Why are you loaning money to Banks?

Here is the latest bank scam. I paid my Barclay (Frontier) credit card on line on Monday. I paid $1,000.00. Monday the funds were withdrawn from my bank account. I no longer had the use of those funds. Tuesday I check the Credit Card Account on line and yep, there was the $1,000.00 credit to my account. My balance was reduced by $1,000.00. So now I should have at least $1,000.00 to spend again, right? NO, not at Barclay Bank. At Barclay Bank, they hold the $1,000.00 in their interest bearing account for 7 business days, now that's really 10 actual days. Barclay Bank has really borrowed $1,000.00 from me for their exclusive use. Now get this, if they do this on 100,000 card holders, they make $140,000 over that 10 day span. If they do this for one year they make an additional $5,110,000 each year. Is this legal? You bet it is just read the fine print in the little papers they send to you, that you never read.


Here is what Barclay says. “It's legal because you agreed to it”. “We need to protect our selves, since you can retrieve the on line payment if you change your mind”. Right, try to get your money back after you authorized them to take it in the first place. Good luck. Then they say “it's because of the Federal Reserve clearing the transfer of funds”. Liar, liar, your pants are on fire. When is the last time you wire transferred funds from one bank to another. On a bad day it takes a few hours. I won't be using this Barclay card much anymore. Capital One and Chase clear funds in two days. Keep your eye on your credit card payments to see that what guys will be up to next.