I may be going on a lawsuit spree...

[Harold Burrell]

Man...what a fun-filled few days. And it ain't over.

I ordered a dress for my wife last week. A really fancy, old-fashioned thing that she really liked. It was "on sale" for $129.99.

I put the order through online. Got a confirmation email. My wife was happy. Life was good.

2 days later I got shipping confirmation. Nice.

However...

On Saturday, I got something in the mail from my bank saying that my account was overdrawn. I got online and checked and...WHAT THE??? I am over $100 overdrawn!!! I look through the transactions and see that the company actually charged me $294.95! Which started an virtual avalanche of overdrafts. $35 a pop.

As of right now, I am over $200 in the red...$145 of it is from fees from the bank.

I have been on the phone all day over this thing. The company has agreed that they "made a mistake" and will refund the $164.96 over-charge, but...so far...neither side is giving in regarding the fees.

So, yeah...I may be taking somebody to court. Perhaps I will ask for a million.

[Cody Pierce]

Why not report the fraud to your credit card company and move on with your life?

[Stephen Tashiro]

As an aside, I recall that a bank (Wells Fargo, I think) was sued in a class action because the bank schemed to process checks in the order that would maximize overdraft fees instead of processing the checks as they came in.

[Kent Adams]

He used his checking account's debit card, thus the overdraft fees.

[Glenn Clabo]

Find a bank or credit union that doesn't allow overdrafts. They just reject the transaction. This is just one way of preventing fraud.

[Pat Barry]

Good luck with your lawsuit.

[Mark Blatter]

As an aside, I recall that a bank (Wells Fargo, I think) was sued in a class action because the bank schemed to process checks in the order that would maximize overdraft fees instead of processing the checks as they came in.

No, say it isn't so! A bank did something like that?

On another less sarcastic note, this is the exact reason I do not, and never will, have a debit card. I do not understand the idea of allowing random people direct access to my bank account. Using a credit card provides protections and a buffer, and much better security. I understand that in some cases it is not possible, but again, there are other options. I argue with my son about this at times.

[Harold Burrell]

Good luck with your lawsuit.

I'm (seriously) not planning on it. I am quite sure that a remedy will be offered.

However...there is always that chance...

[Wade Lippman]

so far...neither side is giving in regarding the fees.

What are the two sides? Unless you had not authorized overdraft protection, the bank did nothing wrong, so they are not a side.
I don't know if the store is responsible or not; depends on whether they are liable for incidental damages.
Perhaps it is different on the Moon, but in NYS you have have to go to the town the company is in to sue them in small claims court, which makes it impractical if they are not reasonably local. Also, the judge does not have to follow the law, but can act "fairly". He could decide that overdrafts were a foreseeable consequence of overbilling, or he could say that you were negligent in not having an extra $150 in your checking account. I like your odds if the store is local.

Last year I had a small claims suit before an arbitrator. She refused to let me say anything, and then ruled against me because I hadn't proven my point. True enough, since I hadn't said anything at all.
I appealed to a real judge and won. Have fun.

[Harold Burrell]

What are the two sides? Unless you had not authorized overdraft protection, the bank did nothing wrong, so they are not a side.

True. The bank did nothing wrong. But I would disagree that they are not a "side". They actually hold all of the cards when it comes to the fees. If you think about it, the "fees" are actually "fines"...leveled against those that overdraw. That's how I see them anyway.

Regardless, the fees are completely arbitrary. They can be pulled at the banks discretion.

Here is the bottom-line...I can come away from this with absolutely nothing. The store has promised to, at least, reimburse me for my over-payment. Unfortunately, that will still leave me in the red. If the store won't pick up the fees and make it right, I have the option to never do business with them again.

In the same way...if the bank does not offer me a reasonable remedy, I can do the same with them. Walk away from a "negative balance account" (of their own making) and take my business elsewhere.

As far as a judge saying I was "negligent" in not having an extra $150 in my account...Really??? I can't even imagine that.

[Matt Day]

No arguing the vendor screwed up, but to avoid overdraft fees could you keep a bit more money in the account to cover such things? Sounds like you had $195 in the bank and bought a $130 item.

[paul cottingham]

For many of us, we cant keep extra money in the bank. We dont have the money to cover possible malfeasance by a vendor, nor should we have to. Frankly, the company who cashed it for too much money should cough up the extra.

i would change banks, but not before i went in and created a loud, but polite public spectacle about this.

[Brian Henderson]

For many of us, we cant keep extra money in the bank. We dont have the money to cover possible malfeasance by a vendor, nor should we have to. Frankly, the company who cashed it for too much money should cough up the extra.

i would change banks, but not before i went in and created a loud, but polite public spectacle about this.

It isn't the bank's fault at all. They have absolutely zero blame in this. The fees are standard, everyone pays them and it isn't the fault of the bank, it is 100% the fault of the vendor. So why blame the bank at all for anything that's happened? It's absurd.

[John Lanciani]

True. The bank did nothing wrong. But I would disagree that they are not a "side". They actually hold all of the cards when it comes to the fees. If you think about it, the "fees" are actually "fines"...leveled against those that overdraw. That's how I see them anyway.

Look at it from the bank's perspective; all that they know is that you spent money that you didn't have and they had to loan you the difference. (Also, you agreed to their terms when you opened the account.) Not their fault, but if it is your first overdraft I would think that a little face time with someone from the bank that can actually make a decision would get you a satisfactory result. Keep calm, explain exactly what happened (with any documentation that you can show), and cleary convey to the bank rep what you think is a reasonable resolution. Calm, polite, and firm nearly always works, ranting rarely does.

[Wade Lippman]

In the same way...if the bank does not offer me a reasonable remedy, I can do the same with them. Walk away from a "negative balance account" (of their own making) and take my business elsewhere.
)

20 years ago both the store and the bank would have been willing to help you. I would be very surprised if either does today.
Rockler advertised a 10" blade; when it turned out to actually be a 250mm blade I had to fight with them to avoid a handling charge on the return. They absolutely refused to reimburse me for shipping. And I gave them a fair amount of business. (Thank God for Amazon!) Companies just don't care anymore. And they wonder why business dries up.

The real question is whether the bank will pursue you over the penalties. Probably not, but let us know.