Complaint Review: First Union Bank

My husband and I both opened individual checking accounts with First Union. These were separate accounts. None of us were allowed into the other's. We found it convenient to have our accounts in the same bank. Little we knew, how dead wrong!

My husband's fell into a negative balance. First Union conveniently grabbed $250.00 from my account, deposited the money into my husband's and closed his account.
All this WITHOUT notifying either of us!
My account (due to the "unknown to me" withdrawal) starts experiencing bounced checks right and left, and accruing bank charges, a total of 20 @ $29.00 each, I lost $250.00 to my husband's account, plus $105 that I had in my account.

I got a phone call from First Union almost a week later to ask me to deposit money into my negative account which I had no clue I had and was puzzled.
I went to my First Union bank, talked with the head teller: Alice Sprach who tried to figure out what was going on. Strangely the deposit was made A DAY BEFORE the withdrawal from my account which to her seemed impossible technically to do...

Eventhough this lady was supportive, nothing could be undone and First Union was asking me for $475.00 in bank charges, the end results of the damages caused by the initial unauthorized "transfer-deposit".
I also lost over $700 in this mess from cash I add in my account that was used to cover some of the bounced checks plus the companies/stores I had written the checks to that charged me their fee, and the check amount paid in cash. To top it off First Union sent the bill to a collection agency and was put on my credit report as a "write-off debt".

Till now I refuse to pay it. I have written to all the credit companies to explain the above, all I got is a "debt is questioned" kind of comment on my credit report. Every now and then (it's been 5 years now) I get in the mail an offer to payoff that "debt" at a 50% off discount, which I still won't take! I believe First Union was at fault in their procedures, they could have sent me a letter or give me a phone call to let me know what they were about to do. Not only did I ended up paying my husband's bill, but also being penalized for it since the debt is on my credit report, not his!

From my sad experience, I advise you NOT to have two accounts even separated with First Union or perhaps any bank at all? You never know when this could happen to you.
I have now been banking with Southtrust Bank for 4 years and I am happy. Their service/customer service is great, friendly & courteous. Needless to say... my husband's account is in a totally different bank.

Leslie
Largo, Florida