Almost every person in our time received an offer to take money on credit. Most of the country's population gladly took this opportunity for various reasons. Banks offer their services, describing all the advantages and benefits of concluding a contract. Few people will say in person that in fact the proposal has many pitfalls. Therefore, people, often without delving into all the details of lending, can be deceived and lose much more than they get. Despite the laws of the country and all sorts of influences of the state on protecting the population from fraud, banks deceive depositors, and very often do this unnoticed. Therefore, before agreeing to sign an agreement, it is better to find out all the details of how exactly you can be deceived.
How to learn the tricks of the bank
The more the banking system develops, the stronger financial institutions veil the terms of customer service in contracts. In this regard, it is very difficult for a person who does not have special education and experience with such documentation to figure out what exactly he is offered. Very often, important data on commissions is written in small print, and in some cases it is this text that is blocked by bank seals.
Therefore, not everyone can pay attention to the real cost of the organizationās services and the services offered. And in connection with this, it actually turns out that a free payment card requires payment, paying a loan is more expensive than stated in the advertisement, and the deposit account rate is much lower than previously proposed. And then people complain that the bank deceived with interest, and canāt prove anything, because they themselves signed this agreement.
Fraud with deposits
The deposit is perhaps the simplest and most covert service of the bank. Everything works according to the scheme, the client gives money and takes it through time with interest. If money is withdrawn from the account before the agreed time, the interest remains with the bank. It would seem that everything is simple and logical. But now bankers are developing all kinds of financial schemes that prevent the client from receiving a larger amount than is beneficial to a financial institution.
For example, one of the schemes that banks deceive is to offer a high deposit rate. Advertising may show a high bid, such as 33 percent. And many immediately go and put money on a deposit, expecting a large profit on interest. But in fact, the bank offers a progressive rate. That is, once a month it will increase from 0.5 to 1 percent. Suppose, initially, the percentage of the deposit is equal to 9, then the next month it will increase to 9.5. And so it will increase until it reaches 33. In order not to fall for this trick, it is necessary to pay attention to what is written in the advertisement, namely whether there is a prefix ātoā to a high number. If the bank offers to invest money in a deposit with an interest rate of up to 30 percent, then this means that the service belongs to progressive deposits.
Out of contract costs
Another trick, as banks deceive, is the additional cost of deposits. The most insidious thing at this moment is that it is not at all spelled out in the contract. But if the client decides to issue a will for a deposit, transfer the rights to dispose of it to someone, lose the contract or some other unforeseen situation happens, then he will have to pay the bank. In order to avoid falling into this trap, you should immediately find out from the bank employees whether there are additional expenses on the deposit in the list of their services. And also issue a payment card for the deposit, with its help it will be possible to withdraw the deposit. Without it, when withdrawing funds from the account, the bank will take 1 percent of the total amount.
And the biggest deposit manipulation, as banks deceive, is a unilateral reduction in interest rates. Of course, by law, a financial institution does not have the right to do this without a written notice to the client. But even here a deception scheme was found. The contract immediately states that the rate may change if the country's currency itself depreciates. Of course, a deceived investor may go to court in this case, but it is not known how long it will take to consider the issue.
Plastic Card Cheating
There are many ways that banks cheat people on payment cards. The beginning of collecting money from customers is still in the process of issuing a card. You can get only plastic for deposit free of charge, in other cases it is risky to draw up an agreement without further clarification of all the nuances. The issue itself can be offered, but then a monthly or annual fee for servicing this product awaits the client.
It is also worth paying attention to the process of closing a card. Many agreements prescribe the automatic card renewal service. That is, if the client does not have time to close it a month before the end of the service period, the bank has the right to automatically reissue it and write off money from the clientās account for this.
Some banks introduce fees for not using cards, monitoring their customers' accounts. Suppose a client has not used his account for payment transactions or cash withdrawals for three months. Then the bank starts automatically debiting funds from the card until it runs out.
Online payment and transfers
Many are interested in how banks cheat by offering to issue a card to pay for goods on the Internet. In theory, any plastic card can be used for this purpose, but it is likely that a financial institution will close this opportunity or limit the available limit to a tiny amount. And to change this, the client will have to contact the employees and provide them with a statement that he is ready to take all the risks upon himself. And if money needs to be transferred abroad, then there are many problems. It is extremely difficult to find out the exact rate of transfer, and the probability of removing an additional percentage for currency conversion is very high. Typically, 1 to 2 percent of the total transfer amount is debited.
Credit plastic cards
Here are the biggest pitfalls. The very first moment that any holder of a plastic credit card is faced with is a cash withdrawal fee. She can reach 4 percent. In other words, in order not to go bankrupt, it should be used exclusively for shopping.
The second point, as banks cheat on loans, is the grace period, so advertised by employees. It is first stated that during this period, for example 55 days, the client can use credit funds without interest. But in fact, it ends on a specific day of the month. That is, if the purchase is completed on the 1st day, then everything is in order, later it will be reduced depending on the maturity. For example, if you need to pay off the 25th day, and the client made a payment of 18, then he will only have 38 days of free use.
What are silent about
When making a purchase on credit with a home or car, the client may encounter floating rates. The bank's booklet indicates that over time, the rate may become lower, but in fact, banks increase it. In general, the most important problem is the lack of information about what loan rates await the client, how much insurance and other costs will cost. Silences are the main thing, as banks deceive us.
Basically, the client learns about all the nuances already in the process of concluding the contract. And the rates agreed out loud may differ from those stated on paper, and after signing it is almost impossible to punish the bank. Therefore, the only method of struggle is a meticulous study of the contract. And do not be afraid that you will be considered a bore, on the contrary, the client receives respect for such a serious approach to business.
Violence of creditors with bail agreements
Almost all loan agreements have a clause where the borrower, in case of failure to fulfill certain conditions, must repay the entire loan amount. The worst thing is if the loan was obtained on bail. For example, the agreement states that if a person does not pay the card within three months, the bank has the right to receive the mortgaged property. To do this , bank employees sue, and in most cases, mortgaged property is cheaply sold at auction. And the only thing that goes to the client is the difference between the debt and the proceeds from the sale.
Implications for borrowers with unsecured contracts
If there was no pledge of property to obtain a loan, then the borrower will face more serious consequences. A court decision may lead to the fact that a client who has not paid money on time may confiscate any of his property and sell it below market value. Living space is considered the most valuable, but if it is the only property of the borrower, then they cannot be confiscated by law. But in this case, banks sell debts to collection firms.
Their main specialization is āknocking outā debts. Naturally, their actions are now more legitimate than at the end of the last century. But all the same, there is not enough pleasant in communicating with them. Especially if retirees are deceived in banks. They canāt always afford to pay the money received, or simply, without delving into the terms of the loan, pay according to oral agreements, ignoring the unconditioned conditions, against which a conflict arises. And the extra excitement and stress at their age is much more serious than that of the younger generation.
What to do if the bank cheated
Solving a problem is much more difficult than preventing it. It is better to make sure in advance that everything is fair with the bank. Perseverance, scrupulousness, and even meticulousness in reading the contract can save the borrower from subsequent problems. But if the problem already exists, then there are only two places to go if the bank is cheating - this is the court and law enforcement agencies. Although you can also contact the senior management of the bank, but the probability of a refund in this case is quite small. Therefore, it is worth taking seriously the issue of concluding a cooperation agreement with the bank.