Can A Bank Take Your Money Out Of Your Checking Account?
Posted on July 1, 2009 at 11:40 pm
If you have defaulted on your payment on a loan, can the bank deduct money from your checking account, without informing you, so you'd be current again?
Posted on July 1, 2009 at 11:48 pm
yes and the bank does not your permission to withdraw from it. it is called the bank set off. assuming that you've taken out that loan from the same bank..
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Rep Points:
Posted on July 1, 2009 at 11:57 pm
Just to add to what customer no. 5 has said, and although it sounds a bit unfair, as it seems to favor the bank, bank set-off arises when a consumer has more than one account with the same bank, and has at least a debit and a credit account. A set-off is also known as the right to combine accounts. If one of the accounts defaults, the bank can opt to take out from the current one..
Posted on July 2, 2009 at 12:08 am
what sort of a law is that? it is indeed absurd! I don't understand it at all. whatever happened to privacy?
Posted on July 20, 2009 at 11:40 am
Ok what if I owe Bank of America but bank with Chase, can Chase take money out of my bank account to pay off Bank of America? I know this is different but it goes along the lines of the first question of can a bank take money out of your checking account.
Posted on July 20, 2009 at 12:59 pm
Bank of America would have to obtain a judgment against you first before they tried to levy your Chase checking account.
So, a lawsuit would have to be filed and BOA would have to win said lawsuit before they (or the attorneys representing them) could send a Notice of Intent to Levy to Chase Bank.
Chase could not levy your account to pay off BOA to answer your question.
Posted on July 30, 2009 at 8:26 pm
Can a bank levy an off-set withdrawal on a personal JOINT account to cover a defaulted credit card with the same bank?
Posted on August 5, 2009 at 4:51 pm
Can a bank take money from your checking account if you default on your mortgage? The Real Estate is suppose to secure the loan. It is not unsecured debt, so I would think they are not able to...
Posted on October 9, 2009 at 4:51 am
Another related question is - Can a bank still take your money out of your checking account even if you already filed bankruptcy?
Posted on October 9, 2009 at 5:01 am
Another related question is - Can a bank still take your money out of your checking account even if you already filed bankruptcy?I think they can...but they shouldn't anymore if they were notified of the bankruptcy petition or if it's been approved. A bankruptcy can stop a judgment. Temporarily.
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