Bank Problem - please help

[MayMom]

My husband made a $2100.00 deposit yesterday morning at 11 am. I guess before he made the deposit that morning 3 checks came through and we were charged $75.00 in overdraft charges. The thing is - I thought that if the money was deposited before 1pm then they don't charge. Anyway DH is WAY mad and we are going to change banks. Who do you bank with and are you happy with them? I would like to find a bank that doesn't look for reasons to overcharge me! Are there banks out there that will take the $ from our savings if this happens and NOT charge us the silly fees?

 

[Disneyglobegirl]

Not sure you want to hear this but I use to work at a bank and the only sure way to make sure that you do not bounce a check is to make sure that the money is in the account before writting the check. The checks they paid or returned that morning tried to clear your account the day before. Now adays there really is no such thing as a float period ( being able to write a check before depositing the funds) many checks can and do clear the same day you write them. Sorry you had a problem.

Most banks do offer overdraft protection by linking your savings acct or a line of credit to your checking account. And yes they can charge a fee if they have to transfer funds for an overdraft but the fee will be much lower then the overdraft fee.

 

[dhuba]

I know there are some banks that provide overdraft protection. I am not sure how it works, because I never felt the need to have it.

 

[goofyforlife]

Sorry to say but most every bank charges for overdrafts.....

To avoid the problem in the future, I would suggest have an overdraft account tied to your checking. (either a savings account with some money in it or most banks have a line of credit that can be used)

Your deposit while made before 1pm does not clear the bank until proof is processed (that evening). I once had some checks clear before my paycheck was posted (same day like your case) and got pinched by those fees.....I haven't had to use the overdraft yet but have had it ever since.

 

[gemjoy]

We have overdraft protection on our checking acct. ~ If the acct. is overdrawn - they just move it over from savings. I've never had this happen ~ but it's nice knowing that if something happens we're covered

 

[christinadei]

Most banks do provide overdraft protection, but you have to sign up for it. My guess is that your bank does too. Ask them about it. Also, ask them to waive the fees. A lot of times they will, as long as you dont do it often. My bank did that the other day for me. It was the same situation, but it was an automatic draft from my account and I put money in later the same day. They waved the $40 in fees when I asked them to.

 

[mrsmagic]

Try asking your bank if they will reverse the charges, and ask about overdraft protection at the same time. It doesn't hurt to ask!

 

[Focusdude]

As another poster had previously stated, there is really no "float" time at all anymore! Also - things (at my banks anyway!) post at different times during the day - they used to just post after midnight.

If we feel that it is going to be close - with an automatic withdrawl or a bill being due - we don't deposit checks - we cash them, and deposit them as cash - which posts immediately.

The fees are outrageous!!

 

[HaleyB]

I would go to a Credit Union. If you have a University in your town they will almost always have a Credit Union and now a days most anyone can join one. Also you need to set up overdraft protection on your checking account by linking a savings account to it.

Last of all, I would go in and talk to the bank. They do have the power to reverse those charges or reduce them. Be calm and nice about asking and you never know (they can't charge you more for asking- right), they don't want you to move to another bank... so mention that you are thinking about it.

 

[Disneefun]

Can't help you with a new bank, but I had something like this happen once at my old bank. What I did was went to the bank and very humbly explained the situation and asked if the charges could be removed. I argued that since it happened on the same "business day" (as all transactions were done before the 2:00 cutoff that marks the next day's busness) that maybe the charges could be waived because it was a sequencing problem, not exactly a lack of funds problem. I was super nice to the woman and exaplained that nothing like this had ever happened to me before. I was a good cusomter who just happened to have one thing go wrong!!! The lady agreed to remove the overdraft fees, but explained that if it ever happened again, she couldn't do it. I thanked her profusely and left. My point is, can you try going into the bank, in a non-agressive manner and just asking nicely that they waive the charges just this once? It might not work, but it might be worth a try.

BTW, my credit union will take money from your savings free of charge to prevent overdraft charges, but only once per quarter (maybe month, I'm not sure). Any more than that and they'll still take the money from your savings to cover the check and protect you from the merchants returned check fee, but the CU will levy a fee for the service (but it's relatively small).

