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Posts Tagged ‘ATM’

New Overdraft Rules Kick In But Do they Kick Hard Enough?

New Overdraft Rules Kick In But Do they Kick Hard Enough?

Courtesy of Jr. Deputy Accountant 

Overdrafts are big business for the big banks and even though the Fed has clamped down to protect the precious consumer (I’m sure that’s high up on their to-do list), they may have forgotten to bite down hard enough with those big sharp regulatory teeth.

Before we get to that, let’s talk about the impact overdrafts have on said sad consumer. And yes, that does read an annual percentage rate of 3,520%.

Bankrate:

The findings of an FDIC study of bank automatic overdraft programs — also called courtesy overdraft or bounce protection — are no surprise to consumer advocates. For years, studies by consumer groups of automatic overdraft programs have shown them to be short-term loans that cost consumers billions in fees, while often denying them the ability to make an informed choice.

The difference this time around is a federal banking regulator has arrived at statistics that paint the same picture — most customers aren’t informed of the overdraft until after the ATM or point-of-sale transaction has taken place, and high fees mean that someone who overdraws their account at the ATM by $20, and is charged the median overdraft fee of $27, would incur an annual percentage rate of 3520 percent if they repaid the loan in two weeks. Even payday lenders don’t charge that much.

How much does all this add up to for banks? A 2007 study by the Center for Responsible Lending said consumers are paying fees of $17.5 billion annually — on automatic overdraft loans of $15.8 billion per year.

"This is a huge amount of money for the banks," says Jean Ann Fox, director of financial services at Consumer Federation of America in Washington, D.C. "But aren’t we in trouble if the only way banks stay afloat is by sticking their most desperate customers with the highest priced credit that consumers have not applied for and don’t know they’re using?"

Meanwhile, new overdraft rules only apply to ATM and debit card transactions, not recurring transactions (like subscriptions) or check transactions. Which is ironic because we still call it "bouncing a check" even though few of us actually use them. Whatever, splitting hairs.

Anyway, banks can still unwittingly enroll customers in overdraft protection for these transactions and the sad little consumer will still be responsible…
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Help One Of Our Own PSW Members

"Hello PSW Members –

This is a non-trading topic, but I wanted to post it during trading hours so as many eyes can see it as possible.  Feel free to contact me directly at jennifersurovy@yahoo.com with any questions.

Last fall there was some discussion on the PSW board regarding setting up a YouCaring donation page for a PSW member, Shadowfax. Since then, we have been looking into ways to help get him additional medical services and to pay down his medical debts.  After following those leads, we are ready to move ahead with the YouCaring site. (Link is posted below.)  Any help you can give will be greatly appreciated; not only to help aid in his medical bill debt, but to also show what a great community this group is.

http://www.youcaring.com/medical-fundraiser/help-get-shadowfax-out-from-the-darkness-of-medical-bills-/126743

Thank you for you time!

 
 

Chart School

4 Years Until The Next Recession? Not Likely.

Courtesy of Doug Short.

Advisor Perspectives welcomes guest contributions. The views presented here do not necessarily represent those of Advisor Perspectives.

David Rosenberg, in one of his recent missives, wrote:

"Historically, when we are within six months of a recession, the year-over-year trend in the LEI turns negative while the diffusion index falls below 30%. At three-months away, the LEI is down 1% YoY and the diffusion index nears 25%. By the time the recession has hit, the LEI is down 4% year-over-year and the diffusion index is at 20%. Alternatively, based on the current trend in the LEI and the level of the diffusion index, history suggests that the next recession is at LEAST four years away."

This is pretty interesting coming from an economist/strategist who was formally considered a perma-bear...



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Phil's Favorites

Dimes On Black And Dynamite On Red

Dimes On Black And Dynamite On Red

By John Hussman writing at Casey Research

The stock market is presently a roulette wheel with dimes on black and dynamite on red. We continue to have extreme concerns about the extent of potential market losses over the completion of the present market cycle.

At the same time, we have very little view with regard to short-term market action. If one reviews market action surrounding major pre-crash peaks such as 1929, 1972, 1987, 2000, and 2007, you’ll observe a sort of “resilience” in the major indices on a day-to-day and week-to-week basis even after market internals had already corroded. In 1987, for example, the break following the August bull market peak was largely recovered over the course o...



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Zero Hedge

Russia Sanctions Hit German Consumers, "Economic Expectations Completely Collapse"

Courtesy of ZeroHedge. View original post here.

Submitted by testosteronepit.

It starts out un-alarmingly. The optimism of German consumers weakens somewhat, according to the forward-looking Gfk survey, conducted on a monthly basis for the European Commission. So the overall index fell to 8.6 for September, from 8.9 in August. It was the first decline since January 2013.

The index bottomed in late 2008 below 2, after a breathtaking crash during the financial crisis. In late 2007, it had hovered above 9. Early 2014 was the first time since the prior bubble that the index broke above 8. And August’s level of 8.9...



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All About Trends

Mid-Day Update

Reminder: David is available to chat with Members, comments are found below each post.

Click here for the full report.




To learn more, sign up for David's free newsletter and receive the free report from All About Trends - "How To Outperform 90% Of Wall Street With Just $500 A Week." Tell David PSW sent you. - Ilene...

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Insider Scoop

UPDATE: Vitamin Shoppe Posts Lower Q2 Profit

Courtesy of Benzinga.

Related VSI UPDATE: Credit Suisse Upgrades GNC UPDATE: Longbow Research Reiterates On Vitamin Shoppe Following 2Q EPS Beat

Vitamin Shoppe (NYSE: VSI) reported a 7.3% drop in its second-quarter profit and announced a $100 million share repurchase program.

