Bank Of America--- Fees On Pending Transactions... even after deposit made to bring current= Fees charged 2 days later? Charlotte North Carolina
Since May 14, 2009, my checking account was charged $315 in over draft fees. I understand that the first time I overdrafted and was charged $70.00 in fees it was my fault, and I left it alone. The second time between 6/8/09+6/10/09 I checked and re-checked the balance before making transactions over the weekend. Apparently deposits that I had set up to be made via Paypal took several days to post (I find this amusing as well having made many Paypal deposits to my BofA accts in the past it normally wouldnt take 3-5 days for them to post; its like they are posting the deposits at their leisure to ensure that they can take advantage of someone) and other transactions that I saw online as
PENDING" with available funds in my acct on their automated phone system apparently were not correct amounts (this information was given to me by several representatives- that I should use the online account information or the Automated phone system as tools to prevent overdrafting my account; but when I question why I keep showing available funds as well as "PENDING" not "POSTED" transactions, I was then told by their reps that the information I see online or hear over their automated system is not correct so I can't rely on it).
Once I found the account to be overdrawn on 6/9 I immediately deposited $60 before the pending transactions posted (which based on my reciept from the deposit showed that I had $7.29 available). When I came back to check my account online the next day 6/10, I see my $60 deposit has been eaten up by fees (as well as an additional deposit that posted for $80.42) and I again am showing a negative balance.
At this point I have no more cash to deposit and wait until the following morning for my paycheck to post before I called their customer service line and spoke to a rep. named Tim who was kind enough to attempt to refund 1-2 of those fees; but felt I may have better luck speaking with someone higher than him to have them all waived after I explained my situation. I then spoke to a Team Leader named Tracy and a Supervisor named Derek, who advised me that the policy to waive fees changed since speaking with Tim??? and NOTHING AT ALL COULD BE REMOVED (So my question was, Is the offer to remove fees is based on personal preference?).
I have deposited a total of $1394.65 in my account within the past 4 days to make sure I had all "pending" transactions were covered and I am still racking up overdraft fees as of yesterday 6/10/09. I had according to BofA a total of 6 items posted- which were "PENDING" according to their website/automated phone system... they charged me six fees a day after I made a deposit to bring it positive, for the six pending (NOT YET AT THAT TIME POSTED TRANSACTIONS). Then 2 days later an additional $35 fee was added... So from 6/9 when these transactions were pending (according to BofA posted- because they claim they were pending 6/8) to 6/10 (a total of 2 days) another fee was added why??? According to the Pop up link on the fee their system says :
Please note: If your account has a negative balance for 5 consecutive business days, you will receive an additional one-time Extended Overdrawn Balance Charge of $35 on the sixth day. So why was I charged another fee?
The system claims it is from overdraft item on 6/9??? I had a $5.45 transaction that at that time was pending, when the $60 deposit was made on 6/9, I had $7.26 in available funds (I have the ATM reciept to show this). I find it funny how the layout of the transactions keeps changing on their website. Like they post stuff in any order- but then refer you back to their website to check you balance and avoid going over.
They say one thing; check the website as a tool to help w/ the account. Then they say you cant rely on that information (even though the charges are "PENDING" and showing having already been deducted from the balance)--- so DO THEY WANT US TO USE THEIR "TOOLS" OR NOT BECAUSE THEY REFER US TO THE WEBSITE AND THE AUTOMATED PHONE SYSTEM FOR BALANCE INFORMATION- THEN THEY SAY NOT TO RELY ON THAT INFORMATION BECAUSE IT ISNT ACCURATE???
Bank of America has received my last penny. I am moving all funds/direct deposits, etc. to My Credit Union. Atleast they arent trying to rip off someone who is already living check to check- just so they can make a buck
Michelle
Woodford, Virginia
U.S.A.
Click here to read other Rip Off Reports on Bank of America
4 Updates & Rebuttals
Purplenights
Phoenix,Arizona,
U.S.A.
Yes, You SHOULD Go To A Credit Union
#5Consumer Comment
Sat, June 13, 2009
Jim is wrong. A credit union is the best place to put your money. I belong to one, and it is the BEST thing I ever did for myself. You will not find these scam practices, like the "pending overdraft fee" at a credit union. You will also not find your debits rearranged--at my credit union, they are all paid in the order they are received, not by the amount. At my credit union, overdrafts are only $18 each, and each account comes with "overdraft Privilege", which will pay your overdrafts and it costs NOTHING (No fees, No interest)to use, if you bring your account current within 30 days. Plus, at my credit union, you can have one overdraft per billing cycle, and they will not charge the overdraft fee for that. I have also deposited out of state checks drawn on small local banks in significant sums that have never been subject to "holds", and the funds were made available to me immediately. Remember, at a credit union, you are a member, and a shareholder. In other words, you have a voting stake in the operations of the credit union. The people who run the credit unions are people just like yourself, who have created the credit union as a better option to big corporate banks. If you need help with your account, you canactually go in and talk to someone who will sit down with you to help you resolve your problem, unlike the big banks who will tell you "it's all written in your disclosures". Yes, the fees are MUCH less, and and if you need to take out a loan, it is easier to qualify, and their interest rates are much less. Do yourself a favor, and go talk to the credit union near you. I think you will find it meets your needs much better, and find the operations of the credit union more straight forward. I think it is amazing that the credit unions have taken NO government money, yet continue to be profitable and sound institutions that do not have to rip the customer off in order to maintain financial stability.
