Wells Fargo

Are Banks Open on President’s Day 2020?

February 13, 2020 By Tamila McDonald 2 Comments

When it comes to the February holidays, most people focus on Valentine’s Day. This year, that day of romance falls on a Friday. Since it’s the event that draws most people’s attention. It’s easy to overlook that Monday, February 17, 2020 – the Monday after Valentine’s Day – is President’s Day, a federal holiday. As with most federal holidays. There can be a bit of confusion regarding what will and won’t be open on President’s Day. If you are wondering, “Are banks open on President’s Day?” you aren’t the only one. For anyone who hoped to do some banking on February 17. Here’s what you need to know.

Are Banks Open on President’s Day?

No, banks typically are not open on President’s Day. It’s normal for banks close on federal holidays. President’s Day is no exception.

However, it’s important to note that some bank locations may be open. For example, branches inside of supermarkets or certain retail stores may open their doors on the holiday. This includes some PNC Bank and SunTrust Bank locations. Additionally, TD Bank branches are often open on President’s Day.

Otherwise, it’s often safe to assume that banks will close for the holiday. Some banks that do not open on President’s Day include:

Bank of America
Capital One
Citibank
HSBC Bank
US Bank

Additionally, regular PNC Bank and SunTrust Bank branches (those not in grocery or retail stores) will likely be closed as well.

If you need assistance from a bank employee. You will either need to head to your bank on the business day before President’s Day – either Friday, February 14 or Saturday, February 15. Depending on whether your bank has Saturday hours – or wait until the February 18, the Tuesday after the holiday.

Are Credit Unions Open on President’s Day?

No, most credit unions are not open on President’s Day. Like banks, the majority of credit unions follow the federal holiday schedule and close accordingly. However, there can be exceptions. For example, locations in retail or grocery stores, that may open.

Is the Stock Market Open on President’s Day?

No, the stock market is not open on President’s Day. Regardless of where your brokerage, IRA, or other kind of investment account is held. Trades and similar activities essentially come to a halt on most federal holidays, include President’s Day.

Both the New York Stock Exchange (NYSE) and NASDAQ close. Additionally, the bond market isn’t open either.

2020 Bank and Credit Union Holiday Schedule

Since banks and credit unions generally follow the federal holiday schedule. Most will close whenever government offices do. Here’s an overview of a typical 2020 bank and credit union holiday schedule:

New Year’s Day – Wednesday, January 1 – Banks and credit unions are closed
Martin Luther King, Jr. Day – Monday, January 20 – Banks and credit unions are closed
Presidents Day – Monday, February 17 – Banks and credit unions are closed
Memorial Day – Monday, May 25 – Banks and credit unions are closed
Independence Day (Observed) – Friday, July 3 – Banks and credit unions are closed
Labor Day – Monday, September 7 – Banks and credit unions are closed
Columbus Day – Monday, October 12 – Banks and credit unions are closed
Veterans Day – Wednesday, November 11 – Banks and credit unions are closed
Thanksgiving Day – Thursday, November 26 – Banks and credit unions are closed
Christmas Day – Friday, December 25 – Banks and credit unions are closed

It’s important to note that Independence Day actually falls on a Saturday in 2020. When this happens, the day the holiday is observed usually shifts to the Friday before. As a result, many banks will close on Friday, July 3, as well as Saturday, July 4.

Many people also notice that there are additional holidays where credit unions and banks are usually closed that aren’t on the list. For example, a bank typically isn’t open on Easter Sunday, Mother’s Day, or Father’s Day. The reason that is the cases usually isn’t because of the holiday itself. Instead, it’s because those events fall on Sundays, a day of the week where most banks and credit unions are closed anyway.

How to Bank on President’s Day

Even if your local branch closes on President’s Day, that doesn’t mean your banking needs have to go unaddressed. Nearly any service that doesn’t require interacting with a teller is still available.

For example, you can withdraw cash at an ATM that isn’t locked inside the building. You may also be able to make deposits, initiate transfers, or pay certain bills at ATMs or similar kiosks.

Additionally, you’ll still have access to a range of online banking services. Check depositing through mobile apps will be available, as well as bill paying services, the ability to initiate transfers, and access to information about your balances.

It’s important to note that the transactions themselves might not process until the next business day. This includes deposits, bank-to-bank transfers, bill pay involving the institution mailing a check on your behalf, and certain other activities that require a bank or credit union to be open for it to go through.