The North Bergen, New Jersey-based company posted a quarterly profit of $16.9 million, or $0.55 per share, versus a year-ago profit of $18.3 million, or $0.60 per share. Exclu...



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Digital Currencies

Disgraced Mt Gox CEO Goes For Second Try With Web-Hosting Service (And No, Bitcoin Not Accepted)

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

Mt Gox may be long gone in the annals of bankruptcy, but its founder refuses to go gentle into that insolvent night. And, as CoinDesk reports, the disgraced former CEO of the one-time premier bitcoin trading platform has decided to give it a second try by launching new web hosting service called Forever.net and is registered under both Karpeles’ name and that of Tibanne, the parent company of Mt Gox.

From the company profile:

“TIBANNE Co.Ltd. ...



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Sabrient

Sector Detector: Up next for bulls, a big test of conviction

Courtesy of Sabrient Systems and Gradient Analytics

Bulls are having their way as summer draws to a close. Indeed, U.S. stocks and bonds seem to be the best and safest place to invest in a global economy that is at once hopeful and cautious, with lots of available cash hunting for attractive returns. But now the S&P 500 must deal with the ominous 2,000 level.

In this weekly update, I give my view of the current market environment, offer a technical analysis of the S&P 500 chart, review our weekly fundamentals-based SectorCast rankings of the ten U.S. business sectors, and then offer up some actionable trading ideas, including a sector rotation strategy using ETFs and an enhanced version using top-ranked stocks from the top-ranked sectors.

Market overview:

Bullish investors continue to ride the way of improved...



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OpTrader

Swing trading portfolio - week of August 25th, 2014

Reminder: OpTrader is available to chat with Members, comments are found below each post.

 

This post is for all our live virtual trade ideas and daily comments. Please click on "comments" below to follow our live discussion. All of our current  trades are listed in the spreadsheet below, with entry price (1/2 in and All in), and exit prices (1/3 out, 2/3 out, and All out).

We also indicate our stop, which is most of the time the "5 day moving average". All trades, unless indicated, are front-month ATM options. 

Please feel free to participate in the discussion and ask any questions you might have about this virtual portfolio, by clicking on the "comments" link right below.

To learn more about the swing trading virtual portfolio (strategy, performance, FAQ, etc.), please click here ...



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Stock World Weekly

Stock World Weekly

Newsletter writers are available to chat with Members regarding topics presented in SWW, comments are found below each post.

The latest issue of our weekly newsletter is available now. Click on Stock World Weekly and sign in with your user name and password. (Or take a free trial!)

#120692880 / gettyimages.com

 

...

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Option Review

CME Group Put Options Active

Options volume on the provider of futures and options based on interest rates, equity indexes, foreign exchange, energy, agricultural commodities, metals and alternative investment products is well above average on Thursday morning, due in large part to a sizable put spread initiated in the 19Sep’14 expiry contracts. Shares in CME Group (Ticker: CME) are up slightly on the day, trading 0.25% higher at $74.34 as of the time of this writing.

The largest trade on CME today appears to be a bear put spread in which roughly 1,500 of the 19Sep’14 74.0 strike puts were purchased at a premium of $1.44 each against the sale of the same number of t...



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Market Shadows

Helen Davis Chaitman Reviews In Bed with Wall Street.

Author Helen Davis Chaitman is a nationally recognized litigator with a diverse trial practice in the areas of lender liability, bankruptcy, bank fraud, RICO, professional malpractice, trusts and estates, and white collar defense. In 1995, Ms. Chaitman was named one of the nation's top ten litigators by the National Law Journal for a jury verdict she obtained in an accountants' malpractice case. Ms. Chaitman is the author of The Law of Lender Liability (Warren, Gorham & Lamont 1990)... Since early 2009, Ms. Chaitman has been an outspoken advocate for investors in Bernard L. Madoff Investment Securities LLC (more here).

Helen Davis Chaitman Reviews In Bed with Wall Street. 

By Helen Davis Chaitman   

I confess: Larry D...



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Pharmboy

Biotechs & Bubbles

Reminder: Pharmboy is available to chat with Members, comments are found below each post.

Well PSW Subscribers....I am still here, barely.  From my last post a few months ago to now, nothing has changed much, but there are a few bargins out there that as investors, should be put on the watch list (again) and if so desired....buy a small amount.

First, the media is on a tear against biotechs/pharma, ripping companies for their drug prices.  Gilead's HepC drug, Sovaldi, is priced at $84K for the 12-week treatment.  Pundits were screaming bloody murder that it was a total rip off, but when one investigates the other drugs out there, and the consequences of not taking Sovaldi vs. another drug combinations, then things become clearer.  For instance, Olysio (JNJ) is about $66,000 for a 12-week treatment, but is approved for fewer types of patients AND...



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Promotions

See Live Demo Of This Google-Like Trade Algorithm

I just wanted to be sure you saw this.  There’s a ‘live’ training webinar this Thursday, March 27th at Noon or 9:00 pm ET.

If GOOGLE, the NSA, and Steve Jobs all got together in a room with the task of building a tremendously accurate trading algorithm… it wouldn’t just be any ordinary system… it’d be the greatest trading algorithm in the world.

Well, I hate to break it to you though… they never got around to building it, but my friends at Market Tamer did.

Follow this link to register for their training webinar where they’ll demonstrate the tested and proven Algorithm powered by the same technological principles that have made GOOGLE the #1 search engine on the planet!

And get this…had you done nothing b...



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