This Is Why You Should NEVER Trust a Bank(shortened)

At the height of the 2009 financial crisis Ms. Ronstein was facing a home foreclosure. After her husband passed away that same year the widow was searching through personal records when she happened across a 30-year old CD purchased by her husband in 1984 for the sum of $18,000. The CD, which offered the bearer a 10.9% interest rate and renewed automatically until it was cashed in, was originally issued by First Interstate Bank, an entity that has since been acquired by Wells Fargo.

At the time, Ronstein faced the real possibility of having her house seized for failing to pay her mortgage. The CD was like a dream come true. All her problems would be solved, which is exactly the reason why her late husband originally purchased the CD and gave it to her for safekeeping.

But when Ronstein arrived at Wells Fargo to trade in her financial instrument, she says that not only did the bank refuse to make good on the Cash Deposit, they practically laughed in her face.

But when she tried to get the money that she believes is rightfully hers, she the bank “practically almost laughed at me.”

What ever happened to those thirty 1099-INTs?

According to Ronstein’s attorney, the accumulated interest and automatic renewals on the CD amount to over $400,000 today, a claim disputed by Wells Fargo which says it is worth only around $60,000.

That would depend on whether the interest compounds and, if so, how often. No compounding would be 18000 + 18000*30*0.109 = 76860. Annual compounding would be 18000*(1.109**30) = 401068.81. Monthly compounding would be 18000*((1+0.109/12)**360) = 466664.15.

However, in any case, the interest would have been reported to the IRS.

Aliska,

It sounds like you have suffered much. I am most sorry about your son. Everything is for a reason. Money is only money. It is good that you see your own weaknesses and don’t assume that all of the apparent injustices are driven by undiluted malice. It sounds like the lawyers benfitted more than you lost due to family infighting.

Your situation reminds me a little bit of Dickens’ “Bleak House”. Even though the book is rather sad, in your case you may find something to identify with. The BBC adaptation is decent, though even six hours isn’t enough to do that book justice.

I will pray that the good God give you peace and strength.

Undecided, sorry it took so long to respond. I never "expected" anything either and never ever asked about estate plans like my children have done to me. Once I knew I was in a will, I came to "expect" something, yes. But it brings with it extra sorrows and responsibility. I was always happy with my family; in later years sometimes you come to see things as they really were, not as you chose to remember them.

Dr. Sivana, thank you so much for your compassion and prayers. Except for my son, which has taken a toll on my faith and physical health, not having confidence in his eternal fate. A couple people even said he was in hell. I believe everything is for a reason, too, but I may not know for a long time or it may become more clear to others.

It's a terrible irony, I know money is only money, but as things played out in latter years, I came to need some money because I ended up divorced and dependent on family for many years. Anyway, I am tired of thinking about it.

I looked up a summary of Bleak House; I don't think I ever read a whole book by Dickens but got so burned out on novels, I don't read much any more except the internet, and that I seem to skim in screens. Once in awhile something will attract my interest and I will read a whole article or go looking for more information.

I hope my legal troubles are behind me. The one about my son didn't involve anything coming to me. I just had an emotional stake in it to see that his wishes as far as we could discern were honored and his sons would be taken care of as he had asked. I felt a sense of relief about it but life goes on and I don't like some of the things my oldest daughter does and says. She grew up rebellious and doesn't have any class, was gloating about winning on Facebook where the other parties could take more offense, a couple call his widow bad names, makes me furious. I don't have Facebook but my younger daughter logs in at my house so I can see what's on there.

My younger daughter just turned 49 and has her issues, too but she doesn't like to tear people down unless it becomes painfully obvious what has happened. Her son's father died suddenly in May and it came up that she took a picture of his body in the casket. I didn't look at it but asked her why on earth she would do something so tasteless. But I guess everything is relative. I know other people do it but I always found it hugely offensive even though I know it was common a few generations back.

Thank you again for your thoughts and prayers and hope the holidays will be nice for you and yours.

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