Do you ever wish that banks were open on federal holidays? Why or why not? Share your thoughts in the comments below.

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Wells Fargo is Paying $575 Million to Settle Fake Account Claims

December 31, 2018 By Amanda Blankenship Leave a Comment

If you’ve been following the Wells Fargo scandals over the past two years you know that the bank is facing a number of lawsuits and investigations. On Friday, Wells Fargo agreed to pay a $575 million lawsuit settlement to all 50 states and Washington, D.C.

Wells Fargo Scandals

Wells Fargo has been in the center of a number of scandals in recent years. The scandal that has received the most coverage has been the fact that the bank has opened fake accounts in customer’s names. To mend their relationships with its customers, Wells Fargo has issued a settlement agreement.

After admitting that its employees had opened as many as 3.5 million fake accounts without customers’ consent, a series of probes have been launched to figure out what is going on within the walls of the bank. The probes have uncovered a wide variety of problems within the company.

The $575 million agreement follows a number of other settlements Wells Fargo has paid out since September of 2016.

Just last April two federal regulators fined Wells Fargo $1 billion for forcing some of its customers into car insurance. The bank was also fined for charging unfair fees to mortgage borrowers.

One month later, Wells Fargo agreed to pay $480 million for a separate matter. Investors alleged the bank made misstatements and omitted information about its sales practices, which brought about a securities lawsuit.

In October of 2018, the bank paid another $65 million penalty to the state of New York. This penalty was also related to the fake account scandal.

The Latest Wells Fargo Lawsuit Settlement

As part of its latest agreement with the United States government, Wells Fargo will be creating a website and designated team to help with remediation efforts.

“This agreement underscores our serious commitment to making things right in regard to past issues as we work to build a better bank,” Wells Fargo CEO Tim Sloan said.

However, the bank remains under restrictions that have been imposed by the Federal Reserve until February 2019. Until the Fed has decided Wells Fargo can be trusted again, the company cannot grow any larger than it was at the end of 2017 ($2 trillion in assets).

Each state will be receiving a certain dollar amount from the $575 million settlement. California, where Wells Fargo got its start, is slated to receive more than a quarter of the settlement funds. This is because more Wells Fargo customers live there than most other states. Other states will receive lesser amounts. New Jersey, for instance, will be given $17 million to settle any wrongdoing customers in the state may have fallen victim to.

This is just the latest in the two(going on three)-year-long dispute with Wells Fargo. It will be interesting to see how many more large settlements the bank will have to pay out in the next 12 months.

Readers, do you bank with Wells Fargo? Have you received any settlement cash?

Photo: Mike Mozart

Can Robo-Advisors Save You from Market Volatility?

June 12, 2018 By Jackie Cohen Leave a Comment

All signs point to market volatility increasing rather than ebbing — at least until after the fall 2018 U.S. elections. Since algorithmic trading is one of the reasons why markets have increased in volatility — can you better weather this storm by accessing the same technology the only way individual investors can, through robo-advisors?

In simplest terms, the robos combine computerized trading with advice, for a fraction of what you would pay for a financial adviser.

The computerized trading follows a model that was drafted by a financial advisor or economist. Most of the models consist of exchange-traded funds (ETFs) reflecting the investor’s risk appetite, objectives and time horizon.

Algorithmic Trading

From there, the computerized trading relies on algorithms to execute transactions at a level of sophistication and speed that has only been available to professional investors.

The automation periodically maintains the original strategy of the portfolios by rebalancing, dollar-cost averaging (a type of buying strategy where buy a fixed dollar amount of securities at regular intervals) or harvesting capital losses or gains on taxable accounts.

The reliance on automation enables lower fees than what human financial advisors charge, although overall the method with which the fees are applied is often similar: A (fraction of a) percentage of the total portfolio value is charged annually.

Performance and Volatility

Some of the companies in this space demonstrate strong performance — or at least they did until the markets increased in volatility.

Robos aren’t a way to handle market turbulence but rather a way to keep fees from interfering with your overall account appreciation.

Although this category of financial service continues to attract more assets and hype, it has limitations worth keeping in mind.

When to Work with a Human Financial Advisor

If you need more personalized advice, you won’t get it from any of the robos, but you could always get the best of both worlds by also working with a human financial advisor.

