Debit card debt

[Mudhut51]

What is the name of your state? Problem occured in Texas. I now live in SC.

I used a debit card from my TX bank to rent a truck to move to SC in May '04. It is now Sept. '04 and the rental company still has not collected their money - i.e. the debt is still looming over the account. I have 2 problems:
1) I need to close the account: it is costing me $20/month to keep open & I moved due to unemployment (so I can't afford to leave it open like this).
2) There is no longer enough money in the account to cover the debt anyway. There was plenty in the account when I entered into the deal.

What will happen if I close this account? How long do I have to wait before I can tell the rental company to get lost - they waited too long to collect the debt, etc.? If I close the account, what will the bank do if the rental company finally comes after the money? And what will the rental company do when the bank tells them the account is no longer active?

 

[Tayla]

Instead of answering your questions , Please partake of some advice. You owe the debt so pay it. Call the rental company and ask for a copy of the bill. mail them a check or set up payments. What bank charges to keep an account open? Sorry ,something doesnt add up on that part.

 

[kopes]

The way I read the post, the OP DID pay the bill with a debit card. The rental place has not collected but the bill is paid. The OP shouldn't have to get a copy of the bill and make payment arrangements - it's already paid. I would let the rental place know that you are closing the account and close it out. You can take the money in there to send them a new payment from your new bank account.

 

[Tayla]

The way I read the post, the OP DID pay the bill with a debit card. The rental place has not collected but the bill is paid. The OP shouldn't have to get a copy of the bill and make payment arrangements - it's already paid. I would let the rental place know that you are closing the account and close it out. You can take the money in there to send them a new payment from your new bank account.

MY reply to Kopes: It was NOT clear that the bill was indeed PAID since the OP clearly states that such amount was not withdrawn from the account in which the debit card was issued for. Thus the dilema. Instead of argueing due to the obscure post an alternative suggestion was given to resolve the issue. Certainly your idea of notifying them is a reasonable option ...

 

[Happy Trails]

**Yes, it was clear that the debt has not been paid, since the company has not processed the charge. A debit card is clearly different than a credit card. Debit cards are used similar to a credit card, however, the difference is the money needs to be in an account up front. A credit card is given to people who have earned and have shown they are responsible enough to make payments.

The poster, who is running into financial difficulties, still has the responsibility of paying the debt that they charged.

Tayla, you are right, Mudhut needs to pay the company or make sure the money is in the account to cover the charge.

Mudhut, if you choose to close the account then you need to pay the moving company. If you are looking for a statute of limitations you will have a long time to wait. Pay your bill.

 

[Lookingahead]

This poster should check with their bank regarding debit charges and the time allowed.

I remember I had an issue with a place double charging me for something with my ATM. I look at my account on the internet the day after the charge and saw the charge posted on there twice. The bank told me that what they do is charge my account at the time of the transaction - the place has 10 days to submit the receipt. If the receipt is not transmitted to the bank by the 10 days then they take the charge off and the money is released back into the account. So, somehow the gas station swiped my card twice for the same amount. But, because they only submitted the one receipt, I was credited back the amount. It was only $20, so it did not break me at the time, but I could see if it was hundreds I'd be upset. Ten days later the $20 was credited back.

The bank likened it to a check being good for 6 months from the day it's written. After the 6 months, they won't honor it.

 

[JETX]

I used a debit card from my TX bank to rent a truck to move to SC in May '04. It is now Sept. '04 and the rental company still has not collected their money - i.e. the debt is still looming over the account.

That cannot be correct. A debit card is an 'instant' fund transfer, covered under the 'Electronic Funds Transfer Act'.. The funds would have been immediately transferred from your account.... and placed in theirs.
Clearly, something is not correct.... if the funds haven't in fact been transferred.

The answer to all of your other questions are not relevant.... depending on the answer to what type of transaction this really was.

"Debit cards are different from credit cards. While a credit card is a way to “pay later,” a debit card is a way to “pay now.” When you use a debit card, your money is quickly deducted from your checking or savings account."
Source: http://www.nclnet.org/debit.pdf