Bank account closed... is there any hope?I HAD an account with Wachovia and I was just informed it's been closed. I was in the negative $30.00. The letter I recieved says I owe 70... is this right? I wasn't aware that I could get charged AFTER being charged the overdraft fees.. I'm more concerned now with the fact that my friend told me I can... |
I believe Wachovia's overdraft charge is $35 per bounced check so I'm guessing that's were the $70 comes from.
It is not true that you can never open another bank account. If that were the case, half the people in the world that screwed up and bounced a check somewhere in their life, wouldn't have bank accounts today.
You may not be able to open a preferred account (one that doesn't charge a monthly service fee) but you should be able to get an account. If you get this straightened out with Wachovia, they may even reopen the account you have but you'll need to go into the branch and sit down with a bank rep and go over your overdrafts with them and get it straightened out.
Sure, there's hope. A lot of banks use ChexSystems to check the history of people opening accounts. When your account was closed with a negative balance, it's likely your bank charged it off...and reported it to ChexSystems. If you try to open an account at another bank, they'll call ChexSystems to check you out. Most banks will inform you that you'll need to clear up the original problem before they'll let you open an account with them. Depending on how strict their opening requirements are, paying off the original overdraft on your old account and having the bank report it to ChexSystems should do it. Sometimes just providing a receipt showing you've paid the overdraft will be enough.
As for why the amount you owe now is $70.00, you may have had an outstanding check hit the account while you were in the negative and you were charged more overdraft fees. That seems excessive though, my bank only charges $17.50 per check.
If you are overdrawn by $30 for 45+ days, the account has likely went to Deposit Recovery/Collections.
There is a $40 Chargeoff fee that was assessed, bringing your balance owed to $70.00.
And yes, failure to pay your account after it's been in collection for a good number of days will then have your information sent to ChexSystems (sorta like Credit Bureaus - but for checking accounts).
If you go to open an account with another bank, and they use ChexSystems, and see your name, then they have the right not to open an account because you have a derogatory account with another financial institution.
Best to get it paid, because if that Wachovia account gets sold to one of those collection agencies OUTSIDE of the bank, then they can start reporting your information on your CREDIT report.
Better to pay the $70 now, then have to deal with a lot of crap that can follow this mishap (higher interest on loans because of poor credit, inability to open an account with fellow ChexSystems banks).
Also it's a good thing to be proactive on the accounts that you have to avoid a situation where you're overdrawn. I'm sure the bank sent you letters to notify you of such.
Your friend is blowing smoke. This will be reflected on your credit record but if you can pay off the amount owed and request that the incident be removed from your credit record, you're back to square one.
There are way too many banks out there for you to think you can never open another bank account.
whats up with wachovia? i had a bank of america checking account that was negative about 40 dollars and i decided to close it (after paying them and getting the account back to positive, of course)
as far as what your friend says, it is true that when you go to open a bank account, they check your previous bank history but its not impossible- just going to be a little more difficult.
well,first of all,you should be banking with community first credit union,they are not buttheads like the ones your dealing with.ok,the reason your being charged 70 dollars now,is cos you over drew on your account,they can,and will,charge you a fee for that plus close your account.however,if you pay them the 70 dollars,they should unlock your account,but may demand that you put more money in before they unfreeze it.
Don't sweat it, of course you can open an accont somewhere else. There is no need to tell the new bank the old one cancelled you. (don't ask, don't tell!) Bank accounts don't have extensive background checks/credit reports on you.
U.S. Bank will give a bank account to you even if you owe another bank.
Of course you can open another bank account..
