dslreports logo
site
 
    All Forums Hot Topics Gallery
spc

spacer




how-to block ads


Search Topic:
uniqs
41995
share rss forum feed

hottboiinnc
ME

join:2003-10-15
Cleveland, OH
reply to nunya

Re: What happens when someone has a negative bank account?

you are correct but it takes a HUGE ton of paper work and a TON of money for the banks and companies to go after the person. Normally it's not worth their time and companies won't even bother with it. They'll just write off the check at the end of the year of if they use a 3rd party check company that account gets barred from writing checks at certain stores.

Also in Ohio anything over $500 is a felony when writing/passing bad checks but the person has to be charged with that first and like i said; normally won't happen.
--
www.twopugsbrand.com Kosher, Vegan, and Organic Certified Dog and Cat treats/foods and other products! www.etsy.com/shop/snakx4u/ Organic, Kosher, Gluten Free, Vegan Human Baked Goods

hottboiinnc
ME

join:2003-10-15
Cleveland, OH
reply to 61999674
floating a check you can still do. Just depends on who you are writing the check to, and you can demand and they must honor that they do NOT run that check electroniclly. The policy must be in front of the check writer at all times or must be available to obtain before writing the check. If it is not the person/company accepting the check can get in deep shit.
--
www.twopugsbrand.com Kosher, Vegan, and Organic Certified Dog and Cat treats/foods and other products! www.etsy.com/shop/snakx4u/ Organic, Kosher, Gluten Free, Vegan Human Baked Goods

hottboiinnc
ME

join:2003-10-15
Cleveland, OH
reply to Subaru
banks will still cover the NSF checks and Debit cards. That will never change as that what gets some of those banks their customers; They also get away with it due to it is considered a "loan". One bank that does this is: Woodforest and Woodforest National both are the same bank but different names for their regions of operation. They are based in Texas and are nationwide. Outside of Texas they lease space from Wal-Mart and other major retailers for space to open up.
--
www.twopugsbrand.com Kosher, Vegan, and Organic Certified Dog and Cat treats/foods and other products! www.etsy.com/shop/snakx4u/ Organic, Kosher, Gluten Free, Vegan Human Baked Goods


drew
Radiant
Premium
join:2002-07-10
Port Orchard, WA
kudos:6
reply to wilbilt
I promise you that it was not as simple as that.


Jim Gurd
Premium
join:2000-07-08
Livonia, MI
reply to wilbilt
said by wilbilt:

I could make a cash deposit the first thing in the morning that would easily cover any debits that would post that day, but they always post the debits first, which would create a negative balance,
Cash deposits with a teller are supposed to have immediate availability. Theoretically you should be able to go directly to the ATM and withdraw what you just deposited if it was cash.
--
The Mogambo Guru economic newsletter, an avocational exercise to heap disrespect on those who desperately deserve it.

wolfy339

join:2005-04-30
Edmonds, WA
reply to wilbilt
said by wilbilt:

When Washington Mutual first opened a branch here several years ago, they made a big deal about the fact they post credits before debits. That's where I attempted to open an account and found out Chex Systems said I was a "bad person". I don't know what WaMu's current policy is.
Since WaMu is now part of JP Morgan Chase you would have to check with Chase. (Although now that WMI - WaMu's parent company - is, from atleast one article I have read, coming out of bankruptcy there may be a revival of WaMu. I suspect, though, that said revival is a ways off)
--
Computer: PIII/733, 512MB DDR RAM, ATI Xpert2000, 60&320GB HDDs, Windows XP PRO SP3, KIS 2010 AV/FW, Creative SB Live, Samsung SyncMaster 2443BWX, Verizon DSL 768/128 w/ Westell 6100 C90 & Linksys WRT120N


DannyZ
Gentoo Fanboy
Premium
join:2003-01-29
Erie, PA
reply to hottboiinnc
that's what I said: they stopped waiving the monthly fee a long time ago. which means you can't get out of paying it at all, anymore. they made the switch when all fees were set at $3.
--
Out the 10BaseT, through the modem, down the co-ax, over the fiber, across the backhaul, past the edge router, off the network...nothing but net


KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK
reply to Bobcat79
Happens all the time.

