Are You Bored Yet?

It's the beginning of a new year and what have I gone and done to you all?

Bitch, bitch, bitch.....and I'm not done just yet.

As  you know my husband and I own our own business. We opened our business account at our local bank. We choose not to go with Bank of America because well, they are Bank of America and you know what we all found out about them in the last 24 months.  Anyway we decided to go to our local bank that promised us all this service and who want to work with small businesses.

We needed merchant services, which is the ability to take credit cards.  They showed us their offering and the cost of what they were charging us was astronomical.
If you don't know a company who takes credit cards is charged a fee for each type of card. For example, if you are paying $100 for something the company who sold you this product doesn't get the full $100 because a percentage goes to the credit card company. 
Then the bank will tack on their own fees on top of that. (lovely game isn't it?)

Anyway, we told our local bank that we would think about their offering.  We felt the rates were too high but needed to do some homework.  In the mean time the Better Business Bureau was offering merchant services to their members and the rates were terrific in comparison.  I did my due diligence and shopped all banks merchant services and nothing could compare to BBB.  So we went with their software and program.  

The BBB merchant program was easy to use. Each night they made the transfer of funds to our bank.  Our bank held on to that money anywhere from 3 to 6 business days.  I called the bank and asked why.  They told me until we had done business with them for at least 60 days they would hold the money.  Okay I got that.  But 5 years later they were still holding onto our money.  We had the funds to cover the checks deposited or credit cards deposited but they refused to give us our money for a week.  It drove us crazy.  Yet we stayed as we grew. (our huge mistake!)  

When we began doing large commercial work we found that these well known customers didn't pay on time or give any credence to the terms of their contract of payment upon completion or net 30 days.  The bigger the company the worse they where. (Marriott was a big offender of this issue) Big companies thought nothing of not paying for the work they demanded be done on time for 120 days or more.  Usually more. To a small business waiting 3 months or more for our pay was killer.

So with perfect credit we went to this bank and asked for a line of credit so we weren't running so thin or have to use all of our own money for payroll and supplies etc while waiting for 5 figure checks from our customers.  Our bank said they no longer were offering lines of credit to small businesses like ours since the banks collapsed.  All the while reminding us that they didn't have to take money during the bail out. Like that made us feel better. Of course I said if you were so solid to not need the governments money then why are they not offering small businesses any help?  Never did get an answer to that one.

So we trudged on.  Some months better than others.  We even discussed not taking any more commercial work since they didn't pay us; because really if you aren't paid in 3 months it's like you've done the work for free. Because by this time you have now paid out for the gas, the vehicles, the employees, the supplies and the insurance for that job. But no money has come in during that time only out. So we didn't bid on as many commercial jobs and focused on residential.  At least people paid. 

The only problem with residential is we still had to wait for our money from the bank.  Let's say we deposited a couple of checks $1000 we had to wait those pesky 3 - 6 business days even though we had the money to cover it.  It frustrated us so badly.  We asked over and over again and always were met with snarky looks and no real answers.

So we began shopping for a new bank.  As we were shopping for a new bank I got a call one afternoon from a new bank in town who wanted to meet with us and discuss our business needs.  What did we have to lose??  They were new to Virginia.  They were buying up smaller banks as well as opening their own.  I was familiar with them because they started as a Pennsylvania bank and being from PA I was aware of them.  They were just new to this area.

While this new bank was wooing us we decided to give our current bank one more try.

We deposited $100 in cash in the ATM just to see how long it would take to clear and get into our account.  It took 3 days for OUR  CASH to clear and be deposited into our account.   C.A.S.H!!!  THAT WAS THE NAIL IN THE COFFIN.

It has been a pain in the ass learning the new banks merchant services software.  Calling all the automatic payments that are taken out of our account and giving them the new account info.  All the little details that go along with changing banks. But so far it has been everything they promised.  It's been 2 months now.

Today I went to close out our accounts at our old bank.  I sat at the managers desk and gave him all my information and ID.  He asked me why we were choosing to leave his bank.

I told him that because we could not get our money and the fact that they were unwilling to work with us. His response?  He looked at me and said, "oh"  The old fart just kept looking at me and said nothing. 

I then went on and told him our last straw was the $100 CASH deposit that we couldn't get for 3 days. He again just said, "oh.  Well you know we are the only bank that didn't take any bail out money."  I said, "Why of course not, you were using my money and your other customers money you didn't need the governments."

He was not happy with me.  But the fool had the balls to ask if I was sure of this decision.

"Not only am I sure Ira (yea that was his real name!) but your attitude today has convinced me I have done the right thing for our business. Oh and by the way our new bank gives us our money next business day as well as offering us a line of credit, and merchant services at 1/2 your rates." 
He looked stunned, looked down at his paperwork and back up again as though waiting to find the right thing to say and then said, "Are you sure?"  I laughed and said, "I am very sure."  He did not try to persuade me to stay. So apparently I was never that important to him.  He also didn't disagree with me.

Rick and I both have made it a point to share this information with other local businesses we deal a lot with and one has already moved.  YIPEE.  They called to thank me yesterday. They were that happy.

Then this evening just before leaving my office someone from my new banks headquarters in Pittsburgh called to ask if we were happy.  If I was having any trouble with the online services or any of our programs.  I am not.  The representative said because we were new they just wanted to check in and he gave me his number and name so should I  have any questions or concerns along the way to call him.  That is already more service than I ever got from my local bank in all the years banking with them!!

Just another day in the life of the poor service that seems to be most prevalent!