bank account ?

[munchkn813]

I have read a lot on here about not giving the creditors your bank account info as they will empty your account.

My problem is that many of them already have that info from me. The past several months where we were struggling to make payments on all of our cards, I would call the day before or day of the payment being due and set up the payment to avoid late fees, etc. Some of them have mentioned my bank account when they have been calling (I answer the calls once in a while to let them know they have reached me and try and keep calls away from DH's and my cell phones and them calling anyone else looking for us) but I just continue to tell them I can't make a payment at this time and don't know exactly when I will be able to.

None of my credit cards are from the same bank as our checking/savings account but they still have the info. Can they just help themselves to it? Do we need to look into a new bank? or...what? We both have direct deposit, so I hate to have to go through that, but that would be better than then taking what little $ we do have...

Just took a call and got our first settlment offer...that was fast. We are a month and few days past our last credit card payment on all of our cards (30 of them, *gulp*)

[ToughTimes]

We opened an account at a different bank and arranged for our direct deposits to go there.

We find this to have been a lot less inconvenient than having an overdrawn account while we argue that moneys should not have been allowed to be debited to this or that creditor, either with the bank or the creditor or both.

Of course, while those arguments are taking place, there's no money for groceries, fuel with which to commute, or any other necessary thing.

As it turned out, none of our accounts at any bank or credit union were "invaded". Still, the inconvenience was small and provided a great deal of peace of mind. One less problem to worry about having.

[lrprn]

I have read a lot on here about not giving the creditors your bank account info as they will empty your account.

A single creditor bank or credit union can only do this if there is a cross-collateralization clause in the contract you signed when you opened each account or applied for a cc or other loans from the same bank or credit union.

None of my credit cards are from the same bank as our checking/savings account but they still have the info. Can they just help themselves to it?

No, they can't "just help themselves to it" - see my explanation above about the circumstances that allow the same bank or credit union to take money from one account to pay another that's in default.

[coolmom04]

We opened an account at a different bank and arranged for our direct deposits to go there.

This is what we did, too - just to cover our butts. Plus, I hated the places we banked. We had five different checking accounts - my personal, husbands personal, one joint for grocery budget, my husband's joint from when he was a teenager at the CU and used it only to pay the cc through the CU, and then our joint where we paid all the bills and other budget stuff. It was stupid to have so many! I wanted to consolidate for years, but we just never did it.

Now, we have only one checking account at a completely new bank

[treehugger1]

I've known folks who have a single bank account that only holds direct deposits. They then electonically transfer money from this accounts to 2-3 other accounts used to pay bills. I can understand why someone might do this. The "deposit" account is never used to pay a single bill or write a check against. Without a court order or debtor exam, I doubt the "deposit" account shows up anywhere except in possible mandatory reporting under IRS regulations. I find it interesting that I recently inquired into opening a new checking account, and a couple of banks and CU's stated they do not pull chexsys or credit reports. You can always tell the bank rep that you do not authorize them to perform a chexsys or credit report. They will either allow you to open an account or they will not allow you to do so. If you are worried about such things, then you should consider protecting yourself form the very beginning. I think most of us never gave this a thought until a financial crisis hit us. Who goes into a bank thinking, "I am concerned about the exchange of my personal information through the financial industry." Most of us simply trust that the banks will protect us and our personal information. In general, I think the banks can be trusted with such information. It is "us" who readily gives out banking information to make our lives more convenient; online ACH payments, bill pay services, automatic payment deductions, etc.

[ryan]

.... I think most of us never gave this a thought until a financial crisis hit us. Who goes into a bank thinking, "I am concerned about the exchange of my personal information through the financial industry." Most of us simply trust that the banks will protect us and our personal information. ....

Yes, I agree completely...I am going thru the same concerns now, as well.