Check card bouncers.......protect yourself...

[GeekDrew]

No, fintheman, you're not giving a little tip out. And no, it's not a way to avoid having overdraft charges if you make a simple mistake.

*Many* people still use checks. Should they also set their overdraft limit to $0? Here's a hint: if I were in that situation, I'd rather pay a few $35 convenience fees, than spend a few days in jail (which happens to people all the time around here that bounce checks).

 

[JS80]

Originally posted by: fintheman
"You knew you had no money in there yet you kept making purchases. "

Ummm, what part did you not see......

So you are telling me, you would willigly let someone spend money they don't have WHEN YOU KNOW THEY DON'T HAVE the money and you have the power to stop it?

If they do what you're asking, you'd probably be b*tching "OMG stupid bank declined my card because of $2 omfg it was so embarrassing at the restaurant/I was stranded at the gas station/etc"

It goes both ways. It's a service that they provide.

 

[Oakenfold]

I'm guessing you didn't read your bank's TOS when you opened the account or those statements that contain changes to your current account agreement?
After all you did open the account with them right?

 

[FLWRHART]

you dont need an overdraft if you know how much is in your account in the first place

 

[AnonymouseUser]

Find a better bank.

I have overdraft protection via "Checkline Reserve" with a $1000 limit. When I use a debit/check card or write a check for more than I have deposited in my account, the bank automatically covers me by depositing cash from the Checkline Reserve into my account in $100 increments until the transaction is covered. No overdraft fees, no transfer fees, nothing except 18% interest on the amount they "loaned" me until I pay it back.

I use it all the time to pay bills on time or whatever, but I promptly pay it back at next payday (via online transfers) instead of making payments monthly. Total interest charges so far this year are less than $10. Works great and I love having access to this credit account. Saves me money in late fees, additional interest on mortgage, etc.

 

[Schfifty Five]

Dude, just use a credit card. Your credit score can't be so bad that a CC is impossible. And don't give me the BS of you never want to be in debt or something like that. And definitely don't give me BS about how you aren't responsible enough for a CC.

If people can use a check card for everyday purchases, I see no reason why they can't responsibly use a CC. You avoid so many small annoyances with a CC and you get benefits + protection. Notice I said "RESPONSIBLY". If you can use a CC responsibly, you have no excuse not to.

 

[Wag]

I consider using my check card exactly the same as writing a check (even better because I can't post-date it). If it's not in my account, I don't write it.

 

[huberm]

I got a letter today from my bank....."On April 20, 2006 your account, xxxxxxxx, was overdrawn $0.01. Items were paid, and according to the overdraft protection agreement, $9.01 has been transferred to your account to cover the overdraft. Your account has been charged $9.00. If you have any questions concerning this notice, please contact your banking center."

 

[edro]

I have overdrawn my checking account in the past due to poor planning and automatic bill pay. It sucks.

What's great is when you use your checking card like 5 times in a weekend for stuff ~$10 each, and you rack up like $200 in fees. I did that once.

Thanks for the tip!

 

[edro]

Strange...

I just called my bank and they told me that they cannot do that. They said that the funds are provided by Visa (the check card type) and that they don't really have anything to do with it.

I asked what happens if I overdraw my account, and I don't want to be charged a fee, just have the card declined, and they said they can't do that.

My bank is Huntington.

 

[edro]

bump!

 

[Horus]

Originally posted by: fintheman
"I've got a better idea.

Don't spend money you don't have! "

I have plenty of money, just none in that account.

It is unethical for a bank to continue on charging you when THEY KNOW YOU DON'T HAVE THE MONEY.



Its all about ethics here. If you held money for someone, and they said I want to spend 1000 for this, and you know they only had 800. Wouldn't you tell them?

The banks are doing that, but instead of telling them, they sit back, laugh and charge you on top of it. We live in a digital age where the check card HITS the bank everytime and asks "Are there enough funds"

In a perfect world where banks weren't trying to be greedy bastids on people without money, they would simply relay the message "No, not enough funds, decline" Instead they say "Sure there is money (lying)" then they charge you on top on that.

