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Bank of America WTF

jimtron

Illuminator
jimtron
Joined
Mar 9, 2005
Messages
3,105
Location
Los Angeles, California
Is it just me, or is this kinda nuts?


  1. I opened a new Bank of America checking acct, with a deposit for $195.
  2. A couple weeks later, after that deposit cleared, I made another, larger deposit.
  3. A few days later I make an $80 ATM withdrawal, quite a bit less than the initial, cleared deposit.
  4. A day or two later I noticed that the acct was overdrawn, with a $35 overdraft fee. I called customer service, and a polite person told me (in what was to me a confusing way) the reason for the overdraft is that the second deposit was on hold when I made the withdrawal, and for some reason that hold also froze the initial (again, cleared) $195 deposit.
Is this common, for a bank to freeze a cleared deposit because of another deposit? Makes no sense to me. The customer service person kindly refunded the overdraft fee, since I'm a new customer and wasn't aware of the policy. I won't be a customer for much longer though.
 
If the deposit has cleared, that means the bank actually has the money, not that the bank is expecting to get it. That part of your story doesn't seem right.

It looks like you may be the victim of typical bank policy towards new customers, which they define as borderline criminals until proved otherwise.

In the future, you might get in the practice of requesting "immediate credit" for a deposit. If refused, you know that you cannot draw against those funds. If approved, you are in the clear. Immediate credit is available under some circumstances like being drawn on another account at the same bank (which includes all branches), or on an account which the bank processes frequently, like a large local employer.
 
If the deposit has cleared, that means the bank actually has the money, not that the bank is expecting to get it. That part of your story doesn't seem right.
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Yeah, I'm saying my initial deposit was definitely available--what doesn't seem right? I just checked, and the initial deposit was made on 4/13 (actually an electronic transfer from an external account--that other account shows it was paid 4/14). Then the second deposit on 4/26. The ATM withdrawal (the only withdrawal I've ever made, for far less than the first deposit ) was on 4/27.

It was confirmed to me that the initial deposit was cleared and available, but there was a hold on all funds because of the second deposit. :confused:
 
BofA buh-lows! We had them for years and the lengths they went to charge overdrafts was amazing! My advice is to run away as fast as possible.

An aside on the BofA wackiness, when I got married both my husband and I had CA bank accounts with them. They were unable to merge our accounts, or just add him to mine and me to his, because his account was from Northern CA, mine was from Southern CA. We had to close our accounts and reopen new ones in the same region. So much for Bank of AMERICA.
 
I've had similar experiences. Though i've never bounced a check in my life, I got in a big hassle with one bank, because the statement I got, and based the safety of my check on, hadn't noted the fine I was charged for having less than a certain amount in my account.
I can't imagine why this fine (poverty tax?) didn't show up on the balance sheet. It was automatically taken from the account, and the check bounced, for a lack of less than one dollar.
 
I really don't understand why anyone needs a cheque (okay, check) account nowadays. I haven't used a cheque for over five years.
 
jimtron said:
I prefer paying with debit card or auto pay with recurring bills, but I have some payments that need to by by check (rent, for one).
Click to expand...

Cashier's check > personal check.

No waiting for it to clear the bank means no chance of overdrafting.


I agree with the sentiments regarding BofA. They're intent on making money off of fees and will go to great lengths to make it happen.

If the bank shows the deposit has cleared, then those funds should not be put on hold when another deposit is made. Does that mean you can't use any of your money any time a deposit is made?
 
BofA are crooks.

When I was working as a bookkeeper, one of my tasks was to keep an eye on the credit card accounts. Bank of America had this little scam going where they would "accidentally" charge your account for less than a dollar then fix the "error" by paying back the same amount. They would then charge you a fee for a cash advance equal to the amount of their "error".

I was on the phone to them for hours at least once a month trying to straighten out something they had done to that account. I would talk to one person and get one answer, then talk to another person and get a completely different answer. I just stayed on the phone until I got someone to fix the problem.

I would never, ever, do business with that company.
 
jimtron said:
I prefer paying with debit card or auto pay with recurring bills, but I have some payments that need to by by check (rent, for one).
Click to expand...

BOA's automatic bill payer can pay to anyone as far as I can tell. I think they deliver checks to whatever address you provide.
 
Nothing. I suppose they make their money on the float between the time the money leaves your account and the time the person you've paid collects.
 
My experiences with Wells Fargo are much worse. I think it's just banks in general.
 
jimtron said:
Hmm, not sure if it's worth the hassle though--they're not cheap, and you have to go wait in a line at the bank or currency exchange to get one.



Yeah, I'm definitely not going to stay with them.
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Eh, I've worked graveyard shift for a decade now...there's rarely a line when I go to the bank :D. And the $3 fee for a cashier's check is much more palatable than a $35 overdraft fee + bounced check...

Some banks I've used didn't charge me for the Cashier's Check (most of the tellers knew me from my regular visits for the Cashier's Check :D )...
 
Starthinker said:
My experiences with Wells Fargo are much worse. I think it's just banks in general.
Click to expand...

I currently do my main banking with a regional Credit Union. Customer service is top notch, overdraft fees are still somewhat reasonable ($20 vs $35 most banks charge), loan interest rates are competitive, etc...

Biggest boon is that in the 2 years I've banked with them, I've had no complaints regarding excessive fees/charges.
 
When I get cash from the ATMs around the area (not from the ATM at the CU), my CU will reimburse me for the service charge the ATM banks apply.
When years ago I terminated my BoA account and moved it to the CU, I left a bit in the BoA account.
My monthly statements would show the amount dwindling towards zero with their service charge.
When it went below zero, they tried to get me to pay up.
I told them the account was closed months earlier.
Haven't heard from them since.
 
BobTheDonkey said:
I currently do my main banking with a regional Credit Union. Customer service is top notch, overdraft fees are still somewhat reasonable ($20 vs $35 most banks charge), loan interest rates are competitive, etc...

Biggest boon is that in the 2 years I've banked with them, I've had no complaints regarding excessive fees/charges.
Click to expand...

A local credit union =/= national bank. I've since switched to a local credit union myself. They even gave me a loan!!!
 
For what it's worth, I've never had a problem with BoA in over 10 years of having an account there.
 
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