Money U: Banking 101

Thursday, January 06, 2011

Deyanira Del Río, associate director of the Neighborhood Economic Development Advocacy Project (NEDAP), explores basics of financial literacy and economic justice on Thursdays in January. This week: money and banking basics.


Deyanira Del Río

Comments [19]

Jak Assa

The recent National Emergency Employment Defense Act, NEED, (H.R. 6550) introduced in the House of Representatives on 12/17/10 proposes a sound national monetary policy which makes it possible to address infrastructure, education and other issues without increasing the national debt.
Here are some important points of the Act:
(1) Restore the power to issue nation’s money to Congress as the Constitution stipulates (Article1, Section 8);
(2) Reconstitute the Federal Reserve from a bank of issue outside of government control to a bureau w/in the Department of the Treasury, i.e. under the system of checks and balances;
(3) End fractional reserve which allows banks to create money out of thin air (debt money, i.e. credit) and to loan it to the government (at all levels), to businesses and to consumers. Private debt money creation has caused a public and private debt of around $53 trillion with annual interest on it above $3 trillion a year. Privately created money fueled speculative bubbles in real estate and derivatives, but was not invested in infrastructure because of the lack of instant gain to the banking system;
(4) Move to government issued debt-free money, United States Money. Government controlled money power works to the benefit of society by upgrading our infrastructure, including education and healthcare;
(5) Issue a Citizens Dividend to fill the $4 trillion gap between the nation GDP and the purchasing power of the population (an example of a trickle-up economics).

Jan. 26 2011 07:25 PM
J Malloy from Morristown

Check out my financial literacy website:

Jan. 06 2011 10:15 PM
Sarah from NYC

Here's a list of community development credit unions in NYC, which you can join if you live, work, volunteer, or have other connections to the neighborhood:

Contact them if you want more info about how to join.

Jan. 06 2011 11:23 AM
John from NYC

There are two columns from Ron Lieber in the New York Times from June 2010 related to joining a Credit Union. This might be a good place to start if anyone is interested in joining. I wish the NYC Consumer Affairs - Financial Empowerment Dept would have posters and/or Public Service Announcements for this topic.


Here is a link to information from the National Credit Union Association which is the regulator of Credit Union

Jan. 06 2011 11:22 AM
Ann Walsh from Queens

Big banks are as much "predators" as check cashers who actually meet the needs of many people. Example, banks hold in-state checks for three days before you can draw on them, check cashers charge 2% but give you your money right away. The cost of waiting three days can outweigh the 2% easily. Tired of settlement house do-gooders like your guest berating "predators" who are simply distasteful to her while ignoring
Too Big To Fail Brigands.

Jan. 06 2011 11:08 AM
Vlad from Marlboro, NJ

I live in NJ, and have belonged to the Atlantic Federal Credit Union for 40 years. They do have an office in Newark.... walking distance from Penn Station.. you can take a train or the tubes to get there (20 minute ride).

570 Broad St., Suite 127
Newark, NJ 07102

Jan. 06 2011 11:05 AM
Brian from Nj

It's the banks' fault that Phil spent money he didn't have on a vacation? And you wonder why our country is in dire straits.
Secondly, if someone wants a bank account and doesn't have many branches, there are tons of online options. You can take a picture of your paycheck and email it to deposit it. And dont say that these people don't have internet access because in my job I fin myself in poor urban clinics surrounded by Medicaid income level people with newer smartphones than my own.
Lastly, overcharge protection is not mandatory. There is an opt out option and that is now even changing to an opt in option.
Banks stink. But of you are responsible you won't pay them anything.

Jan. 06 2011 11:03 AM
Vlad from Marlboro, NJ

I have been 100% successfull in getting any bank fees REFUNDED by calling them up IMMMEDIATELY when I'm charged the fee. The way I find out IMMEDIATELY that I was charged a fee is by using MINT.COM... The best FREE user friendly financial website since baked bread. I've been using MINT.COM for 2 years now and I have TOTAL control over my finances and have saved hundreds in refunded fees and lower interest rates.

Jan. 06 2011 11:00 AM
B.A. from Baldwin

The law used to require employers to make available, on pay day, the opportunity for employees to receive their wages in cash.
If that is still the law, I know it is not being enforced.

Jan. 06 2011 10:59 AM

Free money orders at western union on bway btw 40 & 41

Jan. 06 2011 10:58 AM
Sophie from Poughkeepsie, NY

Right on, Bernie!

Jan. 06 2011 10:57 AM

I know a liquor store that has a regular clientele that cashes paychecks, at a percentage fee. I'm sure there's more than we realize.

Jan. 06 2011 10:57 AM
Ken from Little Neck

In response to the last caller, shouldn't we be calling out irresponsible borrowing? If I didn't have $5,000 to take a vacation, I'd find a cheaper vacation or stay home.

Jan. 06 2011 10:56 AM
Sophie from Poughkeepsie, NY

Yes! To the caller--BANKSTERS! I find most of the too-big-to-fail banks ROB their customers anyway they can. Easier and probably cheaper to use a check cashing place.

Jan. 06 2011 10:55 AM
David from West Hempstead

I just read in the WSJ that lots of banks are planning to add fees to debit cards in the like to make up "lost" revenues from increasing regulation--check cashing is 'predatory' and this isn't?

Jan. 06 2011 10:54 AM
bernie from bklyn

can brian have a female guest that does NOT have the upward inflection at the end of every sentence?
and once again, liberal intellectuals showing how much they don't know about reality on the street. check cashing places exist and thrive in the ghetto because these peole can't get bank accounts. why can't they get bank accounts? there's so many reasons...not enough to open it, no proper billing address, no proper ID, outstanding warrants etc...don't make it out to be a racial isue because it's not.
jut like the myth of food deserts..complete hogwash.

Jan. 06 2011 10:54 AM
Suzie from Manhattan

I recently realized that banks are not a service, they are money making institutions looking to make money from their customers. Chase is clearly not interested the basic fees they want more, anywhere they can get it.

Jan. 06 2011 10:53 AM

Nearly all banks are adding more restrictions to have free checking. Chase, for example, now requires 5 debit card purchases or a direct deposit of $500 or more. The fee is $6 per month.

Banks are doing fine and they say that costs are going up. Show us what is going up.

Jan. 06 2011 10:51 AM
Lauren from NYC

Are there any credit unions available to the general public in NYC? I feel like you have to belong to some sort of associated group to join one.

Jan. 06 2011 10:50 AM

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