Bank of America Informative - New Overdraft Fees On Pending Transactions
SENECA -- BoA has started charging overdraft fees on pending transaction (not posted transaction) when you go into the negative in your available balance. This will occur even if transaction(s) fall off and you're really not in the negative. I have spoken with BoA several times and even the corp. offices in Charlotte, NC. I have spoken to the Federal Reserve Consumer Help and the OCC. At this point there is nothing we can do except write our congressmen and/or congresswomen and complaint about this.
This isn't a big deal if you are able to control what pending transaction and amount are in your account but we not always able to do that.
It is common practice for restaurants to authorize a high amount than what your bill actually is and later go back and enters the correct amount; you have no control over this. So if you go elsewhere and spend money and this puts you in the red, you're going to get an overdraft charge.
If a merchant makes a mistake and you get a refund and have to redo the transaction (the refund does not show up until it post) and you go in the neg., you're going to receive an overdraft charge. What I mean is.... you spend $50 and that's wrong, so the merchant refunds you $50 and then the correct amount of $30 is authorized, your available balance will decrease $80 until the refund of $50 post.
Regardless of what falls off, you will receive an overdraft charge. This is by far unethical! Even if it is not illegal. BoA response is other banks do this.
So I urge everyone to write to their congressmen and/or congresswomen to complaint so hopefully we might be able to stop this practice.
I know there is a possibility that this will not accomplish anything but all we can do is try. The only other thing is to withdrawal all your money but if too many people do that, it could cripple the American economy and we don’t want that.
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