Posted on 02/13/2007 4:55:51 AM PST by Brilliant
In the latest sign of the U.S. banking industry's aggressive pursuit of the Hispanic market, Bank of America Corp. has quietly begun offering credit cards to customers without Social Security numbers -- typically illegal immigrants.
In recent years, banks across the country have begun offering checking accounts and, in some cases, mortgages to the nation's fast-growing ranks of undocumented immigrants, most of whom are Hispanic...
The new Bank of America program is open to people who lack both a Social Security number and a credit history, as long as they have held a checking account with the bank for three months without an overdraft. Most adults in the U.S. who don't have a Social Security number are undocumented immigrants.
The Charlotte, N.C., banking giant tested the program last year at five branches in Los Angeles, and last week expanded it to 51 branches... The bank hopes to roll out the program nationally later this year.
"We are willing to grant credit to someone with little or no credit history," says Lance Weaver, Bank of America's head of international card services...
The credit cards involved aren't cheap. They come with a high interest rate and an upfront fee. And the idea of catering to illegal immigrants is controversial.
Bank of America defends the program, saying it complies with U.S. banking and antiterrorism laws. Company executives say that the initiative isn't about politics, but rather about meeting the needs of an untapped group of potential customers.
"These people are coming here for quality of life, and they deserve somebody to give them a chance to achieve that quality of life," says Brian Tuite, the bank's director of Latin America card operations...
Critics say Bank of America is knowingly making a product available to people who are violating U.S. immigration law...
(Excerpt) Read more at online.wsj.com ...
I left BoA a few weeks ago over this issue.
I generally shy away from regulation but in this case, I'd support legislation that would demand LARGE fines for any company knowingly giving an illegal immigrant a credit card.
Funny, I can't get an account without a SS card or a credit card without an account. What, am I too American for Bank of America?
I going there today and closing my account.
-!
This is going to be tough. Some of my personal accounts are with them but everything to do with the business is parked with them.
Damned conscience. Looks like I'll have to start looking for a different banking relationship.
Has any group set up a website or an online petition yet? Something along the lines of Hugh's anti-Seanate resolution pledge?
I don't understand this as a business decision. How can they protect themselves from default? If you lend money to a US citizen who has given you his social security number, and he defaults, you can ruin him; you have legal remedies to help you recover your loss. But if an illegal alien defaults, what remedy is there? At a time when many lenders are already experiencing a growing default rate already due to improvident real estate loans, this seems like economic suicide.
It isnt bad enough that Americans are struggling with credit card debt,now they are going to load down illegals with it.
This is insane. What do these illegals use for references?How is the credit card rating of an illegal established?
I am guessing mind you,but I would bet the interest on these cards is usury. Is the rate around 26%?
I don't see what the big deal is. Being an American citizen in NOT a requirement for being skinned by a credit provider.
"These people are coming here for quality of life, and they deserve somebody to give them a chance to achieve that quality of life," says Brian Tuite, the bank's director of Latin America card operations.
And its a felony to knowingly assist aide and abet the welfare, employment, housing, etc. of illegal aliens. A clear cut case of violation of RICO statutes, but, 'heck, there's money to be made. We have lots of lawyers and politicians of our dole. No problem!"
I found this contact info on their website:
http://newsroom.bankofamerica.com/index.php?s=partners
This is pure unadulturated crap. If they (illegals) don't have to have SSAN's, why do we?
of = on
No social security number needed? In that case, just call me Juanita Perez and let me go on a free shopping spree!
isnt this Money Laundering?????
For customers wanting to switch, I'd suggest looking at smaller regional or local banks. The big three or four have shown some left-leaning tendencies.
And, as a current BofA account holder, it is policies like this that will cause me to soon transfer my banking business elsewhere.
They should change their name to clarify their customer position to the Bank of SOUTH America. Hopefully, in a very few years this policy will be the sole factor in their bankruptcy.
As soon as I've used up my printed checks, I'm dumping BOA. When they are stuck with the unpaid balances of thousands of illegals named "Juan Garcia" or "Jose Lopez", their old customers will have to make up their losses for their bottom line. No thanks. This thirty-year customer will find a bank that's smarter than that. Some bank ought to start advertising that they cater to AMERICANS. They would reap a tremendous in-flow of BOA's former customers.
The problem with their business decision is not the default problem. They are charging a lot of money for the card, so and assuming they've correctly calculated the amount of defaults, they've taken that into consideration when setting the fees.
The big problem with their business decision is that a lot of their customers are going to be PO'd by this, and are likely to close their accounts and bank elsewhere. It's a PR mistake.
You'd think a "mature" company like BofA would have heard of Adverse Selection, eh? This is a welcome mat for crooks - without regard for shapes, colors, relkigious or ethnic origins etc.!!
Guess who will pay for all the unpaid credit card debts?
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