Do most super-wealthy & rich ppl use regular banks like BOA, Chase etc?

[jadillac]

Or do they use credit unions? Do they spread their wealth across different banks?

 

[Slim]

Many of them will use the same big banks everyone else uses. Chase, Morgan Stanley, etc.

The thing is those branches have "Private Banking/Client" services for high net worth individuals.

Those Private Banking clients will get wealth management, tax advisory, estate planning, and other benefits/products in addition to standard retail services that every day folk get.

 

[Domingo Halliburton]

Or do they use credit unions? Do they spread their wealth across different banks?

For rich people your local credit union cant get done what they need to get done. If youre mega rich can you call your local credit union and get a few million dollar loan in a couple days with your stocks as collateral? No you cant. You gotta call Goldman sachs or someone big.

 

[ORDER_66]

Where else would they put their money??!

 

[AnonymityX1000]

And yes, they definitely have multiple bank accounts with different banks. When looking for credit they can play them against each other for the best interest rate possible.

 

[☑︎#VoteDemocrat]

Inside the Secretive Swiss Bank For the World’s Richest People

10 Checking Accounts the Ultra Rich Use

 

[NZA]

Where else would they put their money??!

offshore banks, brokerage, or in alternative investments

 

[88m3]

I guess it depends on what you're trying to do but the large US banks offer most of the services one can think of now

 

[ORDER_66]

offshore banks, brokerage, or in alternative investments

I mean of course... but their are high tier banks that deals with billions in clients profits and funds... chase, goldman sachs etc etc...

 

[NaijaProdigy Redux]

All of the large institutions have private bank arms that cater to high net worth clients

JPMorgan, for example, requires a minimum of $10 million in assets invested with them to qualify.

You'll get special access to investment opportunities (e.g. early IPO allocation), tax strategies, estate planning, low interest loans, etc.

 

[Domingo Halliburton]

To OP's point there are people who arent worth mega money that will spread their money across different banks so they dont hit the FDIC limits ($250,000). I've seen that but it's rare. Some old people out there still remember the great depression.


At this point in time though I feel like 2008 showed everyone the government will bail out the banks. So that's unnecessarily cautious.

If the FDIC fails it will be mad max territory anyway.

 

[humminbird]

yeah they have special accounts for them
look up JP platinum card
also the morgan stanley platinum account(I think it's called that)

 

[dora_da_destroyer]

Or do they use credit unions? Do they spread their wealth across different banks?

They used private banking at things like Schwab, Morgan Stanley, Goldman, merril lynch, credit suisse, etc. they may keep a few easy access day to day accounts in mainstream banks like Wells Fargo or BofA

 

[chineebai]

If you're just regular rich, say you make 2mil a year, you're using the same banks but you get way better service. I know someone who got a 2.3% 30 year mortgage no points last year by the virtue of having a few mil in the bank. I remember one of my friend worked at north fork bank, I think they're capitol one now but he said some big rapper had like 20 mil in the bank there lol

 

[Geek Nasty]

They negotiate special deals though. Banks will even add features for their business.