I was checking my bank account and noticed two checks had cleared in the amount of 30.00. I knew that these checks had already been paid by my bank in the amount of 9.58 and 22.19. The same check numbers were used twice, once for the check amount that I wrote and again for each 30.00 charge. The original check amounts were returned as NFS once and paid the second time around. I called the bank and they said that the charge was because the merchant can charge that fee if the checks are returned once. I was under the impression that in order for them to take a fee directly out of my account that I had to sign a notice that the store puts on the back of the check stating that it's an EFT. The bank said that the store could just have a sign up somewhere by the register. So is this legal for them to take more money out using the same check number without a signature? I am in Ohio. Thanks for any help!
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NSF fee taken out of my account
- Thread starter baker10
- Start date
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Veronica1228
Senior Member
baker10 said:I was checking my bank account and noticed two checks had cleared in the amount of 30.00. I knew that these checks had already been paid by my bank in the amount of 9.58 and 22.19. The same check numbers were used twice, once for the check amount that I wrote and again for each 30.00 charge. The original check amounts were returned as NFS once and paid the second time around. I called the bank and they said that the charge was because the merchant can charge that fee if the checks are returned once. I was under the impression that in order for them to take a fee directly out of my account that I had to sign a notice that the store puts on the back of the check stating that it's an EFT. The bank said that the store could just have a sign up somewhere by the register. So is this legal for them to take more money out using the same check number without a signature? I am in Ohio. Thanks for any help!
Well, I'm a bit stumped on this one, but let me ask you a few additional questions. When you initially gave the merchant the checks, did they have you sign a slip and inform you that the funds would be taken out electronically, or did the actual paper item come through your account? I'm not sure if this is important yet, but it will help to know what kind of transaction this is. A lot of merchants are utilizing the new software and programs that banks are offering due to Check 21. If the original items came through electronically via ACH with a SEC code of POP or WEB etc, then it is possible that the merchant is allowed to charge you. Contact your bank and the merchant to get a few more details.
No, no slip was signed and the check was not voided out and handed back. My bank is usually very reliable, but recently merged with another bank and now everything is live and confusing. The fact that really made me wonder was that both 30.00 fees were posted under the same check numbers. In the past, it seems that if a check fee was taken out electronically, we had to sign the back of the check or got back the voided check and the fee was posted as some other reference number rather than the same check number. Thanks for any help.
Veronica1228
Senior Member
baker10 said:No, no slip was signed and the check was not voided out and handed back. My bank is usually very reliable, but recently merged with another bank and now everything is live and confusing. The fact that really made me wonder was that both 30.00 fees were posted under the same check numbers. In the past, it seems that if a check fee was taken out electronically, we had to sign the back of the check or got back the voided check and the fee was posted as some other reference number rather than the same check number. Thanks for any help.
Okay, then based on what you are saying this was not done via the old method that is not used much since Check 21 was enacted. It is still possible that the original checks were sent through electronically via the new method. If this is the case, and you will need to check with your bank to be certain, then what the merchant did would most likely be permissible because of Check 21. However, this would only be true if your bank was correct in guessing that the merchant had some sort of notification posted that informed you that they will charge your account electronically for any returned checks.
I have to admit, however, that this is a guess on my part because Check 21 is new and since I no longer work with personal accounts I'm a little out of the loop. Unfortunately, my office is closed for the weekend, but if no one on this board has a more definite answer, I will research it on Monday and post back.
Veronica1228
Senior Member
baker10 said:Thank you Veronica! I don't have a problem with it, if it was legal. The woman at the bank did say that she thought they would have a sign up at this particular store. Have a nice weekend!
Just wanted to post back and let you know that my instincts were correct. As long as this information is disclosed in some method, then it is legal for the merchant to debit your account for the fee. I just had to check with my legal team for verification.