Great Blog on redtape.msnbc.com....re: DEBIT CARDS!!!

[AMISLANDER]

The topic is $40 Big Mac's...or what it costs when your debit card lets you overspend.....

This happened to me a few months ago...I got charged $350 on $30 worth of little charges.....I had no idea that it would let me spend what I didn't have...Bank of America...who else....

There are great comments following the article....I printed the whole thing (76 pages w/comments)...can read at my leisure & show my boyfriend how easy it is to bounce your account without even using a check!

[SinkingFast]

Our daughters have just gone thru this same thing. First one and then the other one. Flashing the Debit Card and spending money they did not have.

Daughter #1 got lucky and caught hers at 3 debit over draft charges. $93 total for her. Daughter #2 got charged 8 seperate $31 over draft charges on a total of about $35 worth of purchases. Lunch at Mickey D's. A cappucino at Star Bucks. $5 subscription fee to an online game site. Small purchases like that.

We don't have an "over draft" protection LOC with our bank on any of our accts. So every time we bounce a check or ding with the Debit Card, it's a $31 fee.

Needless to say, they learned the hard way to watch their balances online.

[niteflytes]

I've had it happen too, so much so at my old bank that I finally changed banks. Somehow they were manipulating my transactions so that a bunch of small change transactions cleared right before I got paid, putting me into severe overdraft mode. I had almost $500 in overdrafts once. I went to the bank and BEGGED them to show some mercy. I ended up crying like an idot and the young woman I was talking to was a royal ***** to me but in the end I got the overdraft fees reduced by about half.

My new bank is 100% better to deal with and the assistant manager actually took the time to explain a lot of things to me such as how/why transactions will appear on my online account and then drop off and reappear, or that the gas stations only charge $1 to my card initially and then when the trasaction clears the full amount shows up on my account.

Anyway, I am now obsessed with checking my bank account several times a day, making sure everything is recorded. And even though I don't recommend using payday loans I have taken out small payday loans to pad my checking account if my balance is extremely low and I'm afraid I may go into overdraft status. I'd rather pay $15 in interest on a $100 loan than pay several hundrend dollars in overdraft fees. My payday loan rules are I don't take out a large loan, only the bare minimum that I need to cover my account for a few days until payday, and I NEVER, EVER renew the loan. I pay it in full on payday and do not take out another loan unless it's close to payday and I need a few extra bucks to prevent overdrafts.

It amazes me that banks will now let you spend money you don't have. I can remember a time when that would never have occured.

[bige1030]

Before BK, I had been overdrawing my checking account, unfortunately, to keep up with my new, "improved," higher minimum payments on my credit cards that I was already not making any dent in. I was hit with fees of $28.97 left and right every overdraft. One time, I didn't want to pay Chase, but I stopped the auto-pay thing too late, and their payment was attempted twice before they gave up. Luckily, I was able to discharge the overdraft line in the bankruptcy, without objection and with no questions asked.

[SinkingFast]

I've had it happen too, so much so at my old bank that I finally changed banks. Somehow they were manipulating my transactions so that a bunch of small change transactions cleared right before I got paid, putting me into severe overdraft mode.

That's probably from Check 21.

http://www.federalreserve.gov/paymen...ms/truncation/

Check 21 was signed into Law October 28, 2004.

Check 21 allows for Debits, electronic (which includes replacement paper) and paper checks, to clear before Credits/Deposits.

Banks post most transactions in the middle of the night. Debits will be posted first and then your Credits/Deposits.

[AMISLANDER]

I called Bank of America yesterday & lowered my ATM alloted cash withdrawl to $20....we're basically such a cashless society anyway and asked about the check card limit....would you believe it was a whopping $3,600????? I told them to lower it to $1,000 but they said that is only a temporary change & in two weeks it reverts back to the original amount. Anyone know anything about this freaky thing???

Like I'm ever going to use my check card for a purchase that high?!

I truely recommend reading that blog & the responses that follow....

I am truely amazed, once again, at our world & it's inconsistencies...no wonder people self medicate!

[SamanthaJones]

Regarding self medicating?

60% of Americans used prescription drugs for 'other than the prescribed purpose'. (Narcotics, for example).
25,000,000 Americans are on antidepressants.
At any given time it is estimated that as many as 50% of all physicians and dentists are under the influence of drugs and/or alcohol.
And etc.~

[lrprn]

60% of Americans used prescription drugs for 'other than the prescribed purpose'. (Narcotics, for example).
25,000,000 Americans are on antidepressants.
At any given time it is estimated that as many as 50% of all physicians and dentists are under the influence of drugs and/or alcohol.
And etc.~

Samantha, when you post statistics like this in the forum, would you also please include your source? I did a quick search and can't find figures like yours anywhere. Where did you find these?