The Birmingham News says that Bryant Bank is tightly connected to the leadership at the University of Alabama System's governing body. They portray the leadership as insular and private. The News' reporting focuses on how that relates to the elimination of football at the University of Alabama-Birmingham. It largely ignored a discussion of their lending. But what is the nature of their business model? A not-very-colorful story emerges when answering that question through the lens of their mortgage lending.
You are here
Yesterday, President Obama signed the Helping Families Save Their Homes Act into law. What a relief!
There are two main features to this law:
First, it protects renters. Renters have been one of the groups getting the collateral damage from the foreclosure crisis. When an investor owner can't pay his mortgage, he has to turn the home over. In most cases, that means that the renters need to move on, as well.
Second, it includes a disclosure rule that requires companies buying mortgages on the secondary market to inform borrowers about who now owns their mortgage.
The new survey on banks is out from JD Power & Associates. The survey finds that people are growing increasingly unhappy about the level of service that they get at their bank. The survey covered experiences last year, before the credit crisis really took over the attention of the public. Presumably, that was also at a time when banks were operating at full speed.
The survey says that consumers resent high fees. They also find it maddening that it can be so difficult to reach a real live person.
I thought of a few things that banks should do, for free.
Someone at your bank should be able to text or email a consumer when a check clears. This would cost little, but it would increase the certainty that a borrower feels about their funds. Since banks are at liberty to process checks in a relatively large time frame, this is especially important.