Bank Of America Overdraft Fee's HELP!!

janglypangly

janglypangly

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Hey guys I have a question. When you overwithdraw from your debit/checking account, are you charged a fee, and more every time you keep on overwithdrawing, or does the amount increase daily until it is paid off? Thanks in advance!!
 
[quote name='janglypangly']Hey guys I have a question. When you overwithdraw from your debit/checking account, are you charged a fee, and more every time you keep on overwithdrawing, or does the amount increase daily until it is paid off? Thanks in advance!![/QUOTE]

It somewhat depends on the conditions of your bank account (for instance, many banks offer overdraft coverage via your savings account, if you have one of course). But if their system is anything like Washington Mutual's (my bank, so that's what I'm going on), then yes, you'll recieve a fee for the withdrawal that put you in the negative, and each successive withdrawal whilst still in the negative.
 
AFAIK you get charged a set amount ($25?) every time you overdraft. I don't think there is any other penalty. Maybe there is if you go over from one statement period to the next.
 
I have a student checking account. It said I was 35 in the red on the 12th. There hasn't been any movement since then, so I am guessing that is because I haven't made any transactions? Also, my parents gave me a credit card 3 weeks ago with BOA, would that have protected me?
 
I have Bank of America, and this is what happens:

The few first times you get overdrafted, it'll be a 17 dollar fee each time you go over. Then it'll up to 30, then 34. It really sucks. =[
 
at my bank ther is like a $35 dollar charge the day it happens. then for every day your "overdrafted" it charges $5 more until you are back in the possitives.
 
[quote name='mr ryles']at my bank ther is like a $35 dollar charge the day it happens. then for every day your "overdrafted" it charges $5 more until you are back in the possitives.[/QUOTE]

Get a new bank.
 
[quote name='Grave_Addiction']Get a new bank.[/QUOTE]

Don't overdraft your account.

I must say I dont have a clue on my bank's overdraft policies, but maybe that has to do with my having no experience in the matter.
 
[quote name='Cornfedwb']Don't overdraft your account.

I must say I dont have a clue on my bank's overdraft policies, but maybe that has to do with my having no experience in the matter.[/QUOTE]

Exactly. I'm sad to say that I have on a few occassions overdrafted my account, but I agree 100% with Cornfedwb. You overdraft, you deserve any penalty they put on you.

My bank charges a flat $30 every time you overdraft IIRC.
 
I have a regular checking with bank of america, and everytime I overdraft its $18.00. I once had 5 transcation go in the same day and I forgot about them, and was charged almost 90 freaken bucks and they where all purchases under 5 bucks
 
[quote name='Cornfedwb']Don't overdraft your account.

I must say I dont have a clue on my bank's overdraft policies, but maybe that has to do with my having no experience in the matter.[/QUOTE]
I agree completely.

It's either time to augment the income or decrease the spending. Either one fixes the same problem.

Some banks will decide, if you overdraft enough, that you're not worth their time in dealing with those issues and toss you to the curb. Unlikely to happen in a large bank, like BoA, though smaller ones might do it.

Especially when it's small transactions that do it to you. $5 or $10 items suddenly cost a whole lot more.

Some banks will give you back the first one, if you're new to the bank, though don't count on it. And sure as heck don't do it again.
 
[quote name='shrike4242']ISome banks will give you back the first one, if you're new to the bank, though don't count on it. And sure as heck don't do it again.[/QUOTE]

Yup. You generally get one "pass", then they hang ye from then on out. I read an article recently that said banks derive most of their income from fees of various kinds. If you have a credit card with the bank, or a savings account (with something in it, of course!), they can link it to the checking account, giving you overdraft protection. They won't do this automatically, you have to ask.
 
yeah a couple years ago i sent money to an online savings account when I thought I was takin money from it so I overdrafted without even knowing and I spend like 20 bucks on 3 seperate purchases and it ended up costin me 31 each time, so 20 bucks turned into 93. I was not a happy camper.
 