This is why the american system of banking is retarded. Here in Canada, there are 6 or 7 major banks, and then some smaller ones. Our debit cards are linked directly to savings/chequings accounts, and when we pay for stuff at Interac terminals (which are in every store in Canada, basically), it comes right out of the main account you use. Couldn't be easier.

 

[dullard]

Originally posted by: JS80
reason #50000 to not use your debit card in lieu of credit card.

Yep, debit cards should never, ever be used for any reason at all. A CC is better in every way possible.

If you can't control your spending, don't use a CC, but then don't use a debit card either.

 

[GeekDrew]

Originally posted by: Horus
This is why the american system of banking is retarded. Here in Canada, there are 6 or 7 major banks, and then some smaller ones. Our debit cards are linked directly to savings/chequings accounts, and when we pay for stuff at Interac terminals (which are in every store in Canada, basically), it comes right out of the main account you use. Couldn't be easier.

That's how debit cards work here in America too. The VISA network is (for purposes of this discussion) just the gateway used by the financial institution. Debit cards withdraw cash from your primary account immediately.

Originally posted by: dullard
Yep, debit cards should never, ever be used for any reason at all. A CC is better in every way possible.

If you can't control your spending, don't use a CC, but then don't use a debit card either.

Except when you can't get any CC companies to approve you for a CC. :|

 

[edro]

Originally posted by: GeekDrew

Originally posted by: Horus
This is why the american system of banking is retarded. Here in Canada, there are 6 or 7 major banks, and then some smaller ones. Our debit cards are linked directly to savings/chequings accounts, and when we pay for stuff at Interac terminals (which are in every store in Canada, basically), it comes right out of the main account you use. Couldn't be easier.

That's how debit cards work here in America too. The VISA network is (for purposes of this discussion) just the gateway used by the financial institution. Debit cards withdraw cash from your primary account immediately.

The way my bank explained it to me is that Visa covers the funds immediately, then right after that, your bank puts a hold on the funds, until it they get the signature information or whatever verification back from the merchant.

I know what you mean (it comes straight out of the checking), but my bank is telling me that Visa is the one who covers the initial charge, which I find hard to believe.

 

[FoBoT]

how does the overlimit thing work on CC's?

if it was impossible to go over on your CC's, then why/how do you get an overlimit fee?

you people that say always use a CC, you make is sound like it is impossible to go over on a CC

 

[edro]

Originally posted by: FoBoT
how does the overlimit thing work on CC's?

if it was impossible to go over on your CC's, then why/how do you get an overlimit fee?

you people that say always use a CC, you make is sound like it is impossible to go over on a CC

I think in most people's cases, the limit is much higher than their normal spending habits. I routinely get letter in the mail saying my limit has gone up, and I always use the same range on my card. I think I have a $15,000 limit and I have never gone over $1,000 on my card.

I just don't like the idea of having all my monthly expenses being on a credit card. I would rather them take it directly out of my checking.

 

[SaturnX]

Let me get this straight... you're mad because you don't know how to monitor your own expenses? Everyone with half a brain knows what NSF fees are, if you don't you should be keeping your money in a jar under your bed.

Seriously, some people amaze me....

 

[AbsolutDealage]

Originally posted by: dullard

Originally posted by: JS80
reason #50000 to not use your debit card in lieu of credit card.

Yep, debit cards should never, ever be used for any reason at all. A CC is better in every way possible.

If you can't control your spending, don't use a CC, but then don't use a debit card either.

I don't see that at all. I don't use checks, and I don't overspend out of my debit card account. I pay my bills out of a seperate checking account. If I do end up overdrafting on my debit card account, my bank will charge me $1.00 and transfer the needed funds from my linked savings account.

I don't need the extra inconvenience of paying a CC bill, I just cut out the middle man and pay directly. I have a certain amount of money per week, and I can check it real time online...

I don't see how charging everything to a credit card would be in any way beneficial for me.

