I recently made an error in my checking account and thought I had $100.00 more than I actually did.
I used my check card to pay for 9 small purchases, some of them no more than $3.00. All nine purchases totaled 76.46, an average of less than $8.00 each.
The bank approved these charges so as to charge me $30.00 for each one, rather than declining the purchase because of insufficient funds. The bank should not approve purchases when the funds are not there to cover them, but they do, just so they can take $30.00 each time they approve a small $3.00 purchase. What is that, about 1000% interest for a loan disguised as an insufficient fund fee?
I rarely write checks, and in going on two years with this bank, I have probably written only 5 paper checks.
The bank says the money was there at the time of approval but by the time it was processed it was insufficient. How? All charges are with the same card, no checks.
When I realized this error in my accounting, I immediately contacted my local branch in Ruckersville, VA, and spoke to Kelly Boles. I explained that I had made an error of $100.00 in my math, and because I had overspent 76.00 and the bank was charging me $270.00, which I could not afford, I asked her to help me by, if not completely eliminating this charge, at least splitting it with me. I would pay 135.00 if I had to.
Kelly said she would have to speak to her manager to get approval to return some of my hard-earned money. She said, "I will see what I can do for you." I told her I was going to make a deposit of $500.00 to put my account back in good standing and that whatever she could do would be greatly appreciated.
I borrowed this money from a family member, hoping to pay them back when I was paid next and also believing that the bank would return at least half my money, just for customer satisfaction if nothing else.
Kelly called and left a message on my phone saying that she had talked to the manager and there was nothing they could do since it was not a bank error. I was floored. How can it not be a bank error to approve these charges if the funds are insufficient and I did not write a check that may have caused the problem? I use my card feeling confident that if the money is not there, it will be declined. If the charge had been for 270.00 and the bank was only collecting 30.00, I do not believe it would have been approved.
I have direct deposit from my work and am paid every two weeks.
I also sent an email to the bank's website after logging on, told them of this situation and asked for their help as well. The response I got was that the website could not return NSF fees and I would have to contact my local branch. No help!
Those of you reading this should also read a consumer complaint by John Henry of Beaumont, Texas, who is offering advice on how to stop banks from doing this exact same thing. I plan to follow his advice, and hopefully more of you will also. It is not right for banks to do this. How do they sleep at night after ripping off the lower income majority who do not have thousands of dollars in the bank?
I am no longer floored. I understand there are people out there like Kelly Boles and her manager who really do not care about customers as individuals and prefer to take our money legally.
If there are more out there who feel they have been ripped off, let us get together and get our money back, either individually or hopefully as a class action. I am mad, and I do not like for people to take money from me.
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