$1 overdraft... (stupid bank)

[GMOGreg]

Once every six months? I've never heard of any financial institution that only sent out statements twice a year...

 

 

It may not have been every 6 months but I know it was more than every three months as I had another account (with a bank that was were I lived) and I got those statements more often. I just remember that I had lost about $40 or $50 in one statement. Maybe it was every 4 months?

[Zeromus-X]

 

Another trick banks use: You have ten dollars in your account. You write a check for five dollars, then a check for twenty dollars. Both of them arrive at the bank on the same business day. The bank will try to fund the twenty dollar check first, causing it to bounce (a $35 overdraft profit for them), and fund the five dollar check second, causing it to bounce as well. They could've cleared the five dollar check and then bounced only the twenty dollar one, but that would only net them one overdraft fee instead of two. They do this routinely.

 

 

Branch Banking & Trust (usually just known as BB&T) uses this technique: they process all the day's transactions at the same time. If at the end of the day you are negative, all the transactions for the day are considered to be overdrawn. They also process everything from the weekend with Monday's business.

 

This can be good if you know it's coming and can make a quick deposit, since cash deposits are credited the same day, and checks before 2 are same day. But if you don't know it's coming, it sucks.

 

I had one horrible experience with them -- when my weekend debit card transactions were processed, I went over. Completely my fault, but because the transactions were for Saturday, Sunday, and Monday, it meant I had about twenty things go through at a $35 fee each. In reality I was only a few bucks over, but ended up with nearly $700 in fees that they wouldn't reverse. I signed the contract and I knew it was my fault, though, so what can you do? If they won't back off... gotta pay it. I immediately set up a "Constant Credit" accout with them, which gives you a $1000 "credit line" to use against overdrafts that only costs $5 to access... much better than $35. The interest rate is really high (like 26%) to keep you from just using it like a credit card.

[t3ch]

Branch Banking & Trust (usually just known as BB&T) uses this technique: they process all the day's transactions at the same time. If at the end of the day you are negative, all the transactions for the day are considered to be overdrawn. They also process everything from the weekend with Monday's business. This can be good if you know it's coming and can make a quick deposit, since cash deposits are credited the same day, and checks before 2 are same day. But if you don't know it's coming, it sucks. I had one horrible experience with them -- when my weekend debit card transactions were processed, I went over. Completely my fault, but because the transactions were for Saturday, Sunday, and Monday, it meant I had about twenty things go through at a $35 fee each. In reality I was only a few bucks over, but ended up with nearly $700 in fees that they wouldn't reverse. I signed the contract and I knew it was my fault, though, so what can you do? If they won't back off... gotta pay it. I immediately set up a "Constant Credit" accout with them, which gives you a $1000 "credit line" to use against overdrafts that only costs $5 to access... much better than $35. The interest rate is really high (like 26%) to keep you from just using it like a credit card.

 

 

{censored} that. After that fiasco I would've asked to have every penny withdrawn and to close the account.

[willsellout]

{censored} that. After that fiasco I would've asked to have every penny withdrawn and to close the account.

 

 

Yeah well if you don't have anything in there...the banks won't really care.

 

My thoughts on this are pure and simple: Keep a better budget. Don't complain about the bank because you planned poorly.

[ToeJamFootball]

I don't get charged if I overdraft. As long as I pay it within a certain amount of time.

[Zeromus-X]

{censored} that. After that fiasco I would've asked to have every penny withdrawn and to close the account.

 

"{censored} you guys and give me my negative $700 back!"

 

Doesn't work quite well that way. Besides, they have a branch right next door to where I work, they had a branch at my school's campus, and they have a branch right before I get into Atlantic City the way I go. They work out perfectly for me.

 

As long as I don't spend what I don't have, that is.

[beam]

Another good strategy is to not write checks for more money then you have in your account.

 

 

Kinda what I was thinking as well.

I've had it happen, and it sucks...but I wouldn't really be upset with the bank as much as myself.

[johnnybassman]

and the bank charges me $29 :mad: those bastages:mad: :mad: and it all happend because they chose to process a payment before a deposit that i made on the same day:mad: :mad: why they gotta be that way /rant

My bank does this as well. I called them to the carpet on it last week in fact. They did nothing about it.

[burdizzos]

I find that keeping more in my account than I spend is a good strategy.

 

By "more" I mean a whole lot more so it doesn't require a calculator to figure out if my $55.37 bar tab is going to push me into the red.

 

Honestly, how hard is it to carry a $500 balance in checking?

[Zeromus-X]

 

I find that keeping more in my account than I spend is a good strategy. By "more" I mean a whole lot more so it doesn't require a calculator to figure out if my $55.37 bar tab is going to push me into the red. Honestly, how hard is it to carry a $500 balance in checking?

 

 

Well, I dunno about $500... but as long as there's $100 or so in there, I know not to spend more than $100!

 

$500 is almost two weeks' pay for me. Yaaay college degree.

[ec437]

Branch Banking & Trust (usually just known as BB&T) uses this technique: they process all the day's transactions at the same time. If at the end of the day you are negative, all the transactions for the day are considered to be overdrawn. They also process everything from the weekend with Monday's business. This can be good if you know it's coming and can make a quick deposit, since cash deposits are credited the same day, and checks before 2 are same day. But if you don't know it's coming, it sucks. I had one horrible experience with them -- when my weekend debit card transactions were processed, I went over. Completely my fault, but because the transactions were for Saturday, Sunday, and Monday, it meant I had about twenty things go through at a $35 fee each. In reality I was only a few bucks over, but ended up with nearly $700 in fees that they wouldn't reverse. I signed the contract and I knew it was my fault, though, so what can you do? If they won't back off... gotta pay it. I immediately set up a "Constant Credit" accout with them, which gives you a $1000 "credit line" to use against overdrafts that only costs $5 to access... much better than $35. The interest rate is really high (like 26%) to keep you from just using it like a credit card.