A human financial advisor can give advice based on an investor’s current life situation and preferences.

The robo questionnaires usually don’t ask about investors’ beliefs or ideals, nor can they sense whether someone is confused about their goals or risk appetites.

Robos also can’t handle certain kinds of complex financial planning like setting up estates, making insurance recommendations and coaching on budgets.

Best of Both Worlds

If any of these areas sound like things you might need, you could always hedge your proverbial bets: Don’t choose one over the other, but go with both. Tap a human financial advisor for some situations and a robo for others.

Although robos use the same technology that is used by the algorithmic traders that are creating the market volatility of late, none of them can explain current market conditions to you the way a human financial advisor can.

More importantly, the algorithmic trading capabilities that characterize robo-advisors isn’t going to move you around a lot in a volatile market because that gets prohibitively expensive if you don’t have your own FINRA credentials.

So if you don’t like volatility, you just might like minimum volatility ETFs instead. Perhaps one of the robo-advisors might include them in its portfolio recommendations.

Which Is the Best Robo-Advisor?

Here’s a look at the different companies in this space, along with their fees and strategies. Some also include yields, where disclosed.

Acorns

If you’ve had a hard time disciplining yourself to save or invest, this robo is for you. It effectively invests what would otherwise be your spare change. You enable Acorns to take as deposits the difference from the next-highest whole dollar amount on every bank card transaction you perform.

You still get to set a maximum amount per month. Best of all, you can get money added to your account in reward for taking advantage of deals with participating merchants.

Fees: For assets below $1 million, pay just $1 to $3 per month for one of three tiers of services.

Strategies: Acorns suggests strategies based on your income, time horizon, goals and risk appetite.

Ally Invest Managed Portfolios

This online bank’s offering in the robo-advisory space appears to have gotten less attention than many of the others in the category, despite having among low fees and being easy to use.

Fees: Pay just 0.3 percent of the portfolio balance annually, with a $2,500 minimum account size.

Strategies: Suggested portfolios appear to reflect about nine different levels of risk tolerance, three different types of goals, and five different general time horizons.

AssetBuilder

In one important sense, this company has more transparency about its robo strategies than the others listed here –by virtue of being the only one that publishes historical performance data on three-, five- and 20-year horizons for the portfolios. Click here to see that data.

Fees: The company’s fees are based on the amount of assets you add to an account — the minimum size of which starts at $50,000. Put in that starting amount and you pay the maximum fee of 0.45 percent annually, but that eventually scales down to 0.2 percent annually if you put in $20 million or more.. The company also sells retirement-related services for 0.5 percent annually. Additionally, the site charges commissions on individual trades of $11.95 per transaction.

Strategies: The site has eight strategies at different points on a spectrum of lowest to highest risk. The two most conservative strategies are referred to as capital preservation. After that comes a strategy called balanced. Then there are two strategies called growth. Finally, the company has two different aggressive growth strategies.

Betterment

Although better known for its robo-advisory offerings, this company can also match you up with a human financial advisor. The fees and strategies below involve the robo stuff, however.

Fees: The company charges 0.25 percent annually for what it calls the digital level of service and 0.40 percent annually for a premium level.

Strategies: Betterment works with five general categories of investing goals — saving for retirement, retirees withdrawing income, emergency funds, general investing and preparing for a major purchase. You’re allowed to choose more than one of them. The suggested portfolio is further customized based on your stated time horizon and your risk tolerance.

Blooom

This outfit gives the robo treatment to your retirement plans that would otherwise not get any third-party attention.

Fees: There’s a flat rate of $10 per month.

Strategies: The company takes over the management and monitoring of your retirement plans provided by employers — any 401(k), 401(a), 403(b), or 457 and optimizes your fund selection in a way that maximizes performance and minimizes hidden fees.

Clink

This particular robo has some things in common with Acorns. Only here’s what’s different with Clink: You schedule how often you wish to contribute to the account — daily, weekly, biweekly or monthly — and exactly how much to put in each time — from $10 to $500 per deposit.

Fees: For accounts with less than $5,000 in them, Clink charges $1 a month; otherwise it’s 0.25 percent of your total balance annually.

Strategies: With the intention of simplifying investing, Clink suggests just a handful of portfolios of ETFs that it recommends based on how aggressive you want to be.