 

[MayMom]

Thanks for the replies - we have never had this happen before in the 7 years that we have been married! My husband is going to try to call and talk to the bank presiident. I have spoken to some people here at school and they say that there are many banks out there that do not charge for this obvious mistake. I would think that would be a very good reason to use one bank over another....
I just hate the thought of having to transfer all of our bank business to another location....with direct deposits, christmas clubs, automatic payments UGH!!!

 

[nowellsl]

I wouldn't change banks - go down and sign up for overdraft protection. They can either take it out of your savings or link it to a credit card. It really isn't the banks fault - you didn't have the money in the account soon enough.

 

[Chicago526]

My bank is a local bank, in fact it has only one location! Even though we've moved two towns away, we still bank there (we are able to because they have online and telephone banking, and we don't have to deposit checks too often). The reason? Great customer service! For example, my bank will NOT charge overdraft fees as long as you deposit money to the account the same day the check or withdrawl clears the account. Not that I do that too often to begin with, but I've goofed on occasion and it has happened. They also only charge one fee regardless of how many overdrafts you make on a single day. Not that I've tested it, but according to the teller, if I had three over drafts on Monday and two more on Tuesday (5 overdrafts total), they'd only charge me two fees, one for each day, and not five. They also do not charge ATM fees when I use my ATM card at another banks ATM, since they don't have any ATM's other than the one in the drive-thru, their reasoning is that it is WRONG to charge us! So, if I use the ATM at work, I only get charged the fee from the ATM's bank, and not both!

All that said, I agree with the other posters. Unless you have the money in the account, don't write the check and also add overdraft protection if your bank offers it. About the closest that I come is the rare occasion that I mail a check (I use online bill pay for most things), I might mail it a day or two before I have the money, counting on the US Mail not to deliver it before they receive my payment. By the time the check clears, the money is in the bank. But that's few and far between, and the odds of the US Mail getting my payment accross several states in only 1 day is slim to none!

 

[lwestwise]

Don't know about all Credit Unions, but our will transfer the funds from our savings to cover at no cost up to 6 transfers a month.
Also, will cover any check up to $250. a check upto $500. a period. They do charge $27.50 for each check. Check out the credit unions near you.

 

[adisneymama]

There is a new federal law now. There is not a float time anymore. When you write a check now and it is put thru the scanner at Walmart or such, it is already taken out of your acct. It is the check 21 rule. If the money is not there when that is run thru the check will cause an overdraft fee. Even if you put money in the same day before 2. This won't change if you go to another bank. All banks have this rule now. You can look it up on the net for more info. I agree to set it up for overdraft protection. Your bank may waive these fees one time if you ask them. Also, on a side note, there is a limit to how many times money can be transfered from your savings acct as well. If you exceed that limit the bank will have to close your savings acct. This is again a federal rule and not the banks rule. Good luck to you!

 

[PrincessKitty]

Just pick up the phone and call the bank--they will most likely cancel the overdraft charge if you tell them nicely what happened. Then sign up for overdraft protection!

 

[tlbwriter]

Thanks for the replies - we have never had this happen before in the 7 years that we have been married! My husband is going to try to call and talk to the bank presiident.

It's not necessary to talk to the president, and it might actually do more harm than good (can make you look demanding). Instead, just call their customer service department. If they tell you they can't waive the charges, politely say "I understand you don't have the authority, so could I please speak to a supervisor?" Eventually you'll get to someone with decision-making power.

 

[ladysoleil]

Call and be nice about it. This happened to me once and since I'd had the account for seven years with not a single overdraft or problem, they immediately removed the charges.

Unfortunately, this is not so much the bank's doing as it is the effect of the new Check 21 laws. The way that electronic payments are now processed under the new law is why this happened. Most banks know that there will sometimes be problems as customers get used to the new(er) system and will probably cut you a break, but moving your account isn't going to stop this from happening in the future, unfortunately.

 

[MayMom]

We live in a tiny town. There is only a bank "president" and a couple of tellers. He is probably the only one that can cancel the charges. I wasn't trying to be a big shot and that is exactly what I sounded like!

I appreciate all the replies. As I have stated -I am new to this problem - it hasn't happened to us, so I know that money needs to be in the account and there is no float time.... thanks! There was money in the account - $2100.00 it just got there 1 hour late. I just would like a little more customer service from my bank, I guess.