I quit a bank years ago because they pulled that crap. When I was young and living paycheck to paycheck I got so ripped off....

I used to get paid on a Friday afternoon. I'd go by the bank (of course already closed) and deposit my check in the night deposit.

Now, let's say it was Saturday night and I wrote a check at the grocery store. Sometime over the weekend I'd get gas, and write another check. These checks were fairly small. I guess these businesses would also make a deposit after they'd close.

What would happen is Monday morning they'd post those business debits against my account FIRST and then the deposits. Sometimes the account would overdraft by mere pennies. What they did would be return the check to the merchant, charge me a fee often bigger then the check itself, and then mail me a notice warning me that a check had overdrafted and that I had been charged the fee.

So around Wednesday or Thursday I'd get a piece of mail saying I'd bounced a check and been charged a fee. Since I had paid other bills in the meantime I'd know the fees were going to put me negative, So I'd hustle down to the bank and quickly deposit a few bucks I could scrounge up to cover their fees.

Too late.

What would happen is they'd return the check. By the time I got the notice, the business would have redeposited the check. Usually the same day I paid the overdraft fee with a new deposit, the check had already re-overdrafted and bounced again. Rinse, repeat. I'd get the notice and be SO pissed. I didn't make a lot of money and they were bleeding me dry with fees. They ALWAYS processed the checks and their fees first then the deposit. After a couple months of this BS I finally told them to take a flying leap and I went to a CU.

Never had any problems since and now I keep pads in my accounts and carry a line of credit... back then though I was always broke, and when you're low on funds it seems they always find ways to take everything you've got and keep you in a black hole. That debit before credit crap was total BS.
--
"Fascism should more properly be called corporatism because it is the merger of state and corporate power." -- Benito Mussolini


KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK
reply to drew
said by drew:

Now if you legitimately placed a debit transaction at 9AM and made a cash deposit the same day, banks post same-day credits before debits. This has been the case at every bank I've ever heard of or dealt with.
Well, that's not the case with at least 2 banks I've dealt with, and no longer do any business with. Deposit Friday, Check written Sunday, Check clears before Deposit. Fact.

Also, the large transaction first, small transactions last. I've heard of that racket, as well.
--
"Fascism should more properly be called corporatism because it is the merger of state and corporate power." -- Benito Mussolini

nonymous
Premium
join:2003-09-08
Glendale, AZ
said by KrK:

said by drew:

Now if you legitimately placed a debit transaction at 9AM and made a cash deposit the same day, banks post same-day credits before debits. This has been the case at every bank I've ever heard of or dealt with.
Well, that's not the case with at least 2 banks I've dealt with, and no longer do any business with. Deposit Friday, Check written Sunday, Check clears before Deposit. Fact.

Also, the large transaction first, small transactions last. I've heard of that racket, as well.
Yep had that garbage pulled also.


Subaru
1-3-2-4
Premium
join:2001-05-31
Greenwich, CT
kudos:1
reply to wilbilt
said by wilbilt:

said by drew:

Now if you legitimately placed a debit transaction at 9AM and made a cash deposit the same day, banks post same-day credits before debits. This has been the case at every bank I've ever heard of or dealt with.
Not the case with BOA in my recent experience.
\
yeah when I was with BOA they would do debits before credits.. Not sure how that works out with the inset cash in the ATM or the check scanner but I doubt it changed..

When I would wake up in the morning to check my account I would always be expected to be shocked
--
It's NOT Ni-kon It's NE-KON!




LG is NOT Lifes Good It's Lucky Goldstar!



jadinolf
I love you Fred
Premium
join:2005-07-09
Ojai, CA
kudos:8
Reviews:
·DSL EXTREME
reply to stevek1949
said by stevek1949:

said by thegeek:

why can't people just learn to only spend what they make?

This isn't a thread about Congress, is it?
No, Congress spends 10 times what they make. Oh wait....they don't make anything.
--
Printed on 100% recycled bytes


thender
Screen tycoon
Premium
join:2009-01-01
Brooklyn, NY
kudos:1
reply to thender
Just to follow up on it.

I have been persistent in asking my friend to check with BOA. I didn't want him to find out that some clause of his account contract allows a $50/day fee for negative balances or some crazy shit like that, where he'd owe $20k by the time he had to face it.