I have a Bank of America account, and here's what happens to me (as always, it is YMMV):

If I forget to have enough money in my account (which unfortunately does happen sometimes), I go over and the balance amount turns red. As you'll see from checking your account online, there are both "Pending" and "Posted" transactions. I have money that is deducted from my account each month automatically for various services. Sometimes I forget to put in money, and I go over. The transaction that put me over is in the "Pending" area. I haul ass to the bank and deposit CASH. Then, I check my account online. The deposit is already credited and I am back in the black. Then, the transaction posts a few days later and all is well.

So, in my experience, as long as the transaction that put me over doesn't post, and I go make a deposit to balance things out, I don't get charged a fee.

My brother would always get charged fees on his account ($30) for going over, but now that he has me to watch the account online like a hawk... no problems! :)

Just keep an eye on your account online.
 
I have never overdrafted, but since I keep the statement of fees they give you when you open your account....

If your account has had one occurrence during the current month or preceding 12 months each insufficient funds item: $19
If your account has had at least two, but no more than four occurrences during the current month and proceding 12 months, each insufficient funds item: $31
Five or More: $34

On a more positive Bank of America note, has anyone else signed up for the "Keep the Change" program? I love it because I use my debit card a lot, and am trying to find a way to put more money in my savings account. Having BoA pay me to do so is great.
 
[quote name='SierraNight']

On a more positive Bank of America note, has anyone else signed up for the "Keep the Change" program? I love it because I use my debit card a lot, and am trying to find a way to put more money in my savings account. Having BoA pay me to do so is great.[/QUOTE]

What's the Keep The Change program?
 
[quote name='Saucy Jack']What's the Keep The Change program?[/QUOTE]

If you have both a checkings and savings account with BoA you can set it up where everytime you pay for something with your debit card...well, let's say I make a purchase that comes out to $6.23. They will debit $7 from my checking account...put that .77 cents into my savings account. For the first three months you are in the program, they will match whatever you put in your account...so that 77 cents becomes 1.54. After the first three months they will match it 5% yearly. Considering my intrest rate in savings is only .5%...I rather like the idea.
 
[quote name='SierraNight']If you have both a checkings and savings account with BoA you can set it up where everytime you pay for something with your debit card...well, let's say I make a purchase that comes out to $6.23. They will debit $7 from my checking account...put that .77 cents into my savings account. For the first three months you are in the program, they will match whatever you put in your account...so that 77 cents becomes 1.54. After the first three months they will match it 5% yearly. Considering my intrest rate in savings is only .5%...I rather like the idea.[/QUOTE]

That sounds pretty neat. If I get a savings account there, I'll look into that.
 
[quote name='shrike4242']I agree completely.

It's either time to augment the income or decrease the spending. Either one fixes the same problem.

Some banks will decide, if you overdraft enough, that you're not worth their time in dealing with those issues and toss you to the curb. Unlikely to happen in a large bank, like BoA, though smaller ones might do it.

Especially when it's small transactions that do it to you. $5 or $10 items suddenly cost a whole lot more.

Some banks will give you back the first one, if you're new to the bank, though don't count on it. And sure as heck don't do it again.[/QUOTE]

That's true, don't do it. And if you are new to banking (few years) don't get into the habit.
I actually know someone who has some form of protection up to 50 - 100 bucks, and they use it as "extra money". That's bluntly put, stupid.

This, along with depending on credit card debt can ruin your life. If you can't afford that game or that expensive dinner today, save for it and buy it later, eat at home. Chances are, you will beat it/trade it/shit long before the overdraft or credit card is paid off.

Accidents happen, most have made a math error here and there, but try to make a safety net in your account to save you the trouble in the future. You'd be suprised the stress you can save if you see a $100 balance the same as $0.00.
 
To Op, if it's your first overdraft and you have a long history with the bank, and they know you pretty well, you can pursuade them to lift the charge, ymmv of course, some banks are tight asses, some are forgiving. Don't fuck around with bank of america though, they can have some tough overdraft fees.

