Bank fees, really is this legal?

[CONFZD85]

What is the name of your state (only U.S. law)? PA

I was recently charged over $90 in bank fees and was wondering if there were any laws concerning the bank fees.

Here is what happened. I had been running errands for a few days and placed several transactions on my debit card. I keep a running balance in my register and according to my records I had close to $4 in there. I then transferred over $10 from another account to make a small purchase later that day. The transfer was done at 10 am. After I made the purchase my register was balanced and said that I had $5.18 left. The next day my paycheck would be deposited. When I checked my balance the next morning I was negative $25.18! It seems that the bank did not clear the transactions in the order that they were done. They cleared the transaction THEN the transfer of funds. Even though I have a receipt proving that I did not spend that money until after I transfered the funds. My balance being $-25.18 indicates that I did in fact have 5.18 in there. (31 NSF fee minus 5.18 = 25.18) The NSF fee caused 2 other transactions that were pending (and included in my 5.18 tally) to bounce.

The bank will not give me a straight answer as to what really happened. I have talked to 4 people there and received a different story from all 4. I keep getting responses like "the computer will not allow fees to be waived for your account because you have OD protection but did not keep any money in there" Just for the record, The overdraft protecton is a joke because they still charge you $17 to use it and since my account was never really negative I would still be having this same situation.

I have a printout from thier online banking that indicates the balance never dropped below $5.18 until the $31 fee was assesed. I also have brought in my check register and demanded they show me some sort of printout that gives the order these transactions cleared in. Nobody will give me anything of the sort. They say that what they see on thier end is different from what I can see on my online banking but will not provide me with a copy.

Do I have any legal recourse with them? (this is one of those superbanks where you never see or talk to the same person twice)

[Dougthegreat]

Originally Posted by CONFZD85

What is the name of your state (only U.S. law)? PA

I was recently charged over $90 in bank fees and was wondering if there were any laws concerning the bank fees.

Yes; they are allowed to charge you fees, so long as you're notified about them. You know all those pamphlets filled with tiny writing that you immediately discarded when you opened your account? They were meticulously detailed there.

Banks do not necessarily clear transactions in strictly chronological order. This was also in that packet that you apparently did not read.

This happens to a lot of people every year, and banks make money off of it. Your only recourse is to take your business elsewhere. You should also avoid trying to "play pennies" with your account - stop cutting it so close, and the fees will magically evaporate!

[CONFZD85]

You should also avoid trying to "play pennies" with your account - stop cutting it so close, and the fees will magically evaporate!

I just can't see how letting your balance get down to 5 dollars a day before payday is wrong. These banks really must have everyone brainwashed.

If I had $4.82 in my account and I deposited $10 via online transfer (which the bank employees have said more than once is available immediately AND it says so in the little pamphlet with the tiny print). That leaves me with $14.82. Then a few HOURS later I go and put $9.64 on my debit card and that leaves me with $5.18. Why is it legal for them to process the 9.62 transaction before the transfer?

You sound just like the bank. "leave a cushion for yourself" or "keep a register"

I DO keep a register and I should not have to leave a cushion. As long as my balance stays above 0 why am I penalized?

Oh, it's because I'm not giving the bank enough money to play with. Shame on me for not keeping thousands of dollars in an account with them. I'm sure if I did, they would not even think twice about waiving the fees.

It's just not right

Thanks for the solid "advice"

[VeronicaLodge]

all you did via the online transfer was initiate it. the transfer didnt happen until later that day per your agreement with the bank. I would have never done that.

example, i was going to make a payment in full on my credit card. on monday i did an online transfer from my saving to my checking to more than cover the amount (i never let my account go below a certain amount). I DID NOT SET THE PAYMENT FOR MY CC ON MONDAY. i set it for tuesday, to make sure the transfer went through at some point on monday even if at midnight. i checked first thing tuesday to make sure it was in there, i still had time to cancel the CC payment on tuesday if for some reason the tranfser wasn't done.

[Antigone*of*Greece]

Originally Posted by Dougthegreat

Yes; they are allowed to charge you fees, so long as you're notified about them. You know all those pamphlets filled with tiny writing that you immediately discarded when you opened your account? They were meticulously detailed there.

Banks do not necessarily clear transactions in strictly chronological order. This was also in that packet that you apparently did not read.

This happens to a lot of people every year, and banks make money off of it. Your only recourse is to take your business elsewhere. You should also avoid trying to "play pennies" with your account - stop cutting it so close, and the fees will magically evaporate!

Dough the great is correct here.

I would like to add that NSF fees are a choice. In fact I know many people who have never paid one. I know many people who pay through the nose. If you handle your account appropriately, the fees could be $100 per item and it wouldn't matter.

Obviously you've made some kind of error and will have to pay for it - at least this time.

I also have brought in my check register and demanded they show me some sort of printout that gives the order these transactions cleared in

That is never going to happen it isn't their job to balance your register.

I can tell you that the items most likely clear in the largest to smallest order. All the transactions from after Friday cut-off to Monay night cut-off are posted on Monday night and considered Monday's business