Ellevest

This company markets a full range of financial services to women, and as part of that offers a robo-advisor product.

Fees: For accounts under $1 million, the annual fees are 0.25 percent of the balance of the portfolio for a basic account or 0.5 percent of the balance for premium.

Strategies: Ellevest creates portfolios based on the investor’s risk tolerance, time horizon and goals; the latter can include saving up an emergency fund, down payment on home, new business, children, retirement, and building wealth — you can also choose more than one of the aforementioned goals.

E*Trade Dedicated Portfolios

This leader in the world of online brokerage has a line of robo-advisory services that offer a wee bit more advice than the self-service style of trading that the rest of the business is based on.

Fees: Depending on the amount of money you invest, the strategy you choose, and the amount of attention from a human financial advisor that you want, annual fees can range from 0.3 percent to 1.25 percent.

Strategies: A dedicated financial consultant helps you build a fully custom portfolio that’s monitored and actively managed for you. There are three general groupings of services — the first tier is known as core portfolios and has a minimum balance requirement of $5,000; the next level up is blend portfolios, which has a minimum balance requirement of $25,000; and the top tier is fixed income portfolios with a $250,000 minimum balance requirement.

Fidelity Go

This mutual fund giant has teamed up with Strategic Advisers, National Financial Services and Geode Capital Management to offer a robo-advisory service.

Fees: They range from 0.35 to 0.4 percent annually.

Strategies: This service suggests strategies based on your goals, time horizon and your risk appetite (on a scale of one to 10).

Financial Engines

This company sells robo-advisory services to other companies as a front-end for employer-sponsored retirement plans.

Fees: They have ranged from 0.2 percent to 0.6 percent annually.

Strategies: The company offers a robo-advisor type of interface for retirement plans, and is in the process of merging with Edelman Financial Services — a deal that might close in the third quarter of 2018.

IncomeClub

This robo focuses on fixed income, clarifying that its offerings are intended for inclusion in an overall portfolio strategy.

Fees: The company claims it recommends a bond strategy without charging you anything — then directs you to Interactive Brokers to transact. Presumably IncomeClub gets some kind of commission on the back end.

Strategies: Everything suggested by IncomeClub involves fixed income in one form or another. Depending on your time horizon, risk appetite and objectives, this site might suggest money market funds, certificates of deposit, federal government bonds, municipal bonds, corporate bonds, international bonds or combinations thereof.

FutureAdvisor

Open an account with this particular robo-advisor and you too can have the same kind of killer investment performance that the Yale University endowment is famous for. The brains behind said wonder-fund, Dave Powell, just so happened to create FutureAdvisor’s portfolio models.

Fees: The annual management fee is 0.5 percent of the value of your portfolio. Over 90 percent of the funds used by FutureAdvisor trade commission free, and for the others there are commissions of $7.95 per trade.Add in the expense ratio of the funds and you have a total fee of about 0.65 percent a year.

Strategies: Designate whether your risk appetite is conservative, moderate or aggressive — then convey your time horizon and FutureAdvisor suggests a strategy based on that.

Hedgeable

This robo offers a couple of tiers of service based on the amount of assets you invest there.

Fees: Pay 0.3 percent to 0.75 percent annually, depending on the amount you invest (the more money you put in, the lower the percentage gets).

Strategies: Hedgeable offers three tracks of services — building wealth is for saving up money in a retirement account, trust, taxable, joint or custodial account; small business is for those using business income to contribute to a solo 40(k); and high net worth is for people who want to preserve a lot of money and grow it tax efficiently.

MarketRiders

This web-based investing platform promises that its rebalancing algorithms can add up to 2 percent to the value of your portfolios.

Fees: Pay $14.95 a month or $195 annually.

Strategies: The company has three types of strategies — one of them intended to help you save for emergencies, another for retirement, and the third having more of a speculative goal.

M1 Finance

Purists might say that M1 Finance’s business model only partly resembles a robo-advisor — that is, at the portfolio management stage.

Fees: The company states that it charges no fees to consumers.

Strategies: Instead of suggesting a portfolio, M1 Finance offers a visual interface for people to set up portfolios — and then maintains the portfolio allocation using algorithmic trading.

Merrill Edge Guided Investing

This old-school retail brokerage has expanded into robo-advisory services.

Fees: Pay 0.45 percent annually plus trades can have commissions of one to three cents per $1,000 traded.

