone .. why shouldn't people expect to pay for a service? Should being unemployed give you a free ride? Should you be allowed to skip paying rent, or paying for food, or heat, or a telephone.

How many people who find themselves unemployed actually try to cut back (ie. cancel cell phone service, or premium movie packages, or use mass transit instead of driving everywhere)

People need to take responsibility for themselves.
Roberto

United States

#6 Feb 20, 2009
The snake-oil salesman are in town and the sheriff's away. People in general are not the brightest when it comes to issues of money - that's why we have laws to prevent fraud. We really shouldn't blame the people for falling for this. There will always be smarter people in the world who will take advantage of those not so smart. This is just another case of this.
Jack Stephens

Chicago, IL

#7 Feb 20, 2009
I agree that the banks are in business to make money. And you can use a debit card with few fees. I've done it for years. However, the banks have no business asking for a bailout money and then collect obscene fees. Imagine how much business the bank would gain if they did this without charging any fees?
Jack Stephens

Chicago, IL

#8 Feb 20, 2009
You're right, life isnt free or easy. Your points are easy to make if you're employed; the world looks completely different from the unemployed.
PJR wrote:
To Jan .. the state does offer direct deposit to an individualís account. Not to mention almost every bank in the country now offers a free checking account.
To Crab .. most banks allow 1 or 2 withdrawals per week at no cost.
To everyone .. why shouldn't people expect to pay for a service? Should being unemployed give you a free ride? Should you be allowed to skip paying rent, or paying for food, or heat, or a telephone.
How many people who find themselves unemployed actually try to cut back (ie. cancel cell phone service, or premium movie packages, or use mass transit instead of driving everywhere)
People need to take responsibility for themselves.
PJR

United States

#9 Feb 20, 2009
Jack Stephens wrote:
I agree that the banks are in business to make money. And you can use a debit card with few fees. I've done it for years. However, the banks have no business asking for a bailout money and then collect obscene fees. Imagine how much business the bank would gain if they did this without charging any fees?
How would providing debit card service for free generate business?? Would a restaurant generate business offering free food?? They would be busy yes. But being busy and generating business is not the same thing.
PJR

United States

#10 Feb 20, 2009
Jack Stephens wrote:
You're right, life isnt free or easy. Your points are easy to make if you're employed; the world looks completely different from the unemployed.
<quoted text>
You are right, I am employed and grateful for it. However my wife lost her job recently and we have had to make some major adjustments going from a 2 income to a 1 income household.
Outrageous

Chicago, IL

#11 Feb 20, 2009
Fees are ok. They are a normal part of providing a service. However, they fees they are charging are disgusting. The article stated one woman was charged $6 for withdrawing $40. That's 15%...not for borrowing money, mind you, just for withdrawing money that belongs to her in the first place.
Support Small Banks

Bourbonnais, IL

#12 Feb 20, 2009
Stop banking at the large banks who don't care about you or your community. Bank with the small, local banks or credit unions.
Art Vandelay

Chatham, NJ

#13 Feb 20, 2009
It's apparent that I am in the wrong business.
FatNSassy

Chicago, IL

#14 Feb 20, 2009
Unbelievable! It was the scum bankers who were responsible for this mess to a great degree. So the creeps who caused lives to be ruined are collecting tolls on the road to the poor house. Why would any government agree to this system? Because the politicians are there to assist the scum cheat the public! Be clear on that folks!
FatNSassy

Chicago, IL

#15 Feb 20, 2009
I would also be suspect of the sentiments that PJR is expressing. They sound like someone who is blogging for the banking industry. These hidden PR folks are everywhere, in many different types of industries. When a story comes out that can be damaging to some special interest, they call in the professional trolls. it is a established practice to manipulate public opinion, so they are on bulletin boards, in chat rooms, really everywhere!

p.s. States do allow for electronic transfer like SSI, but in many of those states folks have to wait longer for their money if they do it that way. Some systems are set up to make the debit cards the quickest way. As I said, the system is set up for the power-elite, not the people!
Common Sense in PA

Emmaus, PA

#16 Feb 20, 2009
PJR

The state does offer direct deposit into your bank account but informs you at the time you sign up for benefits that this option could take 8-10 weeks. They also push the debit card stating your benefits will be available in about one week. If your unemployed with no money coming in, which option do you think you would choose?
cheryl

Dekalb, IL

#17 Feb 20, 2009
PJR,

I curious why you seem to have these generalize notions about the unemployed. You really know for sure that they are not cutting back? That they are just spending their money willy nilly. The comments on the Tribs site are outrageous and ignorant. Yes, direct deposit would be the best thing, but some banks do not offer direct deposit and some people mistrust using it. If a bank enters into an agreement with a state for unemployment benefits, they why should the unemployed be screwed? I guess your answer would be, it is their fault for being unemployed in the first place, or better yet, why did they not have it direct deposited. Even better yet, they probably took out the $40 (in your mind) to rent videos and buy pizza, when most likely they probably were paying an electric bill in cash.
States should demand more for their residents, but hell what do they care if they are saving money.
Banker Bob

Hampton, VA

#18 Feb 20, 2009
Eat me...
Aggrevated in Chicago

United States

#19 Feb 20, 2009
My husband got one of these cards for his unemployment in Illinois. He hasn't been able to use his card anywere! He even went to our bank who said they weren't able to help him, he needed to find a bank with the logo on it and then he would be able to use it.
Bunch of garbage to me! Thank god he got a job right away and didn't need to use it for months!
Pam

Naperville, IL

#20 Feb 20, 2009
I switched mine to direct deposit after the first check. It took about 2-3 days to process. West Suburban Bank was able to process a credit card withdrawal from my unemployment debit card with NO fees. They were so incredibly helpful. Only certain banks are able to do that, Apparently has to do with some visa logo being displayed or something.

I think most unemployed people are cutting back contrary to what some people think on these posts. Let them think what they may.

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