Is It Time To Pull Your Money Out of Bank Of America?
February 5, 2009 by Erik Folgate
Filed under Banking, Economy
I just read this article on CNN Money, and it made me a little worried.
We have our primary checking account with Bank of America, but I am about ready to close the account and switch to a credit union. I have kept our checking account with Bank of America for two reasons. We have a lot of bills that automatically draft from that account and our paychecks are set up with direct deposit into that account. I know that I can change all of that, but it would take a lot of time to get done. The other reason is that Bank of America can be found almost anywhere in the Southeast. The convenience of finding an ATM wherever we are has been nice. But, I think the time has come.
Bank of America’s stock dipped below $4.00 a share earlier today before rallying to rise 4 percent for the day. Bank of America has received over $45 billion dollars from the Troubled Asset Relief Program, also known as TARP. But, this money has not helped them. Their eyes were too big for their stomach when they snatched up Countrywide and Merrill Lynch back in the summer and fall. They’ve had a hard time dealing wth these acquisitions. Ironically, Bank of America could become the first bank owned by America.
I know that my money is FDIC insured, but I don’t want to be like those people who had money in IndyMac banks and had it frozen from a few days time. That would be devastating to us. For those of you with a Bank of America account, what do you think about this? Are you going to switch banks?
I have BoA. I have no clue what this means or what to do. But if I am going to loose my money, I need someone to tell me b/c I am not financially savvy enough to figure it out myself. I try to listen to everything that is going on with the economy, but I feel really lost in it all. It is so over my head. So, I really don’t know what to make of this.
I would recommend getting out and bolting for your local credit union. Credit Unions have largely been unaffected by the current financial “crisis”. On top of that they are a great place to stash your money.
Switch to Wells Fargo. By far, Americas safest Bank! ! !
Pull now and watch for some action on the part of the Feds this Thursday and Friday. With Greenspan and Dodd citing nationalization this appears imminent.
So what did you end up doing? I am still with Bank of America. I am not sure that it matters what bank I am with if they are all doing bad.
yeah, I am still with BoA. It’s a daunting task to think about switching when you have two paychecks on direct deposit and three bills on direct pay as well. It’s not that tough to switch that stuff, but who has time to think about it during the week.