He tries to log into online banking to see what his negative balance is, and it doesn't work, it doesn't register as an account.

Did they forget about him? He has received no paper mail from them either.

Can I go to BOA tomorrow, open an account, go $700 +/- a few hundred into the red and get away with it?

His credit report, while foul, has no mention of negative BOA standing either!
--
If you're going to repair your own Macbook, benefit from my experiences.


Subaru
1-3-2-4
Premium
join:2001-05-31
Greenwich, CT
kudos:1
If it wont show BOA might of closed the account.


thender
Screen tycoon
Premium
join:2009-01-01
Brooklyn, NY
kudos:1
So they let him go scott free?

No negative report on his credit, no bank account, no collections.

I think I'm going to open myself an account with BOA!
--
If you're going to repair your own Macbook, benefit from my experiences.


Subaru
1-3-2-4
Premium
join:2001-05-31
Greenwich, CT
kudos:1
said by thender:

So they let him go scott free?

No negative report on his credit, no bank account, no collections.

I think I'm going to open myself an account with BOA!
No they wont they will contact a collection agency and they will mail him the amount due.

It takes a few weeks for the mailing to come in.
--
It's NOT Ni-kon It's NE-KON!




LG is NOT Lifes Good It's Lucky Goldstar!


wierdo

join:2001-02-16
Tulsa, OK
reply to nunya
said by nunya:

It could be $75, $100, $500, $1000. Anyway, it's called check fraud (bad checks).
a) It depends on how the account got overdrawn. If, for example, your bank credited you funds on a deposit that had not yet cleared and the deposit was later returned, there would be no hot check writing involved.

b) In states that I'm familiar with, the hot check law only applies to checks that are not paid to the merchant. If the bank paid the check (which they had to to get an overdraft that significant), there is also no violation of criminal law.

This all presumes fraudulent intent can't be proven, of course.

And regarding overdraft protection, if you don't like the fees, get a better bank. $17.25 for a paid item is still expensive, but it's not fracking highway robbery. My bank also processes deposits before withdrawals and when processing checks, picks the smallest items first, so as to reduce the number of NSF fees paid.

I would never use a bank that had a policy of always processing withdrawals before deposits unless I literally had no other option. I'd think really hard about using one that uses strict chronological order, given that there are better options available, but I don't have any fundamental opposition to it, because chronological order is perfectly fair, even if there are banks that process things in a way least likely to cause their customers to incur fees.
--
It's wierdo, not weirdo. Yes, I know that's not the 'proper' spelling of the similar english language word.


nunya
LXI 483
Premium,MVM
join:2000-12-23
O Fallon, MO
kudos:12
Reviews:
·Charter
·voip.ms
·surpasshosting
See my post on P.2 about halfway down defining check fraud. It's actually pretty common sense stuff.
Basically, a thief is a thief. It shouldn't matter who you steal from (bank or merchant), it's still a punishable offense. The dollar amount determines the severity.
They give a "grace period" for people to "make it right". I think it says ten days. After that, they know you intentionally wrote a bad check and have no intent of fixing it.
--
Looks like Reverend Wright got his wish - God Damn America.
Nancy Pelosi - House Minority Leader 2010
Harry Reid - Senate Minority Leader 2010


ctceo
Premium
join:2001-04-26
South Bend, IN
Reviews:
·Virgin Mobile Br..
reply to thender
You get charged more of what they know you don't have any of?

~Gallagher, Stage Comedian
en.wikipedia.org/wiki/Gallagher_···edian%29)
--
»were.boldlygoingnowhere.org if we don't change out ways!


Anonymous_
Anonymous
Premium
join:2004-06-21
127.0.0.1
kudos:2
reply to nunya
over draft protection is a line of credit FYI



thender
Screen tycoon
Premium
join:2009-01-01
Brooklyn, NY
kudos:1
reply to Subaru
I started this thread over two months ago and at that point it had been 2-3 months since the negative balance of about $750.

I think he won.
--
If you're going to repair your own Macbook, benefit from my experiences.


C_
Kill The Socialists
Premium
join:2001-03-19
kudos:3
said by thender:

I started this thread over two months ago and at that point it had been 2-3 months since the negative balance of about $750.

