Swiss alternative bank breaks negative rates taboo
news.yahoo.com
Swiss alternative bank breaks negative rates taboo
1–10 of 33 posts
Re: Swiss alternative bank breaks negative rates taboo
#2That seems like just asking your depositors to put their money somewhere else...
Re: Swiss alternative bank breaks negative rates taboo
#3Totally off topic, but this completely threw me while trying to read the article:
> on client deposits higher than 100,000 Swiss francs ($98,650, 92,420 euros).
The usage of a comma as both the thousands separator, and to separate two currencies - one using a prefix and the other a suffix - had me instantly googling the exchange rate rather than reading the rest of the article.
Re: Swiss alternative bank breaks negative rates taboo
#4Before you jump in with outrage or bafflement, consider that this isn't all that shocking, nor is having to pay a bank to keep your money totally unprecedented. Consider: if you want someone else to store your car, or your junk, or your data, you have to pay them. The only reason banks normally pay you instead is that your deposits are so useful (for making loans, and profit on those loans), that it's worth it to pay you to convince you to put your money there. But if economic conditions are such that the bank can't make any profit using your money, there's no reason why they would pay you to keep it there.
You might ask, why on earth would I pay a negative interest rate on deposits if I can just keep my money under my mattress? And yes, you could do that, and some people will (or they'll move to a different bank). But then you can't pay with debit cards or use any of the other services provided by a bank, or benefit from its physical security. Those things do cost the bank money which has to be paid somehow, it was just hidden from you by the interest rate.
Re: Swiss alternative bank breaks negative rates taboo
#5Totally off topic, but this completely threw me while trying to read the article: > on client deposits higher than 100,000 Swiss francs ($98,650, 92,420 euros). The usage of a comma as both the thousands separator, and to separate two currencies - one using a prefix and the other a suffix - had me instantly googling the exchange rate rather than reading the rest of the article.
Yes, this is a good location for a semicolon:
100,000 Swiss francs ($98,650; 92,420 euros).
Re: Swiss alternative bank breaks negative rates taboo
#6Before you jump in with outrage or bafflement, consider that this isn't all that shocking, nor is having to pay a bank to keep your money totally unprecedented. Consider: if you want someone else to store your car, or your junk, or your data, you have to pay them. The only reason banks normally pay you instead is that your deposits are so useful (for making loans, and profit on those loans), that it's worth it to pay…
It isn't utterly unprecedented either. Banks used to charge fees for holding your money (though interest could make that back and large balances might have got them waived). Free banking for all is a recent development.
Re: Swiss alternative bank breaks negative rates taboo
#7Totally off topic, but this completely threw me while trying to read the article: > on client deposits higher than 100,000 Swiss francs ($98,650, 92,420 euros). The usage of a comma as both the thousands separator, and to separate two currencies - one using a prefix and the other a suffix - had me instantly googling the exchange rate rather than reading the rest of the article.
Yes, this is a good location for a semicolon: 100,000 Swiss francs ($98,650; 92,420 euros).
Even a semicolon is hard to read! With large numbers, I tend to read the first section and count the separators without actually reading the numbers (or separators) in the middle. Either of these would have been much clearer:
$98,650; €92,420
Or
98,650 dollars; 92,420 euros
Re: Swiss alternative bank breaks negative rates taboo
#8That seems like just asking your depositors to put their money somewhere else...
I think that's exactly what they're doing. Since they have to pay the government's negative interest rate on the deposits, they don't want free deposits. The article mentions how other banks have done the same thing by increasing management fees, which sounds more offensive to me.
It's also the Swiss government just asking depositors to put their money in some other country (or at least another currency). They want people to sell them in an effort to devalue their currency and help their local exporters.
Re: Swiss alternative bank breaks negative rates taboo
#9Totally off topic, but this completely threw me while trying to read the article: > on client deposits higher than 100,000 Swiss francs ($98,650, 92,420 euros). The usage of a comma as both the thousands separator, and to separate two currencies - one using a prefix and the other a suffix - had me instantly googling the exchange rate rather than reading the rest of the article.
Yes, this is a good location for a semicolon: 100,000 Swiss francs ($98,650; 92,420 euros).
Its an even better place for the word "or", which either the comma or semicolon between the numbers is standing in, poorly, for in this case.
100,000 Swiss francs ($98,650 or €92,420).
Re: Swiss alternative bank breaks negative rates taboo
#10Before you jump in with outrage or bafflement, consider that this isn't all that shocking, nor is having to pay a bank to keep your money totally unprecedented. Consider: if you want someone else to store your car, or your junk, or your data, you have to pay them. The only reason banks normally pay you instead is that your deposits are so useful (for making loans, and profit on those loans), that it's worth it to pay…
It isn't utterly unprecedented either. Banks used to charge fees for holding your money (though interest could make that back and large balances might have got them waived). Free banking for all is a recent development.
> Free banking for all is a recent development.
Even just plain banking for all is a not-yet-achieved state (much less free banking for all.) [0]