Strategies: The company recommends different strategies based on your investment horizon, goals and risk tolerance — the latter is based on answers to a questionnaire.

Morgan Stanley Access Investing

This full-service investment house has thrown its hat into the ring with a robo service that just debuted in December.

Fees: Pay just 0.35 percent of the value of your portfolio annually.

Strategies: Morgan Stanley has portfolios modeled for specific goals like retirement, buying a car, education, building wealth, starting a business, saving for a wedding, buying a house, or making another type of large purchase. You also specify possible target dates, your risk appetite, and whether there are any specific areas of investing that you’re interested in.

Personal Capital

This company offers free software to help you analyze your finances; it suggests ways to minimize your fees, and leads you toward its robo-advisory offerings.

Fees: If your account value is a six-digit number or lower, you pay an annual fee of about 0.89 percent of your portfolio value. Commit more than that and you bring the fee down.

Strategies: There are three tiers of services based on the amount of assets you wish to commit to Personal Capital. If you have $200,000 or less in assets, you’re in the tier that most closely resembles the robo model, where a financial advisor recommends a portfolio of tax-efficient ETFs and from there you’re all automated.

The next level up gets you more customization and advice; those with more than $1 million to invest get the private wealth management treatment, including full access to a financial advisor.

RebalanceIRA

This company promises to save you 68 percent on fees associated with IRAs; from there, compounding enables you to capture more gains over the long term.

Fees: Pay just 0.5 percent of the value of your portfolio annually.

Strategies: The company suggests portfolios of ETFs suited for your risk appetite and time horizon.

Schwab Intelligent Portfolios

For a discount brokerage with a history of no-frills, low-commission trading, Schwab’s robo-advisory service is surprisingly sophisticated.

Fees: Interestingly, Schwab does not charge advisory fees for its robo service. The company says there aren’t any hidden fees nor commissions and clarifies that it earns revenue from the underlying assets in the portfolios.

Strategies: Each portfolio contains up to 20 different asset classes, in proportions that are based on an investor’s risk appetite, current life circumstances and goals.

SigFig

This company offers robo-advisory services directly to consumers and in partnership with other financial institutions (including Wells Fargo, mentioned elsewhere in this article).

Fees: Pay nothing for your first $10,000 (the minimum balance is $2,000) and 0.25 percent annually for every dollar above that amount.

Strategies: There are portfolios with conservative, moderate and aggressive growth strategies and tailored for different types of goals and time horizons.

Stash

Ideal for people who are new to investing, this mobile app suggests not just ETFs and other types of investments based on your preferences.

Fees: For accounts under $5,000, the first month is free, and after that you pay $1 per month — or $2 per month for a retirement account. Above that minimum amount, the fees switch to 0.25 percent of your annual portfolio balance.

Strategies: Stash suggests individual investments based on your investment budget, risk tolerances, goal, and time horizon.

TD Ameritrade Essential Portfolios

This discount brokerage has come out with a robo-advisory that leverages the company’s low-to-no commissions on core ETFs.

Fees: The lowest tier service, Essential Portfolios, costs 0.3 percent annually; the next level up, Selective Portfolios, costs 0.75 percent; and the top tier service costs up to 0.9 percent.

Strategies: Essential Portfolios has five different portfolios; Selective Portfolios consists of a broader range of goal-oriented portfolios; while Personalized Portfolio, offers more tailored portfolio construction and advice.

Vanguard Personal Advisor Services

Since this mutual fund giant issues some of most cost efficient ETFs in the industry, Vanguard is certainly well positioned to compete in the robo-advisory market.

Fees: Pay just 0.3 percent of the portfolio value annually.

Strategies: Vanguard has you talk to a human investment advisor to set up a strategy reflecting your goals and current financial situation. Then the robo part of the operation executes and manages the portfolio — allowing you to be as involved in it as you want.

WealthBar

This Canadian company wealth management solutions and a robo-advisory — details regarding the latter appear below.

Fees: The company explains its fees as $10 month if you invest $25,000.

Strategies: Choose one of the following types of ETF portfolios — safety, conservative, balanced, growth and aggressive.

Wealthfront

This robo aims to reduce taxes, fees and risk — all in one offering.

Fees: Pay just a quarter of a percent of your portfolio value per year.