 

[dullard]

Originally posted by: FoBoT
how does the overlimit thing work on CC's?

if it was impossible to go over on your CC's, then why/how do you get an overlimit fee?

you people that say always use a CC, you make is sound like it is impossible to go over on a CC

If you use a CC just like you use your debit card, then you'll have a $0 balance at the end of each month (you pay it off in full). In this case, you'll have many thousands of dollars to spend without worry of reaching the limit. How many people who get into negative checking account balances can say the same thing? Few if any.

Basically, if your checking account has typically $200, then many times a series of small purchases may make you go below $0 and then you'll face hefty fees. But if your CC limit is $20,000, would these small purchases ever get you over the limit? No. Plus, if for some really odd reason you were reaching the limit (A) use your checking account or (B) request an increase in your limit.

CliffNotes: Yes you can go over, but it is far less likely. And if you use it responsibly (pay it off each month) it is virtually impossible to go over in normal usage.

 

[AbsolutDealage]

Originally posted by: dullard

Originally posted by: FoBoT
how does the overlimit thing work on CC's?

if it was impossible to go over on your CC's, then why/how do you get an overlimit fee?

you people that say always use a CC, you make is sound like it is impossible to go over on a CC

If you use a CC just like you use your debit card, then you'll have a $0 balance at the end of each month (you pay it off in full). In this case, you'll have many thousands of dollars to spend without worry of reaching the limit. How many people who get into negative checking account balances can say the same thing? Few if any.

Basically, if your checking account has typically $200, then many times a series of small purchases may make you go below $0 and then you'll face hefty fees. But if your CC limit is $20,000, would these small purchases ever get you over the limit? No. Plus, if for some really odd reason you were reaching the limit (A) use your checking account or (B) request an increase in your limit.

CliffNotes: Yes you can go over, but it is far less likely. And if you use it responsibly (pay it off each month) it is virtually impossible to go over in normal usage.

However, you still end up in the same boat if you are overspending (although minus the NSF fees). If you are talking about chronic overspending, you will end up carrying a balance and probably pay more in interest than you would have in the fees on the front end.

 

[dullard]

Originally posted by: AbsolutDealage
I don't see how charging everything to a credit card would be in any way beneficial for me.

1) 1%-5% cash back on everything you buy.
2) Earn interest for 20-50 days on your money.
3) Federal protection laws - purchaser protections on fraud, disputes of charges, etc. IE if you get scammed, you get your money back as stated in federal law.
4) Many give free 1+ year warranty extensions.
5) Often you get free insurance on what you buy.
6) You can have it automatically paid from your checking account so it acts just like a debit card anyways AND you get all these benefits.
7) Dozens more reasons.

 

[dullard]

Originally posted by: AbsolutDealage
If you are talking about chronic overspending, you will end up carrying a balance and probably pay more in interest than you would have in the fees on the front end.

Like I said in the beginning, if you cronically overspend, a CC is not for you. But neither is a debit card. In that case, stay away from both.

 

[GeekDrew]

Originally posted by: edro

Originally posted by: GeekDrew

Originally posted by: Horus
This is why the american system of banking is retarded. Here in Canada, there are 6 or 7 major banks, and then some smaller ones. Our debit cards are linked directly to savings/chequings accounts, and when we pay for stuff at Interac terminals (which are in every store in Canada, basically), it comes right out of the main account you use. Couldn't be easier.

That's how debit cards work here in America too. The VISA network is (for purposes of this discussion) just the gateway used by the financial institution. Debit cards withdraw cash from your primary account immediately.

The way my bank explained it to me is that Visa covers the funds immediately, then right after that, your bank puts a hold on the funds, until it they get the signature information or whatever verification back from the merchant.

I know what you mean (it comes straight out of the checking), but my bank is telling me that Visa is the one who covers the initial charge, which I find hard to believe.

I too find that rather hard to believe. VISA is just a network, not a bank, correct?

 

[FoBoT]

and even if you go overlimit on a CC, it is a single $39 or whatever charge, not $39 for each item that occured after you went over


cash is so much better, too bad you can't use cash online and to rent cars and hotels and stuff