Customer Says Bank of America Took Money From His Account to Cover Daughter’s Overdraft
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Tony Buckmaster loves taking rides on his dune buggy but he says his bank is taking him on the ride of his life.
“I realized my savings account had nothing in it,“ he said.
Buckmaster said Bank of America took more than $370 from his savings account to pay for his daughter’s overdraft protection on an account she has with her husband.
“That’s not right,“ said Buckmaster. “I can’t control that account nor did I know that they were overdrafted to begin with.“
Bank of America wouldn’t comment about this specific complaint but they did say right of offset is common in the banking industry and is part of the deposit agreement. They said they can use it in the collections process.
“When you add someone to your account what you are doing in reality is saying they have as much right to my account as I do,“ said Better Business Bureau’s Kathy Barrett.
Barrett said Buckmaster’s complaint is common and tough to resolve. She said the real key is to educate yourself about the terms and conditions before adding someone to your account.
“If you are reading a contract you don’t understand don’t be forced into it quickly, ask for a copy of it, go to someone that can help you interpret what it means and find out what it means before you sign it,“ Barrett said.
Barrett said one way to be safe is to add someone as a “POD” (payable on death). That way nothing can happen to the account unless a death occurs.
“Now I realize that you really gotta be careful of who you put on there,“ said Buckmaster. “It could wipe your savings, your checking, it could just wipe it clean out.“
It’s a tough lesson for Buckmaster who only hopes others don’t choose to travel the same bumpy road he has.
The Better Business Bureau also wants you to know that “right of offset”, withdrawing funds to cover a debt owed to the bank, is limited by federal law. It won’t allow a bank to take money from your deposit account to pay off your credit card accounts.
If you have a complaint about your bank you can call the Office of the Comptroller of the Currency at 1-800-613-6743 or click here for a link to the complaint form.
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Reader Reactions
Bank of America took money out of my Chase account without my authorization. If you have a late payment on your mortgage due Bank of America will take it from your account without your authorization. Just log on to the Bank of America web page answer several questions on why you are late with your payment and Bank of America will take your money from your account no questions or apologies.
Warning! All of you who have a mortgage with Bank of America cancel your on line payment account.
If you are late with your mortgage payment and you log on to your account you will be prompted to answer several questions. The questions consist of “yes” and “no” questions specific to the reason why you are late with your payment. You can answer “no” to all questions and not make a payment. However, you will need to confirm your answers at the end. I was told by Bank of America that during the questioning I had completed a promise to pay. Nothing was ever approved by me nothing specific was ever given to me as a confirmation number or sum of money agreed on nothing at all. Until, one day Bank of America took $3K from my account without authorization.
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