Pnc Informative - Corporate safety deposit box & standby LC
PITTSBURGH, PENNSYLVANIA -- Two fatal experiences with PNC - 8.5% fees for a standby letter of credit and drilled locks on safety deposit box. We pulled accounts for both companies.
One of our companies needed a $10,000 standby lc for a foreign manufacturer. They assessed a $350 fee for the LC department. This is a bit high but OK.
Then, the banking and branch side assessed another "commission". Having collected commissions as an M&A investment banker, I know from experience that commissions go to third parties facilitating a transaction. PNC is a principal and the commission is higher than the service fee.
8.5% is a nice interest rate for use of their money for a year. This is clearly excessive for a fully cash collateralized lc. After bugging them for a month and their saying that they will refund the $500, they refused to approve it at a higher level.
Another company had a safety deposit box at the Craig st. branch in the Oakland section of Pittsburgh. After six years, they drilled the locks for non payment. I did not receive an invoice and I had been in about 6-9 months earlier.
If the rocket scientists had spent 20-30 seconds on these snazzy things called a search engine, they could have located my company, contacted me, and collected the "back rent". We changed addresses several times over six years but PNC made no attempt to contact the firm or inform us that the annual fees were not paid when I visited in person.
BTW, it took four visits to the branch and three telephone calls to collect the corporate property in the safety deposit box. They lost all records of my company's rental for a while.