Thursday, February 18, 2010

Too Much Snow and TV

After spending way too much time snowed in and watching a lot of television in the last couple of weeks, I felt it was time to get something off my chest. I am really put off by the Ally Bank commercials.
You know the ones, where, for example, the girl is offered a ride on a bike then told she can't ride outside of the box without a penalty. The implication being that their competitors are too restrictive. On their web site, they highlight their high deposit rates, low overhead, and their well capitalized status, exceeding the guidelines of the FDIC.

Hey, as a consumer, I'm all for competitive rates and a great customer experience. And a lot of banks, especially big ones, made some really bad decisions over the last few years. What really bothers me is this company, with this management team, is leading this charge. Here are some facts:
  • Ally Bank is the former GMAC Bank started in 2001 and re-branded in May, 2009. It is a unit of GMAC Financial Services, an organization that, since December of 2008, has received $16 billion in TARP Funds.

  • The senior management team is run by former executives of some of the largest (and most troubled) banks including Bank of America and Citigroup.

So basically, we have an organization that is run by the same people who built these "traditional banks" that they say don't meet the needs of their customers. And their capital comes from the Federal Government, which stepped in and saved the failing parent. Interesting.

For those of us out here in the "real world" of financial services, who didn't get TARP funds, don't have the luxury of a new start, and struggle with a myriad of confusing regulations, give us a break. We really are trying to do the right things for our customers.

Wow, glad I got that off my chest. Now if this damn snow would just go away......

1 comment: