OneCalifornia Staff
How is a community bank different, anyway?
America’s largest banks can fulfill financial needs for their customers. However, many of these large banks — those deemed “too big to fail” — are often also too big to truly care about the welfare of their customers and the communities in which they sit. Community banks offer a community-conscious alternative.
Ever get charged $80 in fees when you are $5 short on a check? That’s just one of the hidden ways in which traditional banks often make their money – they process your biggest payment first so that all of your subsequent payments will cause overdrafts and incur fees. Community banks usually work to avoid these fees for their customers by processing as many payments as they can before you overdraft, and often calling you to let you know you’re about to overdraft before you even do it! When was the last time a big bank called you to help you save money (especially at their own expense)? They are also much more transparent about their fees – they tell you what they are instead of hiding them and claiming to have free accounts. Learn more about the fee practices of banks from the California Reinvestment Coalition: http://calreinvest.org/banking-insurance/overdraft-fees
Want to make sure that there are jobs in your community? Everyone knows that it’s hard for businesses to get loans right now, and it’s especially hard for smaller businesses. Loans are the lifeblood of many small businesses, and when these dry up, businesses have to start laying off their employees. Luckily, community banks work hard to make those more difficult loans to smaller businesses, and – by their charter – they make those loans right in the neighborhood. So when you deposit money in a local community bank, you are also contributing to the economic health of your neighborhood.
Community banks do a lot for their clients and communities; but OneCalifornia Bank goes one step further. Because OneCalifornia Foundation, a 501c3 nonprofit organization, holds the financial shares of OneCalifornia Bank, all bank profits will be re-invested in local community activities and community development. OneCalifornia Foundation invests in individual and family projects such as financial literacy classes, foreclosure prevention, Acorns to Oaks (a savings matching program for young children),and in small business services such as Oakland Unwrapped, Oakland Business Assistance Center, and the Indie Awards.
Each customer at OneCalifornia not only gets fair and transparent banking services and fees, but also helps to make Oakland and the Bay Area a better place. America’s economic outlook may continue to look bleak, but even in these tough times, community banks throughout the nation are proliferating. According to this article, community banks are “where people come first.” To learn more about the differences between community banks and larger banks, follow this link.
The Financial Planning Association of the East Bay (FPA East Bay) is offering a free financial planning clinic in recognition of financial planning week. The clinic will be held at the Elihu Harris State Building in Oakland on October 3, 2009 from 10:00AM until 4:00PM. California State Controller John Chiang will be the keynote speaker. Other speakers include State Senator Loni Hancock, Assemblymember Sandre Swanson, Mayor Ron Dellums, and even our very own OneCalifornia Bank President and CEO Jeffrey Cheung! If you are interested in attending this event and taking control of your financial future, pre-register by emailing clinicregistration@yahoo.com. For more information on FPA East Bay and its events, click here.