Well, we did it. Today we ditched Wells Fargo.
On November 1 we opened the multiple accounts we need at one of the local credit unions here in Tucson. For the past two months we've been working through the hassle of getting checks, ATM cards, catching up with all the autopays and direct deposits and getting all the minutae moved from the old bank to the new credit union. And today we identified the final stragglers as being moved, so we went down to our local Wells Fargo branch and closed all our accounts. Never being ones to leave quietly, we also sent a letter to the President and CEO of Wells Fargo to make our opinions known. Below is the text of our letter.
Dear Mr Stumpf,
We, Cathy M. Hemler and Stephanie Bader, are moving all of our accounts to Tucson Federal Credit Union after years of being Wells Fargo customers. The folks at the Wells Fargo Bank Bear Canyon branch in Tucson have been unfailingly great and are most courteous and helpful. However, we have decided to quit doing business with banks that are too big to fail, and by depriving Wells Fargo of our funds we are hopefully contributing to a reduction which will bring banks back into the realm of failure as a consequence of ill-conceived business decisions where all other businesses must survive.
We find Wells Fargo’s business practices abhorrent. We refuse to do business with a bank that defrauded their customers. As noted by the Federal Reserve Board: “Wells Fargo has agreed to pay an $85 million fine for allegedly steering customers who were potentially eligible for prime interest rate loans into more costly loans and for falsifying information on mortgage applications. According to the Federal Reserve Board, the purpose was to make it appear that the borrowers qualified for loans when they would not have qualified based on their income. The $85 million civil money penalty is the largest the Federal Reserve Board has assessed in a consumer-protection enforcement action," the Fed said in a prepared release. In addition to this and other national issues, Wells Fargo has directly taken advantage of the poor economic climate in Tucson. In yet another exhibition of ethically challenged behavior, according to the Arizona Daily Star (August 7, 2011), Wells Fargo is one of several large banks that is buying up struggling homeowners’ tax debt right here in our community.
Of course, Wells Fargo is not the only scoundrel, but not only did banks play perhaps the number one role in creating the 2008 economic disaster (in partnership with the stellar congresses who so kindly removed all those pesky regulations), and take huge amounts of our money in bailouts (how come 99% of the population isn’t considered a group that is “too big to fail”?), they are now sitting on the piles of money they received from us and not lending it to the businesses and individuals in need.
So we thought, “What’s a poor consumer to do?” We answered ourselves, “Stop doing business with the banks.” We thought, if only one or two of us do this, we will certainly feel better about ourselves and how we interact with the world. But if many of us do this we make a statement that can be heard outside of our own four walls. In the immortal words of Arlo Guthrie: “…And friends they may think it's a movement.” And therefore, we’re posting to all our Facebook friends and family to share this idea, as well as adding this letter as the latest entry to our blog.
Moving our money is a big deal to us. We have been with this bank for a long time. We ended up with Wells Fargo because Southwest Savings, where we started sometime in the ‘80s, was bought out by a small bank, which was bought by a regional, which was bought by Wells Fargo, which is part of the problem with banks, because of deregulation they are no longer minding their own business. Although it's a big deal to us, now is the time for us to make the move, and yell long and loud about why.
So we have opened our new credit union accounts, and today we are closing the Wells Fargo accounts and becoming bank-free. At this point there is nothing that will change our minds, but an apology to the American people for all the damage the banks and all their Wall Street financial industry friends have done to “We the People” would not be remiss.
Sincerely,
Cathy M. Hemler & Stephanie Bader
Vote with your wallet, and Happy New Year!
Steph