Robert
Buffalo,New York,
U.S.A.
How to avoid OD/NSF fees.
#5Consumer Suggestion
Sat, June 13, 2009
Using an account register and reconciling that register with a monthly account statement from the bank will prevent any account holder from causing any NSF/OD fees.
The majority (if not all) of the reports I've read about NSF/OD fees have common behaviors of the account holders:
using atm cards for everyday purchases.
using more than ONE card attached to the account (husband and wife)
using atm cards for online purchases.
using atm cards for 'auto-bill pay' (autodebits)
relying upon telephone or online account balances to determine what money is available for that shopping trip to Walmart.
*NOT using an account register.
*not reconciling an account register with the scheduled monthly account statement generated by the bank.
Ways to avoid these NSF/OD fees:
1. Use an account register and reconcile the account register with a monthly written statement generated by the bank. If the bank is not mailing statements, contact customer service to have monthly statements MAILED to you.
1a. Be aware of ATM fees, such as the 'non-bank ATM fee' that most banks charge when you use an ATM that is not owned by your bank to make a withdrawal and post that fee in your account register immediately.
1b. Also be aware of any monthly 'account service fee' charged by your bank and post that to your register on the appropriate date.
2. Do NOT GIVE bank account information (or ATM card info) to any merchant, service provider, utility, online service to pay for services and goods. Use a REAL credit card for this purpose (either secured cc or unsecured cc.) Do not setup any automatic deposit to an account that is attached to said cc-NO auto payments to CC company-mail a check each month. If the entity demanding payment makes a mistake, you're gonna have a host of problems and risk OD/NSF fees.
3. Do NOT use an ATM card for everyday expenses-USE CASH. Establish a monthly budget and withdrawal a weekly 'allowance' for every day expenses such as 'milk and bread' from the corner store, Burger King, etc. This will reduce the amount of transactions on the bank account which in turn makes RECONCILING the account and detecting ERRORS easier to accomplish. Again, if the entity demanding payment makes a mistake, you're gonna risk NSF/OD fees.
4. Do not shop with the ATM card-use a real credit card. A real credit card offers protections that you don't have with an ATM card. If the merchant/service makes a mistake, you can dispute it with the CC company WITHOUT getting any OD/NSF. Not true if you use an ATM card-if the merchant makes a mistake, your money is gone until you can convince your bank to give it back, as well as OD/NSF fees.
5. ONLY ONE ATM CARD to one account. Do NOT have 2 or more atm cards for one bank account. Having 'his and hers' ATM cards attached to the same account is the same as in the old days when some folks would have 2 checkbooks for writing checks. It was an invitation to disaster then, and it is today.
6. Verify that deposits to the account have actually cleared. Deposits can take anywhere between 1 and 5 BUSINESS days to clear depending on the type and/or source of the deposit.
The Federal Reserve publishes a Consumer Compliance Handbook which gives detailed information about what banks can and cannot do with deposits, holds, and funds availability. You can download this handbook at http://www.federalreserve.gov/boarddocs/supmanual/cch/200711/cch200711.pdf
Follow ALL of these suggestions and you will NEVER pay an OD/NSF fee again unless it is a LEGITIMATE bank error, and then the bank will gladly and quickly rectify the situation and credit any fees generated as well as contact payees and cover any fees the payees assess to you.
This is a tried and true method to avoid these fees. It works EVERY TIME it's tried.
Jim
Anaheim,California,
U.S.A.
I Wouldn't Move to a Credit Union
#5Consumer Comment
Sat, June 13, 2009
Michelle, if you plan to keep your account in the same manner as you did at the bank, the credit union will not help you. Credit Unions have less in services than a bank will - some portions of a CU are cheaper, but you'll overdraft your account the same exact way there as you would at your bank. Since CU's don't get a bailout from anyone, they've raised fees to come close to what a bank would normally charge you.
Banks, credit unions...all the same.
Ken
Randolph,Massachusetts,
U.S.A.
Before you open a new account
#5Consumer Comment
Fri, June 12, 2009
Please sit down with someone and have them explain to you how the system works, or else you will have the same problems no matter where you go. As BoA told you, you cannot depend on an online balance, it is just a tool to help you balance your register. There are too many variables for it ever to be accurate, at any bank.
There is no need to ever pay an overdraft fee, but it requires some care and responsibility on your part.