Can I just not pay my overdraft fees?

[CapnHook]

Posted: 7/18/09 at 4:34pm

Last weekend I overdrafted my checking account 9 times with 9 purchases at less than $.50 cents each. (At work, I get free meals and only have to pay the tax, hence the tiny charges).

The bank (BB&T) sent me notices which I received a few days ago and I owe a total of $320 in fees. I have not yet gone to go speak with them about getting the fees waived.

If they refuse, do I *have* to pay or can I just close the account? I have already switched to Bank of America with my last paycheck to take advantage of the free $100 promotion they have going right now. If I just not pay the overdraft fees, does this affect my credit?

[JohnPopa]

Posted: 7/18/09 at 4:42pm

Yes, you're obligated due to the agreements you signed when you opened the account to pay overdraft fees. If you can't resolve the situation with the bank and don't pay them, they'll forward the fees to an outside collection agency who will hit your credit report if you still don't pay.

[FindingNamo]

Posted: 7/18/09 at 4:42pm

I remember asking the same question when I was much much much younger. And I'll tell you what the person advising me said. "No. Pay off any debt you incur. Including debts that strike you as 'unfair'." What I did was a bit different. I merely abandoned the account because I had already moved my banking elsewhere and eventually the monthly fees went into the negative numbers. I assumed they would merely close the account since there was nothing left in it. But no.

I begrudgingly paid off the debt. You should too.

[nmartin]

Posted: 7/18/09 at 4:48pm

This is the voice of experience. Pay those fees. They will block you from getting a checking account at any other bank. It will also mess up your credit. Pay them.

[nmartin]

Posted: 7/18/09 at 4:49pm

This is the voice of experience. Pay those fees. They will block you from getting a checking account at any other bank. It will also mess up your credit. Pay them.

[CapnHook]

Posted: 7/18/09 at 4:49pm

Crap. Well I'll see if they will agree to remove at least half...

[StockardFan]

Posted: 7/18/09 at 5:16pm

They might waive them if you talk to them about it. But if they won't - yeah, you have to pay them.....

[SNAFU]

Posted: 7/18/09 at 5:27pm

I will have to jump on the bandwagon and say pay them if they won't waiver them. It may seem like a lot now but the damage it can do to your credit rating for years to come makes it cheap at twice he price!

[nygrl232]

Posted: 7/18/09 at 5:33pm

If this is something that happens rarely for you or if this is your first overdraft, do ask if they can give you a break and waive them, or charge you less. Most banks want to keep you as a customer and will consider giving you a break if this is something that doesn't usually happen to you.

[wonkit]

Posted: 7/18/09 at 5:46pm

If you have a tendency to do multiple small overdrafts like this, next time you set up a checking account see if you can establish an overdraft coverage line of credit. They will not charge you for each overdraft but will treat it as a loan. You can pay the loan and the interest (if any) without any fees. And yes - pay the fees you incurred.

[adamgreer]

Posted: 7/18/09 at 5:51pm

Absolutely alert them to the fact that you will be changing banks if this situation isn't resolved. That will spur them to at least reduce the fees.

[soapguy17]

Posted: 7/18/09 at 7:04pm

I'm with wonkit on this one, I'm famous for multiple small overdrafts, work it out with your bank so it doesn't happen again.

[Phyllis Rogers Stone]

Posted: 7/18/09 at 7:31pm

You won't find it any better at Bank of America. They'll nickel and dime you to death.

[dramamama611]

Posted: 7/18/09 at 7:40pm

The bigger the bank the bigger the fees.

But definitely...I would talk to them about it...they will most likely GREATLY reduce those fees. But 9 overdrafts equaling THREE HUNDRED BUCKS? Yikes!

[ParisOriginal]

Posted: 7/18/09 at 7:43pm

my over draft fees are something like 35, so that's not far off from what I'd have to pay.

[YouWantitWhen????]

Posted: 7/18/09 at 8:06pm

I have a credit union. I have been there since I was in HS. I have overdraft protection free with my savings/checking account. They actually know who I am, it is like a different world.

[TimesSquareRegular]

Posted: 7/18/09 at 9:26pm

I think anyone who cuts it so close that less than $0.50 puts you into an overdraft situation really needs some counseling on money management.

[TheatreDiva90016]

Posted: 7/19/09 at 12:24am

That happened to me once, and I went in and spoke with the branch manager. She was very sweet and understanding, and with a few cliks of her comuter mouse waived the fees. We also set up an overdraft protection plan that has saved me from any future fees.

Debt cards can quickly screw your account up, on weekends, because, if you have just a few dollarts in your account on a Friday, some banks debit cards don't go through the system until Monday, and they approve every purchase you made over the weekend.

If this is your first time, by all means, go in and just kindly explain the situation and I'm sure they will not keeps those charges on your account.



(Edit: I use Bank Of America)

Updated On: 7/19/09 at 12:24 AM

[ParisOriginal]

Posted: 7/19/09 at 12:29am

I think anyone who cuts it so close that less than $0.50 puts you into an overdraft situation really needs some counseling on money management.

Yes, god forbid someone live paycheck to paycheck.


Sorry, to be so short, but for some people, this is a reality, especially in this economy. Updated On: 7/19/09 at 12:29 AM

[bdwaygirl]

Posted: 7/19/09 at 12:35am

People living paycheck to paycheck, and I've been there, usually are aware to the penny how much they have to "play" with. If you're not aware of what you're spending, that you end up with all these overdrafts, then maybe some counseling is in order.

Edited to fix typo.

Updated On: 7/19/09 at 12:35 AM

[Eris0303]

Posted: 7/19/09 at 2:16am

I wouldn't be surprised if you got something waived. I use Wachovia and when I was in college an online retailer accidentally charged me triple what they were supposed to and I was throw into the red because I was spending money I thought I had. They took off the fees.

[Patronus]

Posted: 7/19/09 at 8:41am

The difference though is that your situation wasn't your fault. CapnHook's situation was as a result of his own error.

Still, you may get some of the fees waived.

What did the ladies of The View have to say about this?

[bdwaygirl]

Posted: 7/19/09 at 10:41am

"Last weekend I overdrafted my checking account 9 times with 9 purchases at less than $.50 cents each."

You're one of those that carries no cash on them whatsoever. I don't get that. You can't carry a few bucks on you to pay for whatever little incidentals come up? It drives me nuts, waiting in lines because most everyone is buying one, maybe two inexpensive things and paying with a debit card!

[StockardFan]

Posted: 7/19/09 at 12:02pm

True!

Or how about those who still write out checks at the grocery store? I mean who doesn't have a debit card nowadays?

[TheatreDiva90016]

Posted: 7/19/09 at 1:50pm

^^^^^^^^^^
??????????

Using a debit card is just as fast or even faster than using cash. (Unless the person is a total moron. Those people shouldn't be allowed to use an ATM or a selve serve check out line)

It also helps me to see just where I'm spening my money. I have a complete record. I only carry change for old parking meters.

I have to keep my pockets free for my mace, or tazer.