Overdraft charges?

[BROKEDED]

The OP doesn't say so, but this scenario sounds like what happened there.

Not quite, but I'll try to make it not too long. I used my bank's Billpay for one utility ($85) on 12/31 with a balance of $1027. I made several purchases and withdrawals up until 01/07 with the intent of eventually closing the account since it COULD BE cross collateralized with my mortgage. I didn't have Billpay set up at my Credit Union yet.

The utility payment didn't actually mail until 01/07. It took until 01/14 until the $85 showed posted for 01/12. I had a balance on 01/11 of $95.

Unfortunately, I simply forgot that the check was still outstanding and made 3 other purchases. The problem comes in when I see the transaction postings

01/11----------------balance $95
01/12 $85 check----- balance $10
01/12 $35 O/D FEE----balance $-25 no no no
01/13 $75 debit-------balance $-100
01/13 $35 O/D FEE----balance $-135
01/14 $35 debit-------balance $-170
01/14 $10 debit-------balance $-180
01/14 $35 O/D FEE----balance $-215
01/14 $35 O/D FEE----balance $-250

Notice where the first Overdraft Fee comes in. I still had a positive balance. So I call the bank. I explain that I goofed up and asked that they be removed. I have had, maybe, 8 overdrafts in three or four events in the 22 years I've been with this bank and they've always been slips that were immediately caught by me and were usually because of money going IN meeting money going OUT.

The bank has ALWAYS removed the charges and thanked me for being a continuing loyal customer.

This time, they tell me they can remove $28 of the $140 unless I want to escalate the call.....ok, sure?! The next person tells me they can remove up to 25%...$35. That's when I noticed the date of the first O/D and called their attention to it and asked that it be removed since it shouldn't be there in the beginning.

The lady refused and tried to explain in circles how things worked. I tried to explain simply that I shouldn't have 4 O/D Fees on 4 debits if I at least had money in the bank for any one of them.

Normally, I persist until I get my way but I simply wanted to be done with it and told the lady if she would remove those two fees, then I would make a deposit that day to satisfy the negative balance. She refused. My attorney suggested that I go to the local branch and talk to the branch manager.

I started to but then said, "Screw it!".

I'm sorry for the long story.

[Dannmcg357]

What she had was "Over Draft Protection" which is basically a loan, so it had to be included as a debt. Perhaps we can reaffirm it? Does the Automatic Stay work both ways or can I start a dialog with the bank? Needless to say we will not be using this CU anylonger.

[AngelinaCat]

Any one have experience with this? My wife had to do this because of the fact that you can't leave a debt off. Can she sill make it right with the bank so they don't report it to Chex Systems?

I can't say what Chex will do, but if your wife wants make it right with the bank, she will need to bring the delinquent account current. At this point it would then be best to close it if there are other accounts--cc, loans, etc--at the same bank. This is because they will cross-collateralize accounts, and will dip into a checking account to bring a delinquent cc or loan account current, leaving your checking account suddenly overdrawn.

The OP doesn't say so, but this scenario sounds like what happened there.

Good luck to you both!

[Dannmcg357]

Not sure but I wouldn't run the risk of being reported to Chex Systems.

Any one have experience with this? My wife had to do this because of the fact that you can't leave a debt off. Can she sill make it right with the bank so they don't report it to Chex Systems?

[BROKEDED]

I currently am a member of two credit unions and in good standing and will remain so after BK. I may open another account with another CU or bank before BK.

Chex can keep something like that on file for 5 years. I personally don't have an issue with it. At this point I'm more ticked off at a bank that used to have good service but has proven quite difficult to work with lately.

[ROB37LAW]

Not sure but I wouldn't run the risk of being reported to Chex Systems.

[BROKEDED]

Through an accident of my own but aggrevated by some double dealing by the bank, my "former" primary checking account is overdrawn by about $250.

I WAS going to correct this but the bank has been uncooperative. Can I discharge this in chapter 7? Btw......$110 in purchases, $140 in overdraft charges.