Dealing with Bank NSF's

[Lavelle1997]

Hello, I had filed BK on 2/15/07 and awaiting my discharge in approx. 10 days. However, I have a problem & then a question.

First, I had a National City bank account that was closed due to NSF in the amount of approx. $1000. It was closed in June of 2006. I opened up a new shortly thereafter.

I listed the debt in my BK w/o any problem from my atty & trustee.

My question is that even though the debt looks like it will be discharged w/o objection, is it still possible to be brought up on criminal charges for fraud?

It was thinking about reaffirming the debt, but want to talk to my attorney.

I do not know how Ohio laws work, but if figure that if a warrant was going to be sent out, I would have received it know. I also moved since I closed my account.

I am I'm safe, should I reaffirm the debt, or what. Like I said, I have not heard anything regarding fraud.

Your advice & suggestions are appreciated.

[FilingOnMyOwn]

My question is that even though the debt looks like it will be discharged w/o objection, is it still possible to be brought up on criminal charges for fraud?

Its way too late for that. You're in the clear. Don't reaffirm anything.

[CindyLou]

just like any other debt. the only thing you can't get out of in BK is owing on a bad check. meaning the check went back to the merchant and they decide to press charges. you are fine in your situation!

[Lavelle1997]

Dealing with NSF's

So in other words, just leave them alone! As one person said they can still come after me for the NSF's. Wouldn't it be better to attempt to pay it off to avoid criminal charges!

The S.O.L. is 2 years in Ohio. My NSF's were from payday loans and car repairs. They are placed with Allied Interstate & Global Paymentd.

How many people who have wrote bad checks or NSF's on this forum have been sued or prosecuted?

Hate to be a pain, but the prospect of being kicked while on the ground bothers me. I would like to avoid prosecution at all costs.

Thanks.

[CindyLou]

There are two VERY seperate things that we are talking about...actually 3 maybe.

1. Overdraft fees from your bank - These are the fees your bank charged you when they PAID your check or debit charge when you did not have enough funds and resulted in a negative account balance. Example: You wrote a check for 100.00 to Albertsons. The check did not bounce. They paid Albertsons the 100.00 and it resulted in a negative 100.00 account balance, PLUS the bank then charged you a 25.00 NSF fee.

2. Bounce Check and NSF Fees - Example. You wrote a 100.00 check to Albertsons and the check bounced. The check was sent back to Albertsons as a NSF and your bank charged you a 25.00 NSF fee.

3. The third thing is your payday loan. Because this varies from state to state I'm not sure if they treat it as a bounced check or preauthorized debit. I would check with your bank and see which one it is considered.

If your situation fits into the #1 scenario, then don't sweat it!! Include it in your BK and forget about it.
If your situation fits into the #2 scenario, then the fees from the bank can be included in your BK BUT the amount you still owe the merchant is still outstanding and they could press charges.
As for the #3 scenario, check with your bank and/or your attorney to see how the payday loan is classified. Hope this helps.!

[desperation]

To Lavelle1997
I'm in the same boat. Attorney said about 1 in 1000 chance that I could be prosecuted. All my NSF's were incurred by debit card. To my knowledge the bank covered them by way of courtesy overdraft. (those things are insidious). It's been 6 months and the account has been sent to collections, but I've not heard any word on criminal charges being brought.

I had another attorney advise me that I would'nt be prosecuted, but that I could be sued and that Chapter 7 would address that.

So I'm not sure who I believe any more. My new attorney said if it helped me sleep better at night than to make arrangements with my bank for payments after going BK.

Does your attorney have anything to say?

[CindyLou]

If the bank paid the debit charge you cannot be prosecuted. That becomes a bank/customer issue. The bank is not the one that prosecutes in the first place. Only the recipient of the "hot check" can prosecute. So, if the bank paid the check or the debit then its their problem and yes, they can sue you for a judgement, unless of course you have filed bk. Do not make arrangement for something that is dischargeable in BK.

[desperation]

Thanks Cindy,
I have heard that Telecheck/Chex will send you a notice when you owe a merchant. I was told about a month ago that I was going to be reported to Chex, but haven't received any nasty letters from them. Hopefully I'm in the clear and BK will wipe this out?

[CindyLou]

Telecheck and Chexsystems are two seperate companies. They are not collection agencies. They are consumer credit agencies. The only thing they do is "hold" your credit information as it pertains to banking. They are exactly the same as Transunion, Experian, and Equifax except they hold information on overdraft accounts, NSF checks, etc. So, just as Transunion would never notify you that your Capital One card is overdue, these two agencies would not notify you that you have negative banking information. Hope this helps. So, once an account is included in BK these reports would then show a zero balance.