Break up With Your Bank

[Laura J Sellens]

What would it be like if your savings was doing work to improve the lives of your neighbors--if you knew who they were, what they were doing with your money?  What if you knew the face of the person who funded your loan?  Would you respect the contract any differently?  If you invested in local businesses, would you be inclined to shop more locally?  Would you be more inclined to advocate local businesses?
Moving your savings/retirement funds to local banks moves money from the international market to the local market.  While you may not be able to see the face of the person you are lending to/borrowing from (yet), you can feel good that you are supporting your neighbors and the local economy. Learn more about this at the New Way Forward Teach-in, Tuesday May 11 from 4-6:30pm, 2401 Cornwall St.

Shirley, will you post those numbers you got of deposits within Whatcom county that are in the top 5 megabanks?

[Shirley Jacobson]

Whatcom County Summary of Deposits for FDIC Insured Institutions
Market Share Report as of June 30, 2009

Of $2,006,796,893 Total deposits

FEDERALLY CHARTERED INSTITUTIONS
Bank of America, $817,654,834 (40.74%)
JP Morgan Chase, $617,956,722 (30.79%)
Wells Fargo, $325,292,894 (16.2%)
US Bank National Assn, $151,718,426 (7.56%)
Keybank, $67,169,484 (3.34%)
Washington Federal Savings & Loan, $7,621,351 (0.38%)

That is 96.01% of deposits on record for federally chartered banks operating in Whatcom County

STATE CHARTERED INSTITUTIONS in descending deposit totals include: Sterling Savings, Banner, Frontier (recently taken over by Feds), Columbia State, Whidbey Island, Skagit State, Bank of the Pacific, Peoples, Horizon (recently taken over by Feds), Business. Their cumulative total was $19,383,182. That is less than 10% (.9658) of total deposits.

All deposits would undoubtedly represent more than those of individuals. But it would be interesting to see what the impact would be if the majority of individuals and local businesses were convinced to move their funds to a local institution. Having this baseline could be a measure of a campaign to encourage such a move.

These figures do not include credit union deposits which I would expect would consist primarily of local depositors since membership usually includes living or working in the county.

[Laura J Sellens]

Yes! Look at the power here! If this money went into our own Whatcom county instead of multinational investments, much could be done.

Shirley Jacobson said:

Whatcom County Summary of Deposits for FDIC Insured Institutions
Market Share Report as of June 30, 2009

Of $2,006,796,893 Total deposits

FEDERALLY CHARTERED INSTITUTIONS
Bank of America, $817,654,834 (40.74%)
JP Morgan Chase, $617,956,722 (30.79%)
Wells Fargo, $325,292,894 (16.2%)
US Bank National Assn, $151,718,426 (7.56%)
Keybank, $67,169,484 (3.34%)
Washington Federal Savings & Loan, $7,621,351 (0.38%)

That is 96.01% of deposits on record for federally chartered banks operating in Whatcom County

STATE CHARTERED INSTITUTIONS in descending deposit totals include: Sterling Savings, Banner, Frontier (recently taken over by Feds), Columbia State, Whidbey Island, Skagit State, Bank of the Pacific, Peoples, Horizon (recently taken over by Feds), Business. Their cumulative total was $19,383,182. That is less than 10% (.9658) of total deposits.

All deposits would undoubtedly represent more than those of individuals. But it would be interesting to see what the impact would be if the majority of individuals and local businesses were convinced to move their funds to a local institution. Having this baseline could be a measure of a campaign to encourage such a move.

These figures do not include credit union deposits which I would expect would consist primarily of local depositors since membership usually includes living or working in the county.

[Judith Culver]

We just moved the rest of the money for building our house from an internet bank to WECU. We are trying to put local first even though we end up sacrificing interest. Like Laura, I'm trying to put my money where my mouth is.

[Laura J Sellens]

I spoke with the assistant manager of a WECU branch yesterday as I was opening an account. He said he would try to get me a document that described their deposits in Whatcom County (to which they are limited) and a breakout of where they get and put their money. He said, I think, that they have around $600,000,000 in assets and they are 2nd largest financial institution in Whatcom county, next to People's Bank which is not limited to Whatcom County (I think he must be talking about NCUA-insured institutions?)

Shirley, thanks for posting the talk on Breaking up with your Bank. I looked it over today and boy, it seems reasonable to me. Anything we can do to 'starve the beast'--and it's a double whammy because taking our money away from wall street and putting it into action locally strengthens us WHILE weakening them. Thing of beauty. It makes me wonder though, My debit card from BECU is a Mastercard, so even when I use it, do the big banks get a cut? Who owns the Mastercard name? Maybe I'll have to go with cash after all.

Shirley Jacobson said:

Whatcom County Summary of Deposits for FDIC Insured Institutions
Market Share Report as of June 30, 2009

Of $2,006,796,893 Total deposits

FEDERALLY CHARTERED INSTITUTIONS
Bank of America, $817,654,834 (40.74%)
JP Morgan Chase, $617,956,722 (30.79%)
Wells Fargo, $325,292,894 (16.2%)
US Bank National Assn, $151,718,426 (7.56%)
Keybank, $67,169,484 (3.34%)
Washington Federal Savings & Loan, $7,621,351 (0.38%)

That is 96.01% of deposits on record for federally chartered banks operating in Whatcom County

STATE CHARTERED INSTITUTIONS in descending deposit totals include: Sterling Savings, Banner, Frontier (recently taken over by Feds), Columbia State, Whidbey Island, Skagit State, Bank of the Pacific, Peoples, Horizon (recently taken over by Feds), Business. Their cumulative total was $19,383,182. That is less than 10% (.9658) of total deposits.

All deposits would undoubtedly represent more than those of individuals. But it would be interesting to see what the impact would be if the majority of individuals and local businesses were convinced to move their funds to a local institution. Having this baseline could be a measure of a campaign to encourage such a move.

These figures do not include credit union deposits which I would expect would consist primarily of local depositors since membership usually includes living or working in the county.

[Judith Culver]

David Culver (my husband) talked to People's and they said they had depositors in Whatcom and Skajit and that all their loans stay here.

[Judith Culver]

Here are two sites that rate banks and credit unions:

http://www.bankrate.com/rates/safe-sound/ssPromo.aspx

http://www.bauerfinancial.com/home.html

I find bankrate.com easier to use but both provide additional information. In these sources, I found Whidbey Island to be the strongest bank followed by Peoples and Skagit State. WECU is the strongest credit union.