Small town boy meets the big city

<p>So..thought I would share a funny story. My DS just went from our small CA town to school in Boston. He called me today to explain that B of A charges for transfers from savings to checking and that to avoid those charges he thought he would just use my credit card number to buy his textbooks. About two years ago he memorized the card number, including CV digits, etc. Around here, he can go into the local pizza place and rattle off my number, they will charge my card without me or the card being present...I had to explain to him that at the bookstore in Boston they might not be so willing to do that....lol. And just when I was thinking it was time to get a new card number....</p>

<p>B of A doesn't charge us for transfers from accounts -- the only charge is if there are too many transfers from a savings account in one month. (I think the limit is 3 per month). Maybe a trip to the bank is in order to make sure you've got the best plan available, and also have online banking. Your son should be able to use a debit card (the kind that is also has a Visa credit emblem) to do purchases, and should be able to budget well enough to get away with simply making one or two savings-to-checking transfers a month.</p>

<p>What's your cc number? I'll give it a try here in San Diego.:)</p>

<p>Yeah, Ucsd<em>ucla</em>dad, he is learning for sure. The other thing that happens here is that the bank tellers will actually look up his account number and fill out the deposit slip for him...he has great eyelashes :). Tried to explain that they won't do that at BofA in beantown. The tellers here also will call me if my account is overdrawn...when we mentioned that at BofA in Boston the tellers laughed..
Thanks for the info calmom..yes, they are charging for more than three a month..he needs to learn a bit about budgeting..he is using his debit card but those funds come out of checking and he hasn't been leaving enough in checking...oh, the learning curve without mom to do it for you (or those nice bank tellers).</p>

<p>Try this idea: He needs a flashlight incase he's out at night so that he can see and be seen. [ if you have trouble understanding, think about the OP banner title. I was admonished by minimalist engineering son.]</p>

<p>Made it to senior member. I'm a pert now. Is there are way to put myself on ignore?</p>

<p>they will do that in boston, you just need a debit card that you swipe and enter your pin, and then they will fill out the rest of the deposit slip to either savings or checking, your choice. i never remember my bank account number. Never tried in boston, but i assume that if you can do it in NYC, then you can in boston. They also dont charge for you to transfer money from savings to checking either online or at an atm, as long as both accounts are linked. They do charge you if you charge too much and they have to take money out of your savings account to cover the credit card bill</p>

<p>^Yup, you can do it in Boston. :) But of course it's easier to deposit via the ATM anyway.</p>

<p>BTW if this is just an ordinary savings account and not something that's high yield, why bother having the savings in the 1st place? I think the current rate on savings accounts at BofA is .5% per YEAR, which is in the "why bother" category; his time and the hassle of going to the bank outweighs the income unless he has thousands and thousands in it (in which case it should be in a higher-yielding account anyway).</p>

<p>You're right mikemac! We had our D put the money she guessed she would need this term all in checking. I figure she's
losing" about $10 in interest. So worh not having to worry about moving money at the right time!</p>

<p>Our BofA accounts are all on line and linked. We can transfer $$ all we want as many times a day as we want for no charge. I can also check balances to make sure no one goes too low. Deposits are done at the ATM with the first $100 available immediately and the rest available the next day.
Never have to go into a bank.</p>

<p>Okay, hmm. He is online and accounts are linked. I will check it out re being charged for transfers. As far as having the two accounts, it is a psychological thing...trying to get him to understand that some money is for immediate needs, some is for later...nothing to do with interest.<br>
Can't believe they will fill out the slip for you in Boston, trying to get him to actually be responsible and remember his own bank account number....</p>

<p>The interest kind of depends on how much money you have. My son has been out of school and working awhile (now back in school) -- with B/A he set up a "risk free CD" that pays 4.5% interest - it requires a $10,000 deposit, but it is only a 5 month term and the penalties for early withdrawal are waived if the money is deposited to another B/A account, which is of course what happens when you transfer from one account to the other. </p>

<p>Another way to do things -- but more complex -- is to have a PayPal account. PayPal pays money market rates on all funds they are holding (currently 5.04%), and there is no charge for transfering money to/from PayPal accounts. B/A has something with online banking called "My Portfolio" which you can set up to track all your accounts via the one site and then you can log in to any site from there. (But don't do this unless you have a very secure password for your account! You should have a secure password anyway, but the point is that this system is A+ for convenience but a potential security nightmare)</p>

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<p>Well....if he wants THAT service he may have to pay for it. Tell him to learn to bank ONLINE. He should be able to find another student who can teach him how to do so. DS is also in Beantown and he only goes to the B of A to make deposits into the ATM machine. Except for having to go into the bank to complain about his fees, I don't think he's been inside since he opened the account almost four years ago.</p>

<p>Also, why would your son need to use YOUR credit card when the college student account comes with a credit card in HIS name with a $500 limit (and he can pay that bill ONLINE by transferring the funds from any of his accounts to his credit card bill). </p>

<p>I have to say...I do not bank online (yet) but everyone else in my family does. It's the way to go...and once you're all set up, all you have to remember is your user name and password, not your account numbers.</p>

<p>He does bank online, so I will let him know that he is being fed a bill of goods. If they do show charges on the account, I'll get him to go to the branch and handle it. As far as the credit card goes, for now we declined to get one....he has a habit of spending and being overly generous with friends so he took half his college spending money savings and put in B of A, the other half are in a local bank back here to be picked up at Christmas time....
Thanks for the advice re: fees, I'll make sure he doesn't let them snooker him into paying them. I have heard BofA can be notorious for that, and we don't have one here so I have no personal experience with BofA...</p>

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<p>I know you weren't looking for this advice...but...if the above is the case, the LAST THING I would do is give this kid MY credit card number and expiration date.</p>

<p>Washington Mutual Bank has a terrific package, but it isn't advertised anywhere. If you open a free checking account online, you are offered a savings account that is currently paying 5%. There are no fees associated with either checking or savings account unless you mess up (too many transfers to checking in a month, NSF fees) and they do not ding you if you use another bank's ATM. Of course the other ATM will often ding you between $1 and $2 but at least you don't get charged twice. </p>

<p>They also give you free checks on this type of account and a debit card. Their website is wamu.com.
One other hint on this online account: you must be over 18, but if your son or daughter is declined online, you can reapply and have them as the second owner. Sometimes kids don't have any credit history and they use that to approve the account. An adult has more credit history and is more likely to be approved.</p>

<p>yeah, understood....he knows better than to use it without calling me first...believe me..it has never happened and it won't. There has always been a phone call first to ask permission to use that card...the first time there is not it will be over..</p>