Am I just destined to savings accounts?

[Mommy2Mason]

So. Last year, we had a checking account with Chase Bank. We consulted and retained an attorney last fall and will be filing bankruptcy this month, he told us that since we qualified for a 7 to stop paying on our unsecured accounts and we did. However, 2 of them were direct debit and refused to NOT take the payment. We stopped payment and closed our checking account at Chase by going into the branch so that they couldn't debit our account and rack up fees. We explained the situation to them and they said closing it would stop the automatic debit. No problem. When the creditor tried to take their payment out again, Chase reopened our account and then started giving us bank fees when there was no money in the account. We called, we went down there, etc. etc. they said that was their policy if things were automatically debited and we had no choice but to pay it. We have no money and didn't pay it. After racking up almost $400 in fees they closed the account. Now we're in Chexsystems because of them. What do we do? Is there any way we can fight this or is this typical policy with banks? The issue is that the banks that don't have Chexsystems won't give us a checking account because our credit score is too low and the rest rely on chexsytems. We are in Michigan and none of the banks on the list are anywhere near us. So, do we live on savings accounts and money orders until our credit score is raised after discharge or is there something we can do? Thanks!

Edited March 21, 2008 by Mommy2Mason

[drained]

Unless I am mistaken (and I very well could be), I think you can open a checking account ONLINE at BOA.

[Mommy2Mason]

I will definitely check that out, thank you.

 

My question is with these online banks and such, do you just have your paychecks direct deposited into them or do you have a savings in your town and then transfer the money there? I have no idea how that type of thing works.

[Mommy2Mason]

Okay, I applied to BOA online and we'll see what happens, if they approve us. Since it's a weekend I don't expect to hear anything until around Tuesday. Thanks for the suggestion!

[drained]

Once the account is open, it's just like a regular account, you can make deposits at a branch.

[Mommy2Mason]

Right, I figured that. But I did a search for BOA in Michigan - and there are none. When I set up the account, they had you choose your state and said since there were none in Michigan that they'd set mine up out of Virginia...and I'm just not up for a drive to VA every other week to cash a paycheck. :D But, they also had me do a thing where they put a small deposit in an existing account and once that's done and they approve you, you call and tell them the amounts and when they were depositing, verifying your identity and what not. And, it let me use a savings account. So, I could probably cash the checks into the savings at the credit union here and then transfer it all there for bill paying. But, we'll see if it even gets approved. Nonetheless, thank you for the suggestion!

 

Any idea if I can fight this through Chase/Chexsystems or if we're just going to be deemed unworthy? The report we got from the credit union today said that we had commited account abuse. And we truly didn't! I could understand if we HAD set out to abuse the account privileges/bank but we were trying to AVOID problems by racking up a bunch of bounced fees that we couldn't pay. It's the only problem we've ever had with a bank. How embarrassing.

[mca]

Chexsystems allows the vague "NSF" "ABUSE" AND "SUSPECTED FRAUD" flags because they are harder to dispute and remove. There are no clear standards for what is considered NSF, ABUSE, or FRAUD. They can mean anything a bank wants them to. What proof do they have to flag an account NSF, ABUSE, or FRAUD?

 

I would definitely file a dispute...where exactly do you live mommy2mason?

Edited March 29, 2008 by mca

[Mommy2Mason]

Chexsystems allows the vague "NSF" "ABUSE" AND "SUSPECTED FRAUD" flags because they are harder to dispute and remove. There are no clear standards for what is considered NSF, ABUSE, or FRAUD. They can mean anything a bank wants them to. What proof do they have to flag an account NSF, ABUSE, or FRAUD?

 

I would definitely file a dispute...where exactly do you live mommy2mason?

 

I live in Michigan. Do you think we have something?

Edited March 29, 2008 by mca

[mca]

I mean, sometimes if you file a chapter 7 they may go ahead and remove you. Once you are discharged, contact chexsystems and see if it is possible. Recently I have know quite a few people that were removed after they were discharged.

 

You can always set up direct deposit with a bank that will approve you regardless of where you live but as far as finding one locally, I am going to look to see if I can find anything additionally in your area

[Mommy2Mason]

Thank you, I sincerely appreciate it!

 

When we're discharged I will contact Chex about it. There is a credit union here - Security Federal - that would take us if our credit scores were over 600 but they aren't. I don't know if they don't pull Chex or if they don't care or what their criteria is re: Chex but they told us that we could have a savings now and after 6 months (unless our scores were higher before then) they would see about giving us a checking account.

[mca]

Have you considered a credit union that uses shared branching? I believe the one you just mentioned is on the list of shared branches .. but I am still checking for others in your area as well. This may be a good option for you though

 

JUSTICE FEDERAL CREDIT UNION

 

http://www.jfcu.org

 

 

-THEY DO NOT USE CHEXSYSTEMS AND ANYONE CAN GET AN ACCOUNT

MEMBERSHIP

 

If you're not eligible to join Justice FCU through any of the employee groups listed above and you are not a relative of an eligible individual, you can still join Justice FCU by first becoming a member of the

National Sheriffs' Association (NSA).

 

go to www.sheriffs.org and sign up that way and it cost $20.00 for the cheapest NSA membership... In about 2 weeks you will get a card from them copy it and mail it in with your application to JFCU OR

 

Once you pay online for the NSA membership you will receive an email within 24 hours stating your membership #. Print that and they will accpet that rather than waiting for your card.

 

 

EMAIL:01-22-08

Dear Prospective Member,

Thank you for contacting Justice FCU. We will obtain your credit report when the application is submitted and use this for verification of your identity. Other documentation may be required to complete the application. Unfortunately we would not know until you submitted your application if this would be true in your case. You may submit your application by phone or you may print, complete and mail your application with your deposit to 5175 Parkstone Drive Suite 200 Chantilly, VA 20151. Our application is available under Forms and Applications on our homepage.

Thank you,

Tracey

Communication Services Branch

 

 

ATM/Shared branch locator ( go here to see if there is one near you)

http://jfcu.locatorsearch.com/searchresults.aspx

 

once you have an account at Justice Federal Credit union, you could get serrvice on your account and make deposits at ATMs at the following

 

5080 Corunna Rd

Flint , MI 48532

 

4411 Calkins Rd

Flint , MI 48532

 

3458 Caulkins Rd

Flint , MI 48505

 

3378 Lennon Rd

Flint , MI 48507

 

6060 W Bristol Rd

Flint , MI 48554

[preezie]

Right, I figured that. But I did a search for BOA in Michigan - and there are none. When I set up the account, they had you choose your state and said since there were none in Michigan that they'd set mine up out of Virginia...and I'm just not up for a drive to VA every other week to cash a paycheck. :rofl: But, they also had me do a thing where they put a small deposit in an existing account and once that's done and they approve you, you call and tell them the amounts and when they were depositing, verifying your identity and what not. And, it let me use a savings account. So, I could probably cash the checks into the savings at the credit union here and then transfer it all there for bill paying. But, we'll see if it even gets approved. Nonetheless, thank you for the suggestion!

 

Any idea if I can fight this through Chase/Chexsystems or if we're just going to be deemed unworthy? The report we got from the credit union today said that we had commited account abuse. And we truly didn't! I could understand if we HAD set out to abuse the account privileges/bank but we were trying to AVOID problems by racking up a bunch of bounced fees that we couldn't pay. It's the only problem we've ever had with a bank. How embarrassing.

 

If I recall, LaSalle bank just got bought by BOA. I'm from MI originally and when I go home, I'm always frustrated by the limited number of BOA atms but I think I'm able to use LaSalle now fee free. Look into it.