Help with credit cards

[tobee43]

well, i really messed up the on line accounts first before i did anything.

i went in and removed all the bank info...checked my email address and then put a "block" on it. i change all the info to blank...and although they had everything already somewhere...there were suppose to report the chances and never did...


then i went to the back and stopped everything and everyone from taking anything out.

[nomore008]

I had to close 2 checking accounts because cc companies would not stop withdrawing from my accounts when I told them to stop. My CU was more helpful in this situation than the bank.

[ccsjoe]

Or you might just walk into Golden1 with a letter saying account info compromised, potential id theft, close account.

[annalynn]

I looked over my accounts and Chase and Citi are the only ones who are auto withdrawing who have also set it up so that I can't cancel or modify the payments.

My brother (a lawyer--but totally different kind of law), says that for them to really be safe in continuing the auto withdrawal--that they need to have my authorization--in writing--with a signature. (which they do not). Otherwise--I am within my rights to stop payment.

So--I am going to take this letter in to the Golden1 tomorrow:

Attention Golden1 Bank Manager:

Chase and Citibank have been improperly using auto-withdrawal on my account. I have not provided either bank with a written authorization to auto-withdraw from my account.

I have sent a letter to each bank requesting that these auto-withdrawals stop.

I want you to be aware that these charges are not authorized.

I also wish to formally stop payment for the auto withdrawals that they have scheduled.

Then I will put a list of the next few months of auto withdraws that are scheduled--with the dates and amounts for both Citi and Chase--and with a corresponding stop payment request for each transaction.

This way--Golden1 has been told in writing to stop payment--and if they allow the auto withdrawal, then I have a complaint against them. If they report me to Chex because there was no money to cover these auto withdrawals--then I have a good case to fight it.

I will also mail a letter to Chase and a letter to Citi--requesting that the auto withdrawals stop.

[ccsjoe]

OK--maybe I should just tell the banks that I have spoken to a lawyer and that I will be filing?

That should stop the collections--even though I haven't actually filed yet. I know that once I DO file, if they try to continue taking money they are in violation. I probably won't actually file for a few weeks--does it hurt anything to tell them a bit ahead of time?

They will ask you for your lawyer's name and number, some will call to verify that there's a retainer relationship and you're not just bluffing.

As far as telling them early, it depends. If you have active relationships (direct deposits haven't shifted over yet, etc), then it can hurt you. You really need to look into specifics and decide whether it will be a positive.

[annalynn]

OK--maybe I should just tell the banks that I have spoken to a lawyer and that I will be filing?

That should stop the collections--even though I haven't actually filed yet. I know that once I DO file, if they try to continue taking money they are in violation. I probably won't actually file for a few weeks--does it hurt anything to tell them a bit ahead of time?

[wnguyen]

thanks guys for this info. I never realized that chexsystems even existed until today.

[sidhesadie]

I think people who have never experienced chexsystems don't realize the nightmare they are about to encounter if they end up in it.
I was luckily able to get the bank to remove me from Chex, due to the personal relationship I had with the banking staff having banked there 15 years.

Otherwise I'd have been on what amounts to a bank no-fly list for FIVE YEARS. no checking account at 95% of banks for the next five years. NIGHTMARE.

[tobee43]

yes, i have heard all sorts of terrible stories....

there is a moral to this story...bank with the "smallest" bank in town...get to KNOW the manager...because if it's a BIG bank they usually are so unpersonal they could care less...while the smaller bank still cares about your business...somewhat.

[ccsjoe]

If an ach/autopay transaction comes through within the 30 days following closing an account some banks (apparently, including mine) will FORCE OPEN the account, run the transaction thus overdrawing your account, then start charging you the overdraft fees.

If you close an account that has autopays set up, WATCH IT CAREFULLY.

This is absolutely correct. In addition to tobee's post about modifying or canceling the autopay info with the cc's.

[tobee43]

I closed an account that had cc auto payments coming out of it, and wasn't able to stop the autopays via the CC website.

i agree...i went to the CC website and removed or replaced all my info...put their email on block and went into my local bank to STOP the payments from coming out.

[sidhesadie]

If you close the account, be very careful.

I closed an account that had cc auto payments coming out of it, and wasn't able to stop the autopays via the CC website.
Because I didn't know what could happen, I didn't say anything about identity theft or the account being compromised, I assumed that simply closing the account would suffice and that the attempted autopay would bounce back as NSF or similar to the cc company.

WRONG.

If an ach/autopay transaction comes through within the 30 days following closing an account some banks (apparently, including mine) will FORCE OPEN the account, run the transaction thus overdrawing your account, then start charging you the overdraft fees.

This happened to me. It was a business account for a business I no longer had, at an address I could no longer recieve mail. I closed the account and went on my merry way. I had NO IDEA the account had been 'forced open' to run an autopay, and therefore didn't know that there were over $600 in continuous overdraft charges on the account. Not until I went to open a new account at a different bank several months later and was told 'no' because I was in chexsystems.

NIGHTMARE.

If you close an account that has autopays set up, WATCH IT CAREFULLY.

[annalynn]

even if my account has been closed my old bank could report it?

[ccsjoe]

The cc companies would not, the banks would to my understanding. Still, you can pull your free chexsystems report and find out for sure.

[wnguyen]

THanks ccsjoe. I got quite a few returned payments before filing and the credit card companies charged me NSF fees. Wonder if they reported those to chexsystems?