Strategies: The company has three categories of portfolio allocations, one of them for retirement and two others that are taxable. Within each of these categories there are 20 different portfolios that each have different amounts of risk and volatility.

Wealthsimple

The company says its approach aims to minimize volatility and maximize reward through diversification.

Fees: Pay just 0.4 percent annually with a balance of at least five digits — or if you have less than that, you pay 0.5 percent.

Strategies: The company currently offers you a choice of three strategies — conservative, balanced and growth.

Wells Fargo Intuitive Investor

The money-center bank unveiled a robo-advisor offering in November, made possible through a partnership with SigFig (another robo described elsewhere in this article).

Fees: Invest $10,000 to $25,000 and pay an annual fee of 0.5 percent. That fee drops to 0.4 percent if you have at least $25,000 in a Wells Fargo deposit account or at least $50,000 in combined banking, brokerage and credit accounts at the bank.

Strategies: The service has nine different portfolios that might be recommended based on your goals, time horizon and risk appetite. The choices include conservative income, moderate income, aggressive income, conservative growth and income, moderate growth and income, aggressive growth and income, conservative growth, moderate growth, and aggressive growth.

WiseBanyan

Robo-advisors are already cheap to begin with, but WiseBanyan takes it to a whole new level of cost effectiveness — it’s completely free for customers.

Fees: Yes, this robo-advisor says it charges no fees whatsoever.

Strategies: Suggested portfolios include ones for retirement, wealth building, saving for a rainy day and other goals — customizeable according to your time horizon and four different levels of risk tolerance.

How Can You Choose?

As you can see above, there are so many robo-advisors to choose from that, if anything, you might get decision fatigue from comparing that many.

One possible way to streamline the choice might be to go by which one has the lowest fees — in which case the ones that don’t charge anything at all might seem most attractive.

But before you rush into any of the free robos, make sure you read the company’s own explanation of how it works so you know its business model.

Online brokers that are technically free of charge to consumers might actually obtain income from third parties using a business model called payment for order flow.

Payment for order flow might sound inocuous at first, but it actually amounts to a massive opportunity cost: When brokers sell their order flow to third parties, those third parties can trade against you in a way that can interfere with your ability to obtain the best trade prices — you might miss the chance to buy at the absolute lowest price and sell at the very highest price.

Aside from that, you have a lot of tantalizing choices in the robo-advisory world: Most of them offer great opportunities to maximize your investment performance by saving money on fees.

Readers, are there any companies that weren’t included in this article that you think should be added? And have you looked into any robo-advisors and if so, which ones? Or if you haven’t checked any of this out yet, why not? Have you ever worked with a financial advisor — what kind of investing experience do you have, if any?

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How New Executives Plan to Sweep the Wells Fargo Scandal Under the Rug

April 11, 2017 By Amanda Blankenship 2 Comments

Carrie Tolstedt used to be a name no one knew this time last year. Now millions of Americans are talking about her and her involvement in the recent Wells Fargo scandal.

Tolstedt, along with the bank’s former CEO, John Stumpf, has been taking the bulk of the blame for the recent scandal, which was outlined in a 113-page report released by the company on Monday. The former CEO and former head of retail are mentioned in the document along with about a dozen other higher ups.

So, what will come of this banking scandal? What will happen to the Wells Fargo employees (both current and past)?

What is the Wells Fargo Scandal?

Well, before you know what is happening to make the scandal “go away” you have to know what happened.

Essentially Wells Fargo executives were overseeing sales projects in which fake accounts were being opened. Since the scandal was uncovered, many employees have come forward quoting intense pressure in the workplace regarding sales. About 2,500 people lost their jobs throughout the company due to this.

Where the “scandal” comes in is that a majority of Wells Fargo executives knew what was going on. They allowed for thousands of people to be fired but wanted no responsibility of their own.

Wells Fargo Execs Being Investigated

As mentioned above former CEO John Stumpf and former head of the Wells Fargo retail division Carrie Tolstedt have been fired from their positions with the company due to the facts that have come to light during the scandal. Much of the blame still lies with these two former leaders, however, the report released Monday named a few other people as well.

Stumpf called one woman, Patricia Callahan, his “confidante.” Callahan has been named in the 113-page document because of this. Due to her closeness with Stumpf, board members believe that Callahan was aware of the sales abuses occurring within the company and she never raised the issue with the board. Callahan retired in 2015 before the scandal was uncovered. It is believed that her successor, Hope Hardison, may have been aware of the abuses happening at the community banks as well.

