Bank and Credit Card Offset
Date: Wed, 06/23/2010 - 07:02
I have cc card with my credit union. If I stop paying, can they take money out of my account immediately, or does it not happen until closer to charge off?? I do have another account else where that I will be putting my pay in. Thanks
They can't take money out of your account without your written a
They can't take money out of your account without your written approval or a court order if you state allows garnishment of accounts.
I assume you are referring to a judgement against someone. I th
I assume you are referring to a judgement against someone. I thought with right of offset the bank could just take what I owe if I default?
You are saying they cannot unless sue and win???
Thanks
I disagree. It is important to check your card agreement for th
I disagree. It is important to check your card agreement for the "right to offset" which is contained in many cardholder agreements. Mine with BOA and C*mmerce Bank had just such clauses. If I failed to make payments, they could take the money from another account with them just for the asking. So I switched my accounts to the United Bank of Main Street and they could not touch me.
dtm
An offset is different than a lien or a garnishment. I apologiz
An offset is different than a lien or a garnishment. I apologize for any confusion.
Quote:Originally Posted by danthemanI disagree. It is important
Quote:
Originally Posted by dantheman I disagree. It is important to check your card agreement for the "right to offset" which is contained in many cardholder agreements. Mine with BOA and C*mmerce Bank had just such clauses. If I failed to make payments, they could take the money from another account with them just for the asking. So I switched my accounts to the United Bank of Main Street and they could not touch me. dtm |
That being said, do you think it would happen after 1st missed payment or more like at charge off??
My credit union has these clauses in my cardholder agreement. T
My credit union has these clauses in my cardholder agreement. This agreement also ties any collateral with a loan through them to the cc as well. So for instance, my car loan is through the same cu. If I don't pay my cc and there is no money in a bank account to take, they can come and get the car even if the payments are up to date.
I have no idea when they would start using that clause, but my instinct is that they will simply try to get you to pay first so I don't think it would be with the first payment but most likely before 180 days.
I did not try to settle my card at the cu just for this reason. My attorney advised me to just pay that one in full to keep the car. Of course having these two items on my credit report will also help my credit rebound much faster so actually two reasons to not settle that card.
Quote:Originally Posted by OZZIE69That being said, do you think
Quote:
Originally Posted by OZZIE69 That being said, do you think it would happen after 1st missed payment or more like at charge off?? |
Maybe not after one missed payment, but we have given them the right to do so and in many cases people find their accounts drained. No point to the risk.
I have a keybank master card with my bank. My checking account
I have a keybank master card with my bank. My checking account is with keybank also. How can I find out if they have the right to take money from my account? I have mine and my husband's checks direct deposited in this account. It would be a lot of trouble to have everything changed and I really don't want to do that but now I am worried. I am not sure I have the original paperwork from when I got the credit card since it has been so long ago.
I would like to expand on this issue. We have 2 accounts at thi
I would like to expand on this issue. We have 2 accounts at this credit union, 1 in her name ($0 balance), and 1 joint account. The credit card with them is soley hers. I beleive that since I am not on card, they cannot tap into joint account. What do you all think?
Thanks