Keesler Federal Credit Union

Finance
81

Although I haven’t read the whole thing, I suspect there is a no class action cause. I prefer to be able to join a class action … even though the lawyers make the real dough on those cases.

Also, the threat of a lawsuit is sometimes enough to get what is rightfully yours. I don’t consider “I’m going to arbitration” much of a threat … especially when the arbiter, and possibly the entire industry, is paid for by one party. If you’re livelihood depends on a company repeatedly hiring you, the perception, at least, would be that if you shouldn’t cost that company a lot of money.

The above is similar to drug researchers who depend on grants for funding. If they repeatedly shoot down every drug a company brings them, how long will they continue to get grants?

82

My question…. Why is there a concern about a lawsuit against Keesler?

Also I’m wondering about mandatory arbitration and Keesler sending a snail letter especially to you. gremin007 also received the same letter.

Just a little curious…. But …The Honkinggoose up against a lowlife Keesler CU? :blush:

83

I’m not saying there is a concern, but what @shinobi , I think, terms as “quirkiness” is what others might call lack of controls.

Should there be an issue whereby my money is harder to get because of their carelessness, I would like to have all options available should the 2x4 across the backside fail to work.

I’ll be interested to hear if you get the letter. I’m not sure if CA has laws which prevent arbitration, but doubt it.

84

I’d argue that on an individual basis, arbitration will be far more quick and effective to reach a resolution than trying to organize a class action lawsuit.

People complain about a perceived bias when the bank is paying the arbitrator’s fee. But, if it even gets to the point of selecting an arbitrator, the consumer has as much input into their selection as the bank does.

For most individual level banking issues, the fee to merely initiate the arbitration claim costs the bank far more than the resolution the customer is seeking. The deck is stacked, but most often it is stacked in favor of the customer.

85

Don’t most arbitration clauses include a list of acceptable arbitrators? Looking at my Chase agreement as an example, the consumer has to pick between Judicial Arbitration and Mediation Services (JAMS) or American Arbitration Association (AAA). These companies have the incentive to favor the bank or be replaced as an allowed provider.

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86

That’s just the forum being used; the difference between JAMS and AAA is like the difference between filing in State or Federal court. I’m talking about the actual arbitrator, the judge equivalent.

And even if, for example, all the options are entirely biased towards banks for whatever reason, their fees still cost the bank thousands - which is quite an incentive for the bank to settle the claim anyways.

87

I got 2 corespondents from Keesler today.
Nothing about mandatory arbitration. Just HIMMA Plus account statements.

So I’m happy :blush:.

Still wondering why you think they’re might be an issue of getting our money out when desired.

Banking account issues is not on my “worry list”, maybe :thinking: it should be. Isn’t Keesler AA rated?

88

We have a difference of opinion on this, and I am happy to hear that you are happy with arbitration.

To the best of my knowledge, I can still choose arbitration if I come around to your view.

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89

I’m just curious about what scenarios you see where a lawsuit would be more advantageous?

90

The other thing is that generally small claims court is still an option. If I’m forced into arbitration, it means the issue is large enough that it exceeds small claims limits and the bank would have incentive to fight it though arbitration.

91

I’m not saying that Keesler has purposely done anything wrong and should be taken to court.

I’m saying that I like choices, or put another way, I don’t like giving away options. If I take a group of people to a steakhouse, I’m not going to one where they only serve steak, especially since my wife is a vegetarian. :wink:

92

I am reacting here to a recent post by Ken, a link to which is below. Ken is showing the way to earn 1.5% APY on up to $100,000 of liquid money. The account is a Keesler Kasasa Cash RCA (reward checking account), and like most RCAs there are transaction requirements.

You can access all the details on Ken’s page, here:

Link to Ken’s RCA piece

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A lot of credit unions offer such complimentary savings accounts to their rewards checking product.

94

Thanks shinobi.

I have this account. It’s taken me some time to figure out just how the savings % actually work. I talked to a rep, because I didn’t think you could add extra funds to the savings. Now I’m adding any extra money :moneybag: to the Kasasa Saver Cash account.

True, I hate that I have to do those 12 debt transactions and the ACH transfers each month. But we make 3% on $25k in the RCA account, so it’s worth it.

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95

FYI, Hanscom does this too (not listed in Ken’s article).

Looks like 1% on max $50K. Middle of the pack based on the article.