I had a friend who wrote a bad check to my roomate, and my roomate took out money from his account, assuming the check was good, both parties get overdrafted. My roomate had to pull an extra 100$ out and make the money up playing online poker, then redeposit it back to BoA.
 
They charge you a rediculous amount of money for overdrawing. It happend to me a few weeks back and I overdrew $7.59 but ended up paying them $19.73. So yeah it's probably not a good idea to overdraw. I have a student checking account for bank of america as well.
 
generally how does overdrafting work if you use a debit card? I always assumed it would overdraft just the same as a check, but would it also be possible for your card just to be flat-out denied, like when a credit card goes over its limit?
 
[quote name='sanjuro']generally how does overdrafting work if you use a debit card? I always assumed it would overdraft just the same as a check, but would it also be possible for your card just to be flat-out denied, like when a credit card goes over its limit?[/QUOTE]

Typically a bank will disable the debit card once they notice the overdraft, however it can definitely be used for a period of time to cause the overdraft.

We've had customers somehow blaming us for overdrafting their accounts because its our fault their debit card was approved without enough to cover the purchase.
 
Don't forget it's not just overdraft that you get charged with fee. But many accounts have mininum balance you need to maintain. If you don't maintain minimum balance, you get hit with a fee.
 
I actually work in banking customer service, and I'd say 10% of my work day is spent telling customers how a $7.40 Wendy's purchase caused 4 or 5 other transactions to be NSF and cost them $120+ in fees (we have some customers who have upwards of $1000/month in nsf fees alone).

Don't always rely on your online banking, either. It can show you pending transactions (check card, cash, atm...etc...) but it is unlikely to show outstanding checks or pay-at-the pump gasoline purchases (they authorize $1 for a day typically, fall off, and then post for $30 or whatever several days later, after you've forgotten about it).

Your best bet is to keep your own accurate check register and know how your bank processes. Or, do what I do; forget about it, and just make sure to spend less money than you make. NSF fee income is usually one of the biggest income generators for banks outside of loan interest, and they are ALL set up to maximize that profit potential. It's one transaction to you that overdrew your account, but the bank will get as many fees out of it as possible.
 
I've never had to deal with an onverdraft. I keep a running balance in my register so I always know what I've spent- plus, I always remove the cost of internet pre-orders I'm not going to be billed for for a couple months. If I ever do mess up and go a bit over, it's no big deal since there's typically 100-200$ of pre-order money in there.
 
a friend of mine overdrafted on his debit card and he was broke so it kept adding up so he had to pay like $400 bucks.
 
I bank with a credit union. It's $25 bucks every time. I have only overdraft a few times and guess what it was for something stupid. What pissed me off was that my paycheck went in like 20 mins after the overdraft. I payed 25 bucks for a game from eb I used to get free shipping.
:cry:
 
Ebay decided to my fiancee a day early and she went into the negative by $3 (Ebay bill was like $110). I told her to put on a tight pair of jeans and a low-cut shirt and wait in-line until one of the guy tellers waived her over and she would be fine. And she was. Maybe some of us guys can't do that...but who knows?
 
[quote name='gizmogc']Ebay decided to my fiancee a day early and she went into the negative by $3 (Ebay bill was like $110). I told her to put on a tight pair of jeans and a low-cut shirt and wait in-line until one of the guy tellers waived her over and she would be fine. And she was. Maybe some of us guys can't do that...but who knows?[/QUOTE]just look for an effeminate male teller and you guys may have a chance.
 
BOA charges a $27 fee for every ITEM that is either accepted that puts you in the negative or that is turned down. There is no daily fee for being in the red, but a turned down item can be resubmitted and that will net you a new $27 fee. If you do a lot of small transactions, this can spirial WAY out of control pretty fast. They do have an overdraft protection thing that will sweep money out of your savings (if you have one), but there is a fee for that as well. Basically, get it in the black as quickly as possible and be DAMN careful to not go over. I used to be able to get them to take off OD charges, but they changed a policy or something a few years ago, and it has been three years or so since one has been overturned for me.
 
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