Banks in the east-west are starting to get used to being hit hard by the financial crisis.
One of the biggest drivers of this is the “tipping” of the balance of payments.
Banks, which account for more than 80 per cent of the economy, pay interest on the surplus value that they receive from the balance-of-payments system.
A recent survey of 1,500 bank customers by the Australian Financial Review found that almost two-thirds of those surveyed had lost money at one of their banks due to the financial crash.
Many of these losses are coming on top of the $100 billion they had already been carrying as a result of the collapse in the value of the Australian dollar.
The issue of “tipped” balances is a contentious one, with some arguing that it’s a good idea to take advantage of the fact that banks are generally in a better position than other people to pay back a bad tip.
But the debate has become even more contentious in the wake of the latest bank crisis.
“I’ve never heard of someone getting a ‘tipped’ balance,” one senior bank employee told the newspaper.
“People say, ‘I’m in the best financial position I’ve ever been in’.” But not everyone agrees that tipping is the right approach.
Many bank customers have been calling the ATO asking for advice on how to deal w/t their bank, and many banks are already using the word “tippet” to describe a transaction that has gone awry.
“Some customers are being charged an ‘extra’ amount for a tip that doesn’t actually exist,” one employee told Business Insider.
“That’s a bit of a stretch.”
The employee, who asked to remain anonymous because he was afraid of losing his job, said the issue was starting to become more common in the banking industry.
“It’s not just banks, but the whole industry, is becoming more and more aware of how this is affecting customers.”