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      09-28-2012, 12:36 PM   #16
Rygel XXV
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Drives: 2009 X6 35i Dinan S2
Join Date: Jun 2011
Location: San Francisco Bay Area


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Quote:
Originally Posted by SoCali E90
What's your thoughts on this? I know it's been around for a while in the east coast but now its here on the west coast. For those of you who are part of it, what do you like or dislike about it?
Oh, I am so glad someone asked this question. I've been dying to give my opinion on this.

There are some benefits associated with CPC that make it worthwhile. You probably got the information packet, so no need to go over those. You should know, however, that the real point is for them to start marketing their managed investment accounts to you, and I personally find the associated fees far too high for the level of service offered. I think they do a semi-active management, which means that they look at your account once every six months or a quarter and rebalance it for you. If that sounds like something you can handle on your own, and you're asking why you'd bother paying someone to do that, then you're like me and wouldn't see much point to having them manage your account.

That being said, I would never recommend Chase Bank to anyone except my worst enemy in the hopes that he might get so frustrated with them he keeled over from a brain aneurysm, and in fact last month specifically terminated my CPC account and moved everything except around $50K to my brokerage. Warning: Long story follows.

I have been banking with Chase for around 15 years, starting as a starving student with Washington Mutual until its takeover by Chase. Back in 2005, had a lot of cash sitting around and was approached by their investment advising team. I set an appointment with an advisor, some kid who looked barely my age and loved telling me about how his job allowed him a lot of downtime and "perks." As if to make the point, he interrupted our meeting so he could meet with someone dropping off hockey tickets. Seriously?

Also around that time, I transferred a HELOC to them for my then house (which is now a rental property). There was a lot of equity, so they gave me quite a large credit line. After the market crashed, they cut the line to the same as my balance. Fine, I could understand that, even though it meant my utilization on that line went to 100%. The thing I didn't get is that despite extra payments, they would cut my line every single time to the balance. Again, that's a nasty hit on your credit. Now that the market has come back in my area (Northern California), and since I had more than enough cash to cover the balance of the credit line, and being a CPC client with supposed "preferential treatment," I asked them to either a) raise the credit line, or b) at least stop dropping the limit to my balance. What I got instead was the most rude and condescending lecture from a supposed CPC loan specialist, wherein she actually stated "Chase does not want your HELOC business and would love for you to pay it off." That was the final straw. I made other arrangements and moved my money the next week.

So, my ultimate thought on CPC is if you have no problem with Chase generally, it's a fine program with good benefits, but do your homework before committing to their investment advising team. For me, I'm planning to open an account at my local credit union and plunk my FDIC limit there. Once that happens, I'll happily walk into Chase, pull the cash I have left out, and tell them to kiss my a55 on the way out the door.