Another name singled out in the document is James Strother. Strother served as general counsel to Wells Fargo board members. He was not directly involved in the scandal but he did provide misleading information to members of the board. The key piece of information believed to be skewed by Strother was the number of terminations made in relation to the faked accounts. There were about 2,500 people who lost their jobs at community banks due to the scandal, while Strother made it seem like there were only about 230 jobs terminated.

There were also a number of other people indicated in the report on Monday. Most of them have been identified for pressuring employees to up sales or having knowledge of the bogus accounts being created. However, when it boils down to it, Tolstedt and Stumpf are carrying the weight of the scandal on their shoulders (and their wallets are feeling it too).

Former Wells Fargo Execs Asked to Pay

Both former execs have already been replaced and, to make amends for their wrongdoings, Stumpf and Tolstedt have also been asked to pay about $75 million back to the company. The replacements for Stumpf and Tolstedt aren’t wasting any time trying to sweep this mishap under the rug either.

Last month Mary Mack, Tolstedt’s replacement, began reorganizing the community bank’s leadership to insure another scandal like this wouldn’t happen in the future. The new CEO, Tim Sloan, isn’t waiting to make changes either.

Sloan pushed to rehire about 1,000 Wells Fargo employees that were affected by the terminations made last year. He also got on the phone with a group of journalists Monday to chat about what the company is doing moving forward and just how much the former execs will have to pay out.

How much will Stumpf and Tolstedt Pay?

In the document released Monday it was outlined that Stumpf and Tolstedt would pay considerable fees to Wells Fargo, its employees and customers. Stumpf gave up $41 million of his holdings in the company and will have to give up an additional $28 million while Tolstedt will have to pay an additional $19 million on top of the $47 million she’s already paid out.

It is not likely that Stumpf nor Tolstedt will have a career ever again. Both former execs went from faces on the Fortune 500 list to hated villains overnight. Understandably, scandals like this are something CEO Tim Sloan wants to make sure doesn’t happen under his watch. “When you violate your code of ethics at Wells Fargo, you don’t have an opportunity to come back,” he said.

And, although Sloan has made it clear that this method of business won’t be tolerated at Wells Fargo, the long term impact of the scandal remains to be seen.

If you liked this article, please share it on social media or leave us a comment below.

Photo: Talk Markets

Are Banks and Credit Unions Open on Presidents’ Day 2017?

February 15, 2017 By Amanda Blankenship 1 Comment

This weekend many people will still be focused on Valentine’s Day (February 14) and it may slip some people’s minds that Monday, February 20, 2017 is also a holiday. Presidents’ Day will be observed on February 20 and sometimes it can be confusing as to what is open and what is closed on federal holidays such as Presidents’ Day. The day is one of ten federal holidays in the United States, but not every business closes for federal holidays. This leaves many people asking themselves, “Are banks and credit unions open on Presidents’ Day?” Since banks are not all federally controlled, it can vary from holiday to holiday, and from bank to bank, as to whether or not each will be open on a particular federal holiday.

Presidents’ Day is observed on the third Monday in February every year. This means that the actual date of Presidents’ Day is always changing. Because it is on a Monday, it also causes some problems when it comes to day-to-day business. Banks, however, don’t always close on federal holidays so whether your bank is open on Presidents’ Day or not is not a simple yes or no answer. The majority of banks are closed on Presidents’ Day, but there are exceptions.

Are banks open on Presidents’ Day?

No, most banks are closed on Presidents’ Day. For the majority of banks and credit unions, being closed on Presidents’ Day is the general rule. There are exceptions on this holiday. All the branches at three well-known banks remain open on Presidents’ Day, as well as store branches at a couple of others:

Banks Open on Presidents’ Day

Chase Bank is open on Presidents’ Day
TD Bank is open on Presidents’ Day
Wells Fargo is open on Presidents’ Day
The supermarket branches of PNC Bank are open on Presidents’ Day
The in-store branches of SunTrust Bank are open on Presidents’ Day

Banks Closed on Presidents’ Day

Bank of America is closed on Presidents’ Day
Citibank is closed on Presidents’ Day
US Bank is closed on Presidents’ Day
Capital One is closed on Presidents’ Day
HSBC Bank is closed on Presidents’ Day
PNC Bank regular branches are closed on Presidents’ Day
SunTrust regular branches are closed on Presidents’ Day

Are credit unions open on Presidents’ Day?

