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Additional Changes At Pelican State Credit Union Including Changes In Qualification Period for Reward Checking account

Monday, April 16, 2012 - 11:34 AMPelican State Credit Union - Details
Excerpts from this morning's Email: change in qualification period, limited conversion of existing accounts to Kasasa.

"... The qualification cycle begins on the last day of each month and ends on the second to last day of the following month. Debit Card transactions must post and clear your account in the qualification cycle. "

"... Your e-Xtra Bonus account will convert to a Kasasa Cash account on Wednesday, May 16, 2012. If you have more than one e-Xtra Bonus account, only one account will be converted to a Kasasa Cash Account. The remaining e-Xtra Bonus accounts will stay open until July 15, 2012 when those accounts are converted to Choice Checking Accounts. If youhave multiple e-Xtra Bonus accounts, you will receive another notification letter with more details next month."

 
4
pearlbrownpearlbrown1,491 posts since
Nov 2, 2010
Rep Points: 6,486
1. Monday, April 16, 2012 - 11:43 AM
According to PSCU's website, Choice Checking will have a $6 monthly service fee which is reduced by $1 with acccepting E-statements and a further 25¢ per each debit card purchase, until the fee is eliminated. 

So for those who might be considering leaving other e-Xtra Bonus accounts open, it will take E-statements and 20 debit transactions per month for an account which pays no interest.   Not much of a choice here.

 
4
pearlbrownpearlbrown1,491 posts since
Nov 2, 2010
Rep Points: 6,486
2. Monday, April 16, 2012 - 6:22 PM
I like PSCU, especially when they gave out bonus/dividends universally to all members several months ago.

But they messed up this time.  They posted the $10K/Kasasa Cash changes on their website on 4/6/12 without any notice/warning to their loyal members.  Then today (ten days later!!) they sent out a belated e-mail, claiming this "great news" that they are reducing limit from $20K to $10K; reducing number of reward checking (now called Kasasa vs. e-Xtra Bonus account) to one per social security number.  And worst of all, they are very vague on when the (4.01%, $20K) will be changed to (4.01%, $10K).

I had to call their manager to confirm that they plan to keep the (4.01%, $20K) rate till 5/15/12, and somehow the computer will do the mid-month conversion in terms of earned interest for May 2012.

It is not worthwhile to place any trust on the above statement and I (and I am sure many others) am voting with my feet -- already transferred half of the funds out (to make the account balance as $10K each) and plan to transfer my entire PSCU fund out by 5/1/12. 

It is a good credit union but messing up once is enough for me.
1
51hh51hh1,476 posts since
Jan 16, 2010
Rep Points: 6,427
3. Monday, April 16, 2012 - 10:24 PM
51hh, I agree with you that they should have done a better job on 4/6 of communicating the limit change was effective 5/16.  One has to question the wisdom of updating a website with a big (future) change over a bank holiday weekend when no CSRs were available to answer questions.  They must have been stunned into action when they saw how much money moved out shortly after the site update.  Personally, I was well on my way to meeting the transaction requirements on my small number of accounts in the first few days of April.  However, when I saw your heads up post on 4/6, I immediately stopped and moved all the funds elsewhere.   There were probably quite a few members who also voted with their feet. 

I too like PSCU and certainly appreciated the dividend paid earlier.  However, the confusion last year around the $300 minimum requirement, which they announced and then withdrew a month later with mixed notice (some CSRs said it had to be met, others said no, etc) to members, left a poor impression.  

Still, I wish them well, it was a good 15-month run. 
1
pearlbrownpearlbrown1,491 posts since
Nov 2, 2010
Rep Points: 6,486
4. Tuesday, May 1, 2012 - 1:54 PM
I confirmed the following with a very helpful Pelican CSR this afternoon:

a) All accounts (the ones which will be converted to Kasasa as well as the additional accounts which will be converted to Choice Checking) are now on the new qualification cycle:  last day of month to next to last day of the following month, regardless of whether it is a weekend or holiday (for example, 8/31 - 9/29, even though 9/30 is a Sunday).

b) the accounts which will be converted to Kasasa will be converted on 5/16, as discussed in the Email PSCU sent around 4/16. 

c) any additional extra-Bonus accounts will continue to be capped at $20K (not $10k) until 7/15.  On 7/16, the product type will be changed and the accounts converted to Choice Checking. 

 
2
pearlbrownpearlbrown1,491 posts since
Nov 2, 2010
Rep Points: 6,486
5. Tuesday, May 1, 2012 - 3:02 PM
Thanks, PB.

I am sure that Point (c) above on $20K cap till 7/15 for extra-Bonus accounts is an after-thought; with all the customers' complaints.  They originally said 5/15. 

Further, they seem to change rules on the fly, I would not put 100% confidence on verbal statements without any written notifications.  I expect something in writing on or before 5/16.
 
1
51hh51hh1,476 posts since
Jan 16, 2010
Rep Points: 6,427
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