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You don’t understand cross collateralization if you think it’s anything like two accounts being linked
I understand what it means but conceptually, in the real world, is it that different than a set-off? IE, I have money in the bank to pay my mortgage and they zero it out for a boat loan that's in default.
What I'm getting at is that in the grand scheme of the slings and arrows one suffers when in a really tight financial spot, this one is simply an also-ran, and I don't see it as any more insidious than a lot of things that catch people by surprise.
I understand what it means but conceptually, in the real world, is it that different than a set-off? IE, I have money in the bank to pay my mortgage and they zero it out for a boat loan that's in default.
What I'm getting at is that in the grand scheme of the slings and arrows one suffers when in a really tight financial spot, this one is simply an also-ran, and I don't see it as any more insidious than a lot of things that catch people by surprise.
What bank zeros out your checking account for a boat default?
I'm not talking about "linked accounts." The bank I worked for would take money from other cash accounts to pay overdue mortgages and credit cards, on a generalized, fine-print, cross-asset basis. Not because the customer had set it up that way, or allowed it to be set up.
What bank zeros out your checking account for a boat default?
Most of them will/can. It’s called a set-off. https://www.nolo.com/legal-encyclope...k-setoffs.html
I know a guy that \almost got evicted for it. He went into default on a loan for a snowmobile, the bank took it out of his account and consequently he bounced the rent check.
I actually attempt to understand what I am agreeing to when I open an account or take out a loan but it seems most places are not exactly transparent in disclosing the real practices.
Most of them will/can. It’s called a set-off. https://www.nolo.com/legal-encyclope...k-setoffs.html
I know a guy that \almost got evicted for it. He went into default on a loan for a snowmobile, the bank took it out of his account and consequently he bounced the rent check.
So having an account with assets at the same firm carrying your loan, ie offset could occur at a bank or Cu. What wouldn’t occur at a bank is repo’ing your car if you defaulted on a credit card, personal loan. So it’s not the same or similar
Find a better credit union. There's plenty out there that are highly rated.
Mine is the most highly rated in the area, and this is the first fee I've paid on anything in almost two years. I don't mind the occasional fee that actually represents some service value. It's this one - being charged because I did not use the adjunct service - that boggles me. I opted out of the service; all done.
I had two successive overdrafts on my business account from a bizarre chain of old online subscriptions hitting PayPal, which had been switched to this account, and failing to charge the credit card (which would have been easier to straighten out)... but when all was said and done they reversed the bounce charges with a smile.
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