OT - *&*_*+ Overdraft Charges! (Rant)

 I checked my home mail over the weekend (I check my mail about every couple of weeks or so, since I usually don't get much) and found a series of letters in it from my bank (Chase), informing me basically that I became overdrawn on my checking account approximately 10 days ago (not sure how it happened, first time I have done so since college days) ..    They apparently made no attempt to notify me by phone or email (they have both) during that time, but only sent out the snailmail letters ..      

  Quite unfortunately for me, the bank decided to just silently sit back and honor my debit card t/as each time I used my card during that period (approximately 30 times) and, no matter how small the charge (some were less than $10 and the majority less than $20), they hit me with a $35 fee for a "return".   This came to a grand total of over $1,000.00 in return charges. 

  Why in the world did the bank continue to honor my debit card all that time w/o question when I was out of funds?      (actually, I had money in my savings account and a c.d. still, so they probably were "banking" on that fact, no pun intended, for payment of the fees later  )  .  Why did they not attempt to contact me sooner to let me know I was overdrawn and what they were doing?  

   Talking to my 1/2 nephew up in MI later about this nightmare, he informs me that his credit union up there did the same thing to him, using up 1/2 his factory-worker's paycheck in "overdraft fees".  Like with me, he said they had his phone info but never tried to contact him during the time and let him just silently rack up return charges.   They informed him that to avoid problems in the future he could get "overdraft protection", but he declined it when he found out he would still be liable for fees on any overdraft!   

   What in the world is going on with banks these days?   Are they so desperate for money they are stooping to dirty tricks like this to get additional income in these tough times?   

    Anyone who has faced this scenario before or is in the banking biz have any suggestions for what I should do?      I really cant afford to just go w/o $1K right now ..  I have tried calling my "personaol banker" at the local branch, but like always he's "busy with a customer" and never returns my messages. 

   I'm very tempted to do what my dad did in his day (and apparently a lot of people still do today) and that is get a home safe to keep my money in, and hold out just enough cash to pay my bills and in my wallet, using the bank account only to cash checks with and pay a few major bills. 

We had a simalar experience with US Bank last year. I told them to screw off and sue me for the money. Pulled my direct deposit out, and let the fees rack up for about 11 months. Finally, they reduced some of the fees, but I'm still responsible for about $1000 (all overdraft charges). But I'm paying them off in $50 increments. It's a no win (for us) - but I can make it as painful as possible for them to get their money. My credit is already jammed - so I didn't care about that.

Hi ,I would go to the bank and ask to speak to  your banker in person and let  his secreatary  know that you are not going to leave until you get this problem fixed.!!!I did have this happen acouple months ago and my personal banker did help me out. But in most cases they will tell you it is our responsiblity to check our accounts and to make sure we know how much we have in there and yes they did count on the other money you have with them to cover the balance over drawn.I had a serpert savings account  for my surgery . I do believ if that money had not been there they would have not help me .I to have bought a safe and we my hubby and mysafe are goingg back to keeping money at home and to use the bank as you described.I did have to pay back some of the NSF charges but they also dropped some of them or I was going to close my account right then, some times nice doesn't work and you just have to be ugly to a point.

God paul, you're a freaken lawyer, and you can't talk yourself out of some bank fees? want me to come with you? I'll talk the bank out of the money,but I will charge a fee...ROFL.

You need to show up in person, talk to the manager face to face, tell them that you feel that while you should be charged for some of the fees, you feel that it is completely unreasonable for them to expect you to pay the full amount. You should be able to get at least a 500 dollar reduction in the fees (about 1/2, maybe 2/3's if you're really hard ass, threaten to go over the bank manager's head and report the bank to the state's banking commission and BBB).

Here's an example of what some "fast" in person talking will do....

I bought my son a 300 dollar I pod (and didn't buy the "extra warrenty" from best buy).
It stopped allowing him to load up songs
I took it to the apple store which refused to honor their 1 year warrenty because it had a dent in the back which they said voided their warrenty.

After talking to the "repair" person for 10 minutes, and having him tell me for 9 of those 10 minutes that they woudln't do anything to help me, I asked for a manager, and after 2 minutes had them handing me a brand new (well refurbished) I pod...lol. Just don't take no for an answer, there is always a higher decision maker in chain stores and banks; and always things you can do to "pressure' those decision makers to decide in your favor.

Scott

That's probably what I'll end up having to do, Cookieman ..     Except I have a little extra ammo this time ...  Someone on the main forum tipped me off to a class-action lawsuit that is currently going against Wells Fargo Bank for doing the same unscrupulous practice!        Even if my slimmed-down physique and fast-talking don't get 'em, then surely a copy of that lawsuit in hand might just do the trick, no?  

Like Wells Fargo doesn't have a team of lawyers in-house to handle the case?  I will agree that the bank should have contacted you but with the banking industry being so FUBAR'ed compared to just a few years ago courtesy went out with the free toaster when you open an account!  
 
 

You morons that don't open your mail deserve what you get.  Snail mail is the only way businesses have to contact you that gets the monkey off of their back.  If they call, you need not answer and they have no proof of a call unless you answer and they records it.  If you opened your mail in a timely manor your fees would have been about $200 and you could bargain down to probably $100.  Now with a $1,000 bill you will be lucky to get by owing them $400.

As stated above go see a manager in person.  AND START OPENING YOUR MAIL EVERY DAY AFTER ALL YOU ARE AN ADULT NOW!

Handling this in person is the way to go.  Also make sure you actually made the original charge in question. I had a Paypal hacker hit my account for 1100 dollars and it caused the fees. Also look at how they process charges. You can ask for a time stamp See what they do is pay the largest one first to cause the overdraft and then it gets them more fees because they charge for each one of the ones that cause extra

For example all three check came in the same day

Balance 500.00
CHeck 1 100.00
check 2     150.00
Check3   450.00

They will pay Check 3 first and then charge the fees on the other 2. If they had paid the two first then you would have had only 1 overdraft fee.  They also do withdrawals before deposits to increase the fee and cut down.

Finally go and join a credit union. They are much stabler and less fee happy. They would have called you.

Very good idea, Snicks ..   

  btw, the process you mention is called "prioritizing" and is exactly the "unfair trade/banking practice" that got Wells Fargo Bank in trouble recently ..  In doing that with their depositors, WF maximized the opportunity for them to zap a customer for overdraft fees each day and for each succeeding check!     WF is now battling a class-action lawsuit as a result ..