I'm Pi**ed, can they do that?? Is it LEGAL???

[Joe Tonich]

SWMBO just got off the phone with the bank. Seems that there was an unauthorised direct withdrawal/payment made to one of the utility companies. They were sent a check but didn't cash it, it seems. Just made their own withdrawal for payment. Bank says there is nothing they can do about it, and they have no canceled check. Utility Co. says we will get a canceled check from the bank, when told bank says NO we won't, says he doesn't know and puts on hold till we hang up. :mad: Is it legal for them to withdraw payments from my bank account without consent?? Anybody know? The way things have changed, maybe now they can do things like this. I'd like to have something to back me up when I talk to them next week.

Thanks,

Joe

[Ted Shrader]

Joe -

The utility company must have your consent to be able to do that. How did they get it? There are several sneaky schemes that have hit my mailbox. . . . . "check this box to have future payments withdrawn" . . . . "Next time, save a stamp - check this box" etc. As far as I know, if they don't have your consent, they can't do it.

When you go to the bank and the utility company on Monday in person they can't blow you off as easily as putting you on hold. At the utility company ask to see your written authorization. While there execute another that says specifically you do not authorize automatic withdrawals. You can do the same thing at the bank to block electronic transfers.

Partial good news. If they cash the check, the money will still apply to your utility account. The balance due next time will be a lot less.

I have used automatic electronic transfers ONCE. That was to make my son's college tuition payments. Same amount spread out over four payments with no interest - good deal. Had to sign an authorization and send to the college each semester to renew the automatic withdrawals.

Occasionally (few and far between), I pay a bill electronically. Call me a dinosaur, but I like to have the canceled check.

Good luck,
Ted

[Michael Cody]

SWMBO just got off the phone with the bank. Seems that there was an unauthorised direct withdrawal/payment made to one of the utility companies. They were sent a check but didn't cash it, it seems. Just made their own withdrawal for payment. Bank says there is nothing they can do about it, and they have no canceled check. Utility Co. says we will get a canceled check from the bank, when told bank says NO we won't, says he doesn't know and puts on hold till we hang up. :mad: Is it legal for them to withdraw payments from my bank account without consent?? Anybody know? The way things have changed, maybe now they can do things like this. I'd like to have something to back me up when I talk to them next week.

Joe

Joe, I've been paying 90% or more of bills electronically or via Auto-Withdrawl since 1986 -- the Utility company cannot withdraw money via an ACH transaction w/o your written permission. As was said, there are many ways they can get that, but they need to be able to show you.

There is no security on this type of transaction -- IE the bank will honor any ACH transaction when presented with the right account number & routeing codes .. which also means that if your employer direct deposits money they can also withdraw it --- DAMHIKT .. You lock your account to these type of transactions if your bank allows that. I don't believe (but I am not sure I am right on this) they are required to do that. I am pretty sure however it's an all or none type setup if they do it.

Basically though I suggest you keep all your money in a savings or seperate checking account and transfer just enough to cover checks/payments. I do that for all my accounts and Internet Purchases via an account w/a debit/credit card. The one I use online is a seperate account and I xfer money into it to use. I also use if for automatic withdrawls like my mortgage, car payments, etc.. but my check direct deposits into another account so I have to xfer money (which I do via online banking) into the payment account.

Probably more than you want to know -- but the convienence of automatic payments of bills makes it worth it to me.. and using multiple accounts makes it a bit safer -- they can't withdraw money that isn't there!

[Bill Grumbine]

Hi Joe

By all means, show up in person and voice your displeasure - very politely of course. Having met you in person in Indiana at Ray and Lynn's place last year, I know that you will get your message across in no uncertain terms. It works that way for me too. :D :D :D

Bill

[Jason Roehl]

Hi Joe

By all means, show up in person and voice your displeasure - very politely of course. Having met you in person in Indiana at Ray and Lynn's place last year, I know that you will get your message across in no uncertain terms. It works that way for me too. :D :D :D

Bill

Is that why no one ever takes me seriously?
:D