Apologies in advance to @shinobi for bringing up the CU that sadly won’t have him :slight_smile:

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96

Just like wiring funds :grinning:

This is fun. Here is my data point:

At the Keesler website earlier today, a Friday, I initiated an ACH funds transfer of a couple hundred bucks to my Ally account. I kept checking Keesler into the afternoon in an effort to learn when they would debit the money from my Keesler account. Gave that up roughly early afternoon with the money still at Keesler.

Did other things.

Now later in the evening I’m back checking Keesler and of course the funds are gone, but no time stamp so I do not know when they left. However:

Ally does provide a time stamp. The funds arrived at Ally just before six this evening, are in my Ally account earning interest, and are available for withdrawal. How cool is that!

It’s just as if I had wired the money except there was no fee and of course nobody is gonna pay to wire only a couple hundred dollars.

Welcome to same day ACH. :grinning:

It’s a new world out there.

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97

Cautionary note regarding HIMMA Plus closures

Unless you proactively make a request for HIMMA, when your HIMMA Plus turns into a pumpkin (which they all will eventually) your funds will move to Primary Share.

And nota bene:

HIMMA accounts do NOT share a MICR number prefix with HIMMA Plus accounts. It’s a different MICR number prefix for HIMMA. Hence:

Any ACH linkage you have with your HIMMA Plus, from outside Keesler, will cease functioning the moment your funds move over to HIMMA . . . if they do. This unless you update the Keesler MICR account number at that outside financial institution.

A note regarding HIMMA accounts:

It’s a very low interest (dividend) rate to begin with. And you need at least $2500 on deposit to earn even that low rate. However, if you fall below the $2500 there is no penalty. You just cease earning dividends.

When your time comes, and it’s different for everyone, be careful about how you handle your HIMMA Plus closure. Pay attention to the details.

ETA

The thing about the Keesler HIMMA account is that it’s a checking account. So if you have no other checking account at Keesler, you might want to keep ten bucks in a HIMMA account just to have a checking account on the Keesler books. Because:

If you in future must open a Keesler checking from scratch, that request will most likely result in a hard pull. So better simply to keep an existing checking account open, just in case you might ever need it.

ETA

The following is to the best of my ability, but it is not gospel and you must do your own research. However, it appears to me:

Your HIMMA Plus account will cease earning the high HIMMA Plus dividend rate six months after your share open date. See your account details to find your share open date. However:

(And this is, again, to the best of my ability) your HIMMA Plus will not convert until the end of the month which is six months following your share open date. For example:

You have a share open date of June fifteenth. You stop earning at the HIMMA Plus rate on December fifteenth. However, your HIMMA Plus will not convert until January first. So how much interest do you earn between December fifteenth and January first?

I dunno. But I suspect not much!

Let’s face it, we have been on the gravy train with our HIMMA Plus accounts. It’s been great. But you have to be very careful following the gravy train’s departure.

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98

Thanks for the update.

I’m happy to say my account will continue until middle of January. So maybe it’s possible Keesler could decide to keep the HIMMA Plus.

I really appreciate all this information.

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99

From your m̶o̶u̶t̶h̶ keyboard … :smile:

100

RIP HIMMA Plus

Tears shed this morning as loss of my HIMMA Plus was made manifest during the overnight last night. :sleepy:

My HIMMA Plus turned into a pumpkin . . . . or rather into a low yielding HIMMA account. The latter happened at my request, but of course I had no option to keep my HIMMA Plus.

You might be wondering about interest. I had a pile of interest in my HIMMA Plus before they closed me down. Every cent transferred to HIMMA without drama. So good on Keesler for that.

I had a direct ACH link to my HIMMA Plus from outside (Alliant). That link is now toast. I will be transferring the HIMMA money to Primary Share before ACHing it out of Keesler. Fortunately I also have an ACH link, from outside (Alliant again), to my Primary Share. And that link has of course survived the HIMMA Plus loss. So I can extricate the residual HIMMA Plus funds, through HIMMA, thence to Primary Share, and then out of Keesler.

Natch, at time of conversion last evening I had only a very small balance in HIMMA Plus because my high HIMMA Plus interest rate had evaporated earlier in December.

I have no use whatsoever for a HIMMA account, but I’m hanging onto it anyway because it is a checking account and you never know what the future will hold. A few dollars will keep it alive and that is all I will keep in HIMMA.

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