Letter Re: Banking Questions


August proved to be an eye opening experience regarding “Big Brother” and the banking system. We recently sold our home in a large metro area to move to our own redoubt in an adjacent county. During the underwriting process for a mortgage, the banker asked which bank has the money we identified as savings? Our savings was in physical cash, however, the bank underwriters won’t accept this when applying for a mortgage. The mortgage originator instructed us to get the money in our checking account. We proceeded to deposit cash every few days for a month. A couple of months go by and a letter arrives from our bank of 31 years telling us after a review from their “compliance department” they are closing our accounts. Apparently, depositing our savings into the bank triggered some algorithm that identified us as money launderers or drug dealers. No call from the bank, no opportunity to work it out; just close your account!

We use cash for nearly everything, it’s our decision, our choice, it’s legal and moral, and it’s the way we choose to operate. So, if you’re like us, beware because the old rules of the bank reporting deposits or withdrawals over $10,000 has been lowered significantly. It’s my understanding that today if you deposit or withdraw cash, even $1,000 the bank may track and report this… GW