Banks Don’t Value their Customers Like They Once Did

I met with clients this morning that shared with me that they were denied for a $50,000 business loan by the bank that they do their banking with. They run 2 million dollars a year through their business account and made nearly $500,000 in income in 2012 and will be right about the same in 2013. On the surface, this is a no brainer.

Last year they had a late payment on their mortgage. The late payment was as a result of one of them being in the hospital for nearly 2 weeks. It just happened. Their credit scores dropped as a result, which was the bottom line reason for the denial. The person that handled this file wouldn’t work for me very long with decisions like this.

While they were with me, I called the President of the bank, someone that I have known for many years to see if I could discuss the situation with him. Fortunately I was able to speak to him and explained the situation. He said that was insane and would correct the problem for these clients.

OK, so this time it worked out and the problem got corrected, but unfortunately this is the exception rather than the rule. All banks talk about how great their service is and that they lend on what makes sense. I wish that was true, but there are more stories about how poor the service is rather than how great.