Take a Sneak Peek into the World of Private Banking

A private banker is an individual who deals with affluent clients of the bank. In other words, they coddle the wealthy. But, you may be surprised at how "unwealthy" you can be and still get the benefits of having your own private banker. The admission ticket into this world of private banking isn't as expensive as you might think. You don't need millions in the bank. In fact, once your household income reaches $100,000 a year you'll qualify with many private client groups around the country.

Most large banks have a private client group or private wealth group. Each bank has a unique name for their program. But in essence, it's a unit within the bank where the affluent clients are not treated like a number. It's a totally different experience than going to a "regular" bank.

Private Banking Services

Having a private banker is like having your own personal concierge at a fine hotel. With a private banker:

- You have direct contact with a high ranking individual at the bank without going through all of the standard red tape.
- It's no longer necessary to stand in line at the bank...or even go into a branch.
- Holds on checks disappear.
- Daily limits disappear.
- Nuisance fees vanish.
- You're addressed as Mr. or Ms. every time you contact them.
- The bankers make house calls!
- You're approved for higher credit limits easier...faster.
- Documents to sign get couriered to you.
- Your check numbers start wherever you want...not at 0001.
- You receive preferred rates.
- You get free checks.
- Your private banker acts as a liaison between you and all of the other banking departments. That means one phone call and it gets done.
- Their standard "credit requirements" can become more lenient and over time you become what's commonly referred to in the credit scoring world as an "override." In this case it's a good title to have. Your FICO credit scores can be overridden because of your relationship with the bank. That means there's a chance you'll get approved for loans that you may not have traditionally been approved for. If you have a private banker, he may be able to "pull a few strings" in your favor.

Selecting a Private Banker

You may be thinking..."So what's this have to do with me?" You may be closer than you think! As I mentioned earlier, the only requirement with many banks is a household income of $100,000 a year. Other banks require a net worth of $250,000. Some banks have even higher requirements. They're all different. Aspire to have a private banker. Make it your goal. First, figure out how to make $100,000 per year. Maybe it's by being promoted, maybe it's moving to a different job, or maybe it's by starting your own company. Or even better, you begin doing both...having a full-time job and moonlighting.

And if you're currently at that $100,000 income level—what are you waiting for? If you're making $100,000 or more a year, then you should at least start interviewing private bankers. Your income could be all you need to qualify. Simply call the largest banks in your area and inquire if they have a private banking division. If they do, ask what their requirements are when you get them on the telephone. Then sell them on forming a relationship with you. It's all about forming a relationship and what it can become in the future. We're each given the same amount of minutes each day. Its how we decide to invest each of those minutes that determines our bank balance...how quickly we're promoted at work...and how we balance this thing called, "life."

Find good people and stick with them. Along your income journey—look for people who can help make your trip more pleasant. A private banker is one of those people.

Stephen Snyder is the founder of the After Bankruptcy Foundation a non-profit organization that helps people recover bankruptcy. He has helped thousands of people obtain credit-card-after-bankruptcy with a fair interest rate.