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Unsecured Bank loan-bank took payments from acct., without prior notice

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C

cyb

Guest
I need to know if this is legal. My husband has an unsecured loan with our bank (personal loan) that I cosigned for. I have my own checking account with only my name on it at the same bank. He has gotten behind on his payment and I just received a notice from the bank that they have debited my bank account for the past due amount. I have not received any phone calls or letters from them stating that this was going to happen. It took all day just to find out what the debit was for. It is a large amount 542.00. What if I did not bank at the same bank? Could they just take whatever out of my account without notifying me prior? Please advise.
 


bigun

Senior Member
Get out the documents you signed when you opened an account. I'll bet you'll find language giving them the right to debit your acoount should a loan payment be missed.
If your account were at another bank, they couldn't do that unless they had a court order.
 
C

cyb

Guest
contract with bank

I found the contract, and there is a clause in there giving them the right to do that. But, from what I can tell from reading, these rules and regs are for secured loans, not unsecured. Mine is clearly marked unsecured. Maybe I am grabbing for straws, but it is very scary to have someone take out that kind of money without notifying me, I am not rich and already obviously behind, so I have probably written bad checks due to this. Which I will then owe more money to the bank and therefore probably won't make the next payment to them for lack of funds!
 

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