I think he won.
<3 thasp
--
"and no matter how drunk you get .. don't lick the wall socket to test polarity..."


silentlooker
Premium
join:2009-11-01
reply to thender
said by thender:

I started this thread over two months ago and at that point it had been 2-3 months since the negative balance of about $750.

I think he won.
It's possible that bank just written it off as noncollectable bad debt and forgot about it.


thender
Screen tycoon
Premium
join:2009-01-01
Brooklyn, NY
kudos:1
Can I get the same deal?

Write a bad check for $750 and get away with it?

What kind of retarded bank(no offense to my friend if I link him to this thread in the future) would let someone with a credit score in the low 500s have over $700 of overdraft available anyway?
--
If you're going to repair your own Macbook, benefit from my experiences.


silentlooker
Premium
join:2009-11-01
said by thender:

Can I get the same deal?

Write a bad check for $750 and get away with it?

What kind of retarded bank(no offense to my friend if I link him to this thread in the future) would let someone with a credit score in the low 500s have over $700 of overdraft available anyway?
The one that probably will soon be taken over by FDIC.


John K

@conquesthousing.com
reply to silentlooker
quote:
It's possible that bank just written it off as noncollectable bad debt and forgot about it.

I don't understand all that much about these things, but I wonder if the bank might have sold it to a junk debt buyer who the friend hasn't heard from simply because they haven't gotten around to dealing with the account yet. Four or five months is forever in Internet Time, sure, but it doesn't strike me as being all that long a timeframe for debt collectors and the like. It's not uncommon for people to hear from such folks -years- after a debt has been sold off.

After all, they've got seven years to come after you, don't they?

With the economy still in the toilet after after nearly three years, perhaps collection agencies and JDBs are working flat-out nowadays (anyone in the business here?). I don't know how long and how hard you have to squeeze to get blood from a stone, myself, but I'm sure they could tell you.


silentlooker
Premium
join:2009-11-01
said by John K :

quote:
It's possible that bank just written it off as noncollectable bad debt and forgot about it.

I don't understand all that much about these things, but I wonder if the bank might have sold it to a junk debt buyer who the friend hasn't heard from simply because they haven't gotten around to dealing with the account yet. Four or five months is forever in Internet Time, sure, but it doesn't strike me as being all that long a timeframe for debt collectors and the like. It's not uncommon for people to hear from such folks -years- after a debt has been sold off.

After all, they've got seven years to come after you, don't they?

With the economy still in the toilet after after nearly three years, perhaps collection agencies and JDBs are working flat-out nowadays (anyone in the business here?). I don't know how long and how hard you have to squeeze to get blood from a stone, myself, but I'm sure they could tell you.
Actually depending on SOL they might have only as low as 3 years to come after you. The negative report on credit history report stays for 7 years.


Subaru
1-3-2-4
Premium
join:2001-05-31
Greenwich, CT
kudos:1
yeah trust me.. I've had to deal with this with BOA they don't get back to you right away.


John K

@conquesthousing.com
reply to silentlooker
quote:
Actually depending on SOL they might have only as low as 3 years to come after you.

Well then, there you are.

It's entirely possible that the bank -did- biff it and overlook the account somehow. It's just that when I think of the word "bank," I immediately think of the words "greedy" and "rapacious," not "disorganized" and "absent-minded."

(Not in my favor, anyhow. YMMV.)

If the bank, its collection agency pals, and other assorted financial sector lowlifes have 36 months to come after your friend, you might want to tell him that firing his six shooters into the air and yelling "yee-haw!" at the five month mark could be a tad premature.

wierdo

join:2001-02-16
Tulsa, OK
reply to nunya
said by nunya:

See my post on P.2 about halfway down defining check fraud. It's actually pretty common sense stuff.
Basically, a thief is a thief. It shouldn't matter who you steal from (bank or merchant), it's still a punishable offense. The dollar amount determines the severity.
They give a "grace period" for people to "make it right". I think it says ten days. After that, they know you intentionally wrote a bad check and have no intent of fixing it.
It depends on the state. In the one whose law I am familiar with, the bank only has a civil claim against you, like any other bad debt, because the hot check law does not cover them. It only covers merchants.
--
It's wierdo, not weirdo. Yes, I know that's not the 'proper' spelling of the similar english language word.