 

 

$700? Yeah I would've been gone from that bank immediately.

[RSBro]

$29?
You got out quick.
Mine's $39 and I know people's who are $49 for any overdraft.

Gay.

[scabby goiter]

I find that keeping more in my account than I spend is a good strategy. By "more" I mean a whole lot more so it doesn't require a calculator to figure out if my $55.37 bar tab is going to push me into the red. Honestly, how hard is it to carry a $500 balance in checking?

as someone who was a personal banker i can tell you another good strategy...


balance your check book

seriously, i was "the guy" that you talked to if you had overdrafts and wanted the charges reversed. if you could show me that you had an up to date checkbook and it was a one time deal i would reverse all or some of the charges but if you were one of those, "well, i thought there was money in there..." people, i had little sympathy for you. i had people who would visit me every month who wanted their overdrafts reversed. i would look on their history and see that they'd had charges reversed in the past but there are some people who just can't keep their {censored} together. i saw one guy pay more than $1000 in overdraft fees over the coarse of a year. that doesn't inlcude the fees we reversed.

people don't like it but one of the ways banks make money is because people are dumb. know your account and know your banks fee schedule. if it's too much trouble to be "that" involved in your account then you probably deserve the kick in the pants once in awhile

[King Kashue]

if you could show me that you had an up to date checkbook and it was a one time deal i would reverse all or some of the charges

That'd be difficult for me, since my "check book register" is a program on my computer

[baracuda2004]

Yeah my sis borrowed $92.50 for her electric bill once and told me that my dad had deposited the $92.50 back in my account; bitch lied and only told him it was $50 so I went on spending $1/$2/$3 here and there at convenience stores for cokes and whatnot. When it was all said and done I owed like $587. I was so pissed. My mom paid it off and blamed it on me being irresponsible like 6 months even though I told her it was my lyin' ass sister that cause it. Till my sister spoke up out of nowhere. Even then my mom didn't appologize to me.. she just said that my sister needed the money bad and I should have had more money saved up anyways. OMFG!!!! That was like 3 years ago and i'm still gettting pissed about it typing it right now.

[Thumper]

Another way to avoid overdraft charges is by managing your finances so that a $1 overdraft doesn't cost an arm and a leg. If you're getting close to the bottom of the piggy bank, hold off on buying anything.

My two cents.

[King Kashue]

Another way to avoid overdraft charges is by managing your finances so that a $1 overdraft doesn't cost an arm and a leg. If you're getting close to the bottom of the piggy bank, hold off on buying anything. My two cents.

 

 

"Paying the electric Bill" or "Buying groceries" doesn't really count as "buying stuff"...

 

There are people in financial trouble who aren't there because they purchased a big screen TV every month...

[J.]

Don't be foolish, KK. Poor people are only poor because they're lazy and don't work hard enough. Every single person in the United States has the same opportunity to become tremendously wealthy if they want to. Poverty is only the result of poor decision making and idleness.

[t3ch]

So you're telling me you would've been perfectly ok with them screwing you over like that will and zero? I understand on one side of that coin, yes, better planning should have taken place. On the other side however, it was a typical underhanded trick for a bank to use and to go that ridiculous into charges and to be that uncaring to their customer, that's pretty outrageous.

 

Again, some banks care, some just want your money. With that type of customer service, regardless of contracts signed etc, I wouldn't go back. That's why I left bank of america, I Got tired of them dicking me around. I've been with my two credit unions for years and could not be happier.

 

No, I haven't overdrawn in years. And no, it wasn't really a problem to begin with.

[The Real MC]

My Credit Union has been great. Free checking, low interest loans, low interest no-annual-fee credit cards. Many of them accept non-company members.

The few years I was with a bank, they nickeled and dimed me to death. If you read their policy you will find ridiculous fee rates for ridiculous situations. They have roughly three times the fees that CUs have. Banks will never see another nickel of my money again. It is rude service to their customers, especially with the pittance interest rate on savings accounts these days. I remember when they used to be 6%, now you're lucky to break 2%. Combined with predatory Credit account interest and fees and you have to report interest income but cannot deduct credit interest, it's a small wonder that Americans have trouble keeping any money in savings.

[allan grossman]

 

$500 is almost two weeks' pay for me. Yaaay college degree.

 

 

Yup.

[Synonym Music]

people don't like it but one of the ways banks make money is because people are dumb.

 

 

While overdrafts are not the bank's fault (usually, though not always), they flagrantly overcharge. All the same, they're more than entitled to do it.

 

It's a business, they need money. Bottom line.... They rely on overdrafts.

[beam]

They rely on overdrafts.

 

 

I'm sure that's part of it; though I'd imagine they make more with how they invest the money I choose to keep with them, rather than when they dock someone for going a bit over

[RyCLB]

I'm sure that's part of it; though I'd imagine they make more with how they invest the money I choose to keep with them, rather than when they dock someone for going a bit over

True on the investment bit, but I know for a fact that a pretty large bank here in Colorado rakes in around $7 million a year solely from overdraft charges. That's a hell of a lot of money for doing absolutely nothing. Also, if you look at it from a legal point of view, if a bank's overdraft charges were terribly flagrant, they'd be in violation of usury laws - something I'm sure they'd want to avoid at all costs.

Simple solution: don't overdraw your bank account.

[Synonym Music]

I'm sure that's part of it; though I'd imagine they make more with how they invest the money I choose to keep with them, rather than when they dock someone for going a bit over

 

 

It's a significant source of income nonetheless. Better to cover a charge and slam a fee than refuse money altogether. There's no dough in that.