shiprepairwoman
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You may have signed something saying they could otherwise how would they know the company account was yours not the companies? |
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bleh3489
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if you owe them money for going negative, then yes they can....thats what all those papers that you signed but didnt read are... |
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Sparkles
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Read the terms of your agreement. I have 3 checking accounts and if any should ever become overdrawn, money is transferred to the account that is negative to avoid fees. |
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Chasity
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Depends did you set up you're checking like that? I used to bank with chase and they set it up, where if I overdrew they would take the money out of my savings. |
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David M
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If you borrowed money that you did not pay back I ask who's stealing from who? Or worse, did you write a check your business account could not cover? That's fraud. Good luck. |
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ValorGear
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Go back and check the documents you signed when you opened the accounts and I bet it states that they can get the funds from another one of you accounts. Try going back to the bank and see if you qualify for an overdraft line of credit. That way if you go negative they will loan you the money to cover the overdrafts and you will have time to pay them back without them taking the money from your other account. |
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Tally
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I'm sorry to say, but yes, I'm pretty positive that some where in some long drawn out boring legal type paper it states they can do this. I used to work for Chase way back when, they have lots of lawyers and always cover their butt. So, sorry! |
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terribrooke
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Read the fine print of the contracts that you signed with Chase when you opened all the accounts. Chances are it states in the fine print that if any of your accounts go negative the bank has the right to take the money out of your other accounts to satisfy the debt. |
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cep_rmt
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Is the business a Sole Proprietorship? The bank does have what is called the "right to offset", meaning that, if you are the owner of the funds in an account, and another account that you have that you are also an owner of is overdrawn, they can debit the account that has money in it to replace what has been overdrawn. I do also see that the others have said that you may have signed something to automatically take the funds out of the account, which is also correct. You may have signed up for auto transfer or they may call it a sweep. |
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Andrew
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Well, if you owed them more or the same amount as was taken out of your account, it was perfectly legal. The terms were probably layed out in the miles of fine print that came with your card. |
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kero25
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yea, go back and read the papers you signed ( you shoulda read them back then) and if theres nothing in there then you may wanna call a lawyer. But maybe first you should talk to your business partner(s) or boss or whoever and see if they can fix it for you.
You must have signed something that got you in this position. |
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Kandy P
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Yes usually if you also have a savings account with the bank. They just automatically take from your savings to cover you're negative amount. I'm sure it's in all that paperwork you signed when you opened the accounts. Good luck! |
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sasil85
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If you are the signer on both accounts then yes they can do that. What seems to have happened is you left the balance negative for to long and they took money from your account to your other account and closed it. If both accounts are closed then you have been put on chex systems if you haven't been already. Might want to find out. If you are on chex systems then you will not be able to open a bank account anywhere. |
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Homer
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actually you stole Chase's money when your business account went negative. You signed documents allowing them to access other accounts to satisfy deficiencies in the other.
Moving forward please do not steal the banks money |
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TotalRecipeHound
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Absolutely they can do this. Look at your account documents. They can take money from any of your accounts (including business) if you are short in one. I learned this lesson from other relatives and kept my business account (as well as savings) at different bank. Having had the bank make a mistake once in my account, I'm not taking the chance that another would happen and my savings drained, even temporarily to cover that.
This also happens to people who have a credit card with the same bank. If you stop paying on the credit card, they will harvest the money from your checking or savings after a couple of missed payments. Pretty bad situation if you had say, been laid off and now don't have the money for the mortgage or rent. |
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Mark P
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This is probably legal. Banks are heavily regulated, with a variety of rules governing what they are permitted to do, but there are provisions which allow them to charge overdraft fees. They can charge your personal account not only for your business overdraft, but also transaction fees for each overdraft transaction.
If there are extenuating circumstances which caused your overdraft, please discuss it with your bank, as they may be willing to make an adjustment. |
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src50
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Check the T&C. |
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Megan D
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My bank has it set up so that if I run up a debt in my checking account it'll pull the money out of my savings, and with a surcharge too.
Odds are if your accounts were under the same account number, it's probably legitimate. Read the fine print (I hope you saved the copy when you created your business account) and make an appointment with a manager before you go crazy and sue. No point throwing away money with a consult with a lawyer when you can talk to your bank for free. |
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hoppybunn
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If you overdrew from your account the bank usually covers for you for a certain amount which you have to pay back (they usually make you pay back automatically by drawing from your account) |
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MIA24/7
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That is an illegal practice unless your personal savings account is attached to your business account for overdraft protection. If that is not the case I would show up first thing Monday morning at the branch where you opened the account. Demand to speak to the bank manager about this situation. |
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alissa
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no. thats fraud. they have no right to tap into ur stuff i would get a law suit |
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darkdiva
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I don't think it's illegal for banks to steal. U.S. Bank did something similar to me and I never got the money back. |
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american girl
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call the banking commisioner in your state. |
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