U.S. Bank, US Bancorp
Debit Purchases Converted to Cash Advance With $388 Fee

I have a checking account and credit card account with US Bank, and so does my wife. A while back I was making a few large purchases that I had been planning for some time (the total amounts were about $8000). My credit card had a limit in the teens of thousands (plenty) but the checking account was not my primary account so I only had a few hundred dollars in the account.

I was planning to make the purchases with my credit card and then pay the balance in full the following month to avoid any finance charges on the purchases. My primary checking account had more than enough money to cover the payment the following month.

Well, I did a stupid thing and accidentally used my debit card to make the purchases. Immediately afterward I realized what I did and called US Bank to explain my error. They informed me that I would have an overdraft fee of $35 on the checking account, but that they could "switch the purchases" to my credit account to avoid the overdraft fee. I readily agreed as I was not interested in paying a $35 overdraft fee and this was an honest mistake.

To my horror a few days later I saw a credit card cash advance fee of $388 on my credit card, with a new balance of ~$8000 in my checking account (and the same amount charged to my credit card).

The CSR that I spoke with did a Cash Advance for me, which turned my $35 overdraft fee into a $388 cash advance fee. I called customer service several times in the following weeks and kept getting assured a call-back, but never got one. This is fraudulent practice as I did not authorize the cash advance.

Company: U.S. Bank, US Bancorp
Country: USA
Site: usbank.com

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