Banks and bounced checks. Anybody know a little somethin??
Here's the scenerio:
October 13th I received a check for $670 and deposited it into my bank account at Wachovia Bank. It bounced. I received a copy of the returned check (written on a Bank of America account) in the mail a week later. I proceeded to take the copy of the bounced check to the bank on which it was drawn (Bank of America) every single day for 10 weeks until finally this week they cashed it! Go me. They told me that it overdrew the account it was drawn on but they were able to cash it. I assume that means her overdraft protection covered it I don't know for sure, I didn't ask. I received $670 cash from the teller at Bank of America. Case closed. Lunch was on me that day.
Well I just logged into my Wachovia account and discovered that my account has had $670 withdrawn as "returned item" and I also incurred a $10 "returned item fee". I'm puzzled and I'm back where I started except now without a copy of the returned check in my hand to take to her bank to attempt to cash it.
I called my bank and they are starting a research investigation into the matter beginning Monday since it is now the weekend. I'm feeling confident that it was an error but I'm still trying to figure out whether there is some remote chance it was not an error. So far I have been in contact with three separate people who have spent their entire careers in the banking industry they all told me the same thing: My bank was in the wrong and will have to put that money back into my account.
My question: Has anyone had any experience remotely close to this and can you offer me some insight? Is there any legitimate reason her bank can contact mine to take money from my account that they gave me in cash when they cashed the check inside one of their branches? I hope not but I'm exploring every possible outcome before I get excited about getting the money back and avoiding a court battle.
Weeee fun!
-E
Re: Banks and bounced checks. Anybody know a little somethin??
Nope. If you deposited cash they cant take it back..or else anyone could say "hey...I gave him a check for $X that he cashed and put the cash in there...can I have my money back?"
Your bank needs to put it back.
Unless they never took the money out or charged you the bounced check fee after the check bounced and are just getting around to doing it now.
Otherwise..no. They cant take it out twice. Theres no way to prove where that cash came from. You might have cashed the check and spent the money, then got $670 more from someone else for another job and THATS the money you put in the bank.
Fight it. If they already took the money out and charged you once..you'll win.
Re: Banks and bounced checks. Anybody know a little somethin??
My friend worked as a teller at Bank One and I remember him saying that tellers have the ability to erase overdraft charges and money order charges at their discretion. Basically, if you are a customer in good standing and something like this happens, they should be more than willing to help you out. If they don't, take it up with the supervisor or someone else.
Re: Banks and bounced checks. Anybody know a little somethin??
When you got the cash did you deposit it back into your account or not?
I've had someone bounce a check to me and my bank charged me a return fee. I called them up and made them reverse the charge. I also am in good standing with bank as I've never bounced anything or used overdraft protection.
I hate checks in this day and age they seem almost obsolete.
Re: Banks and bounced checks. Anybody know a little somethin??
You deposited the $670 check. Wachovia basically gave you $670 in your account. When Wachovia was not able to cash the check they had to retrieve the $670 they gave you for the check. That's the return item (some banks call it a return item charge back). The $10 return item fee is the charge for them taking back the $670.
You never stated that you deposited the $670 cash. Assuming that you did not Wachovia is within their rights to get back what they gave you for the check. It's actually a standard procedure for when a deposited item is no good. It can also happen if the check isn't endorsed correctly.
Any overdraft fees that you incurred due to the returned item may or may not be refunded. That's up to Wachovia and it's usually based on your account history. The $10 return item fee may not be refunded, most of the time they'll tell you to try and get $10 from the issuer of the check.
If it sounds a little wordy, I didn't work in the customer service department of Bank of America for five years for nothing!
Re: Banks and bounced checks. Anybody know a little somethin??
More details sorry.
When I originally deposited the check back in October, it bounced. So I was charged a "returned item fee" of $10 as well as having the $670 credit taken back out of my account. Standard operating procedure.
Fast forward 12 weeks... (I have been taking the check to her bank everyday since it bounced to check and see if she had funds available to cover it yet.)
This week I took the copy of the returned check to a branch of her bank, Bank of America and asked the teller to verify funds, meaning look and see if she had the funds available to cover the check. The teller told me that he could in fact cash the check even though it would overdraw her account. I assumed he was referring to her overdraft protection but I don't know for sure and honestly I didn't care. He had me sign the back of the check and then gave me the $670. I left. I went back to work. I did not go to my bank. I did not deposit anything in my account. I bought two hamburgers for lunch and got a French Vanilla coffee at Racetrack.
Today I noticed that my account (at my bank, Wachovia) has a "returned item" of $670 which was deducted from my checking account as well as a "returned item fee" of $10 which was also deducted.
Apparently Bank of America has been in contact with Wachovia for some reason, which makes no sense to me and doesn't make sense to the three people I have since been in contact with who all worked for Wachovia for many years.
Bleh
-E
Re: Banks and bounced checks. Anybody know a little somethin??
Looks like you were charged twice in error. Fight it.
Re: Banks and bounced checks. Anybody know a little somethin??
It seems to me that the error is on the teller at BofA. It doesn't seem to make any sense that he could cash the check even though it would over draw the account. Over draft protection keeps an account from being overdrawn, that's the whole purpose of that. And for what it's worth I don't believe the teller can tell you info like that on someones account. When I had to verify funds (over the phone) it was either with a yes or no that the item would clear.
With trying to go t a paperless society, it is possible that the bank could have honored a copy of the check. There are also instances where a returned item may be automatically presented for payment a couple of times. The bank will notify you of the return item and then you just sit back and wait for it to go thru again. If that's the case, is it possible that it was represented and clear and posted to your account and then BofA honored the copy of the returned item, realized that it was paid twice and then got the $670 from your account.
Re: Banks and bounced checks. Anybody know a little somethin??
Thanks I'm preparing for the worst and hoping for the best. Your original post was right on par with what the people in the banking industry have been telling me, I hadn't read it until after I posted that follow-up.
I also failed to mention that I put one hazelnut cinnamon creamer in my coffee everyday. Maybe that's a good omen.
-E
Re: Banks and bounced checks. Anybody know a little somethin??
Quote:
Originally Posted by
Susan-Va
There are also instances where a returned item may be automatically presented for payment a couple of times. The bank will notify you of the return item and then you just sit back and wait for it to go thru again. If that's the case, is it possible that it was represented and clear and posted to your account and then BofA honored the copy of the returned item, realized that it was paid twice and then got the $670 from your account.
Ahh, interesting! I knew there had to be some more possible scenerios.
I'm fairly sure it was sent through twice back in October but not 100% positive.
-E
Re: Banks and bounced checks. Anybody know a little somethin??
The bank is in the wrong. BofA ODd her account to cover the check she wrote. They had YOUR bank info on the back of the check from when you originally deposited it. I dont think BofA had ANY legal ground to take that money back from your bank account.
I will also say I freaking HATE BofA. They are the worst bank I have ever dealt with.