chapter 13

[buckaroo]

Chrges are not the result of any nsf checks stricly service charges for the account that was inactive for over one year. I should have formally closed account but assumed the bank would have due to inactivity. This bank BOA was included in my chapter 13 since I had a credit card with the bank. I would have thought when they received notice of my bankruptcy they would have automatically closed the account but guess i was wrong. I know owe them $200 for the service charges which they have turned over to a 3rd party collection agency ER Solutions. I guess i will have to pay them

[lrprn]

What's the difference? Writing bad checks is what triggers the overdraft loan.

The difference is that with overdraft protection you have a signed unsecured loan agreement with the bank to lend you the money to cover the overdraft if there are insufficient funds in your account for a check to clear. Interest is paid on the amount you are loaned every month if you don't pay the money back within a specified time.

Bouncing a check without overdraft protection causes overdraft fees - entirely different in the eyes of the bank.

[$$only4ever]

Many banks charge a monthly service fee. Unfortunately, because you did not close the account, they have accrued. As a suggestion, I would explain what happened to the collection agency, ( I am pretty sure that the bank has closed the account) and see if they would take a percentage of the fees and call it a day.

Banks love their fees and charges, so I don't forsee them getting waived, but you might be able to make a deal with them. The worst that they can say is no. Good Luck.

[truckerswife]

I think that the "asker" is refering to bank charges for 0 balance in account this whole time. Most banks offer free checking if you keep a certain balance, otherwise there is a fee. Granny, you can also use an overdraft as a loan. We had to call and activate ours, for $2500.00. This was an actual loan that got deposited into our checking account and we pay back monthly. As we pay it back the non interest part of the payment becomes available again. Just like a credit card.

[JollyGG]

checking account was not overdrawn. No bad checks were written on the account, the charges represent checking account fees since i filed chapter 13 back in April 2006.
The collection agency is after me for these charges which total approximately $200, guess i will have to pay since i screwed up by not formally closing the checking account which i have since done,

Frustrating that your bank charged you overdraft fees for checks sent back on an account that obviously had insufficient funds to cover them. The killing blow....then they sent you to collections besides...wow....

(And thanks for the clearer sentences - this post was much easier to follow - appreciate it! )

I must still be confused. I was reading this that she had not written any checks on the account. It seemed to me that the charges were for banking fees from after she stopped using the account but hadn't closed the account.

What were the fees for?

I think the bank charges are for the monthly account fee that has accumulated, not for returned checks.

I had BofA charge me a fee for an account that had a zero balance, but I caught it and went to the local branch and had them reverse it and then close the account. Apparently, taking the account to a zero balance is not enough to close the account.

Okay, I guess that makes sense. I've never had an account that charged me a monthly account fee.

[Granny]

Frustrating that your bank charged you overdraft fees for checks sent back on an account that obviously had insufficient funds to cover them. The killing blow....then they sent you to collections besides...wow....

(And thanks for the clearer sentences - this post was much easier to follow - appreciate it! )

I think the bank charges are for the monthly account fee that has accumulated, not for returned checks.

I had BofA charge me a fee for an account that had a zero balance, but I caught it and went to the local branch and had them reverse it and then close the account. Apparently, taking the account to a zero balance is not enough to close the account.

[Granny]

Assuming you are speaking of a checking account has overdraft protection that has been used....overdraft protection is just another unsecured loan and should be included on your creditor list. This can be discharged in bankruptcy.

However, a checking account that is overdrawn because you wrote bad checks on it that bounced is an entirely different matter. This is a crime. You can't get rid of this in bankrupcy.

What's the difference? Writing bad checks is what triggers the overdraft loan.

[lrprn]

Frustrating that your bank charged you overdraft fees for checks sent back on an account that obviously had insufficient funds to cover them. The killing blow....then they sent you to collections besides...wow....

(And thanks for the clearer sentences - this post was much easier to follow - appreciate it! )

[buckaroo]

checking account was not overdrawn. No bad checks were written on the account, the charges represent checking account fees since i filed chapter 13 back in April 2006.
The collection agency is after me for these charges which total approximately $200, guess i will have to pay since i screwed up by not formally closing the checking account which i have since done,

[CityGirl]

I have that situation. I have an overdrawn checking account but not on purpose. What happens to that? Does a collector come after me?
I thought I had to list all debts with a chapter 13. What if I have to pay that checking account back? I plan on it as soon as I can.

[lrprn]

so you can put a checking account that's negative on the list of creditors?

Assuming you are speaking of a checking account has overdraft protection that has been used....overdraft protection is just another unsecured loan and should be included on your creditor list. This can be discharged in bankruptcy.

However, a checking account that is overdrawn because you wrote bad checks on it that bounced is an entirely different matter. This is a crime. You can't get rid of this in bankrupcy.

[CityGirl]

so you can put a checking account that's negative on the list of creditors?

A question first....was the original creditor listed on your creditor list when you filed?

If the original debt was listed and the original creditor notified that you filed, then no, the collections agency has no right to charge any fees against your account. Tell your lawyer about this contact immediately. He/she will send them a cease and desist letter that will rip them up one side and down the other along with threatening to take them to court for violating the automatic stay by requesting payment during an active bankruptcy. That will be the last you'll hear from them!

[lrprn]

at the time of my filing back in 2006, these charges did not exist, its the bank that has charged service charges on the non active account, checking account that is so when i filed, there was not any charges what the bank has done since account was inactive is putting service charges monthly i have since contacted boa and told them to close this non active checking account

If there are charges on this unused account from after you filed, you owe those charges and need to pay them.

And a gentle suggestion.....buckaroo, it's very difficult to understand posts like this without clear sentences, punctuation, and capitals. Can you please use those in the future? We'll do our best to help you no matter what, but you are likely to get more responses if forum members can easily read and understand your questions quickly. Thanks!

[buckaroo]

at the time of my filing back in 2006, these charges did not exist, its the bank that has charged service charges on the non active account, checking account that is so when i filed, there was not any charges what the bank has done since account was inactive is putting service charges monthly i have since contacted boa and told them to close this non active checking account

[lrprn]

now have received call from 3 rd party collection seems that back has been charging service charges since april 2006, total now approximately 200,00, am i obligated to pay these charges

A question first....was the original creditor listed on your creditor list when you filed?

If the original debt was listed and the original creditor notified that you filed, then no, the collections agency has no right to charge any fees against your account. Tell your lawyer about this contact immediately. He/she will send them a cease and desist letter that will rip them up one side and down the other along with threatening to take them to court for violating the automatic stay by requesting payment during an active bankruptcy. That will be the last you'll hear from them!