No, most credit unions are closed on Presidents’ Day. Credit unions are much like banks when it comes to this holiday. The vast majority of regular branches will be closed for the day, but there may be some located in grocery stores or other retail outlets which will remain open along with the store where they’re located.

The good news is that in the age of technology in which we are living, you do not have to go to the bank to do business. You can often do banking at the ATM or even through your mobile phone or the bank’s website. Most of these options can usually be accessed 24 hours a day, seven days a week.

Is the stock market open on Presidents’ Day?

No, stock markets are closed on Presidents’ Day. Both the New York Stock Exchange (NYSE) and NASDAQ Composite are closed on Monday. The stock markets usually mirror federal holidays when it comes to when they are closed. For those interested, these are all the stock market holidays this year.

Are Banks Open on the day Before Presidents Day?

No, banks are closed the day before Presidents Day. Like every year, Presidents Day falls on a Monday the day before is a Sunday. Local bank and credit union branches have differing opening hours with some open on Sunday, but many banks remain closed. If your local bank branch is typically open on a Sunday, it will be open the day before Presidents Day.

Photo: Flickr: GotCredit

Credit Cards That Give You Your Credit Score for Free

May 19, 2016 By Amanda Blankenship 1 Comment

Your credit score can greatly affect your life. This one simple number can determine what kind of credit cards you are approved for, what your mortgage interest rates will be and sometimes whether or not you’ll get a job offer. It is important to know what your credit score is and be aware of what affect it can have on your life.

There are two different kinds of credit scores: FICO scores and the VantageScore. FICO scores are based on data available from the three credit bureaus (TransUnion, Equifax and Experian). The VantageScore (not as commonly used as the FICO) is based on the same collective data.

Until recent years, the only way you could receive your credit score is if you pay to view it. However, many credit card companies have begun to offer snapshots of your credit score for free. Here are several credit cards that are offering your credit score for free:

American Express

American Express gave its cardholders access to their credit scores online in 2015. When you login to your American Express account, you can select the “My Free FICO Score” in the menu and take a look at your score. The score AmEx uses is based on data from Experian.

Bank of America

B of A not only provides its customers with their credit scores, but it also provides them a 12-month history of their credit. Bank of America also provides its credit card users with credit score comparisons with national averages so that you can compare your score with others throughout the United States.

Barclaycard

Barclaycard offers its cardholders credit score alerts through email. When your score changes, Barclaycard sends you an email to let you know. This feature has been especially useful for people who notice a significant drop in their credit score. With this information, you may want to check and see if someone is using your financial information (if the drop seems unwarranted).

Capital One

CreditWise through Capital One provides its users with access to your credit scores based on VantageScore and TransUnion data. With Capital One, you can access these scores online as well as on the mobile app. You don’t have to be a Capital One customer to use CreditWise though. Everyone is able to access the benefits of this application.

Citi

Citi is another credit card company that provides its customers with credit score updates. It provides customers with the FICO score based on Equifax data. Citi-branded cardholders are able to receive their score online and it is updated monthly.

Discover

Discover provides its customers with their FICO score (based on TransUnion data). Discover offers FICO scores for its customers with the following cards: Discover It, Motiva, Miles by Discover, Escape by Discover and Open Road. It also provides you information about the factors affecting your credit score. You can get your score online and the mobile app. Like with Citi, it is updated monthly (four days before your monthly payment).

Wells Fargo

Wells Fargo has a feature on its mobile application that shows its customers their credit score for free. The company provides its credit card customers with their FICO score (Experian). However, you cannot view your credit score online. You must access your credit score through Wells Fargo on smartphones and tablets.

First Bankcard

First Bankcard offers a free FICO score for its cardholders. It is updated monthly like many of the others and it provides you with the main factors affecting your score.

US Bank

You can view your credit score for free online if you hold a credit card with US Bank. The company provides its cardholders a credit score from Experian directly. Simply log in to your account and you can view your score for free through US Bank.

Walmart Credit Card

You can get a free FICO score if you enroll in electronic statements with the Walmart Credit Card. Like many of the other credit cards, Walmart’s credit services offer reasons behind your credit score.

Photo: Flickr: 401(K) 2012