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There are strict rules that govern how banks operate. As bad as that relationship may have gotten recently, there are some basic legally enforced assurances tha
by maaku 15y ago
There are strict rules that govern how banks operate. As bad as that relationship may have gotten recently, there are some basic legally enforced assurances that I can take for granted in how banks will respond to requests about my money. If Simple is a middleman to this transaction, I no longer have those legal protections.
That doesn't sound very great to me.
- Game_Ender 15y agoDo you have some concrete examples?
- maaku 15y agoWhat happens to the deposits if Simple (the company) goes under? EDIT: Yes, I know they are FDIC-insured. But inside accounts setup by Simple. Are those accounts also in Simple's name, or jointly setup? What could potentially happen then during the lawful unwinding of the company?
- matwood 15y agoThat's a good question. When you make a deposit how long does it (if ever) sit in Simples possession before being put int your FDIC insured account? This may not sound like a big deal, but if Simple were to go under this float would go under with them.
- galadriel 15y agoPaypal, but from the seller side. A lot of banking regulations would prevent Paypal from holding money at whim, etc.