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@jmcrookston@mastodon.social

Post #3941606

2026-07-19 01:19 UTC

When you deposit money in your bank account it actually then becomes the bank's money, and they simply owe you the money back pursuant to a really crappy loan agreement which pays you basically no interest. Enjoy your evening!

Replies (3)

  • @Parmon@masto.es 2026-07-19 09:13

    @jmcrookston@mastodon.social to be fair, in return you get a possibility to transfer money to other people online, without meeting them, among other benefits

    Open ##3941605

  • @peachfront@toot.community 2026-07-19 13:50

    @jmcrookston@mastodon.social in the US, that depends on the terms of agreement, yes, i have a free checking account that pays no interest & charges me no fees & in return if i get robbed or my house burns down i still got my money because the bank is insured by FDIC while homeowner's insurance won't cover lost or destroyed cash i've been thru bank closures & Hurricane Katrina, thanks to FDIC i didn't lose my life savings (IIRC Omni Bank lost every branch in Katrina but customers lost not a penny)

    Open ##3941628

  • @oclsc@mstdn.ca 2026-07-20 00:39

    @jmcrookston@mastodon.social If you don't want that, use a credit union instead of a bank. (If it's an option for you. In Canada community credit unions, anyone in the metropolitan area, are common; dunno if they've popped up in the States.) The money I deposit is owned by the credit union's members, including me. An annual dividend is paid out based on the amount of interest earned on savings AND paid on loans. I don't often check, but when I have, interest rates have been better than at conventional banks, and there are almost no fees. I wish I'd figured that out when I lived in the States, but there were a lot of financial things I didn't really cotton on to until I moved to Canada.

    Open ##3945197