How To Reclaim Overdraft Fees Against Banks
For decades large banks have practiced predatory overdraft policies that are designed to target the customers who can least afford them.
Instead of putting simple measures that will freeze an account or cancel a purchase if a customer’s checking account goes below zero, banks put overdraft fees that put their customers in an even more unstable financial situation.
Fortunately, there are ways for you to fight overdraft fees and get your money back. Continue reading the article below to learn more.
Research Class Action Lawsuits or Arbitration on Your Bank
You might be surprised to find out that many banks are in the middle of class action lawsuits or arbitration agreements because of their unfair overdraft fees. Currently, Wells Fargo and Chase bank have arbitration agreements in order to avoid a class-action lawsuit over their predatory overdraft policies. This means in order to fight overdraft fees with these banks, you have to settle out of court individually. Fortunately, there are law firms that specialize in arbitration cases and can fight for your rights.
Speak To Your Bank Manager
If you are struggling to find legal representation, your best bet is to contact your bank directly. However, for this to work, you need to formulate a plan of attack. Below are four steps you should take before contacting your bank.
Collect All Necessary Information
This includes bank statements and receipts. In order to fight overdraft fees, you need to have the exact amount you were charged, the date you were charged, and the purchase that triggered the overdraft fee on record. Having this information on hand and prepared will make it much easier to communicate when it’s time to talk to your bank.
Practice Your Phone Call
Practice makes perfect, and if you have ever taken a public speaking course, you will know how important rehearsing your speech is before you try to persuade someone. Mentioning your history with the bank, your lack of overdraft penalties, and the circumstances surrounding this fee, can help persuade the bank manager.
Contact Your Bank
Once you have gathered the documentation and practiced the phone call, it is time to contact your bank. The customer service line is usually the best place to start, although knowing banks, you will likely get redirected.
Persistence Is Key
It is impossible to predict how the customer service agent will respond to your overdraft fee request. They may immediately agree to negate the fees, and your work is done, but they may not. That doesn’t mean you should give up, however. When trying to fight overdraft fees, persistence is key. Ask to speak to a manager or supervisor. You can even gall at a later time to see if you reach another agent.
You Have Rights, and The Banks Should Hear Them
If you believe you have been a victim of predatory overdraft practices, you have every right to seek legal counsel to help get your money back. Banks have routinely promised to change their overdraft policies, yet for many, they still continue. Until that day comes, there will be law firms willing to fight for you.