Robert
Irvine,#2
Sat, August 15, 2009
First a bank does not know it is fraud until it is reported, and if the check was already in process when you reported your account stolen it was probably too late to stop the second check. As for them "covering the funds", unlike Credit Cards checking accounts do not have the same protections. Some banks to encourage use of Debit Cards will do things such as issuing "temporary credit" on any Debit Card transaction, while they do their investigation. But for checks this is a rare item. Does this put you in a tough position..Yes.
But here is where you made your big mistake..."I come to the conclusion that the money must be a settlement.."
- Who did you check with? The company? The police? Or did the amount cause you to become "blind" to the fact that there may be something wrong. As for your settlement idea, if that is what it was they would get your signature on an agreement before they sent any money, NOT the other way around.
"EVEN though it is a mistake on her part and multiple banking employees and an attorney I spoke with have told me what they are doing is illegal..."
- No, as much as you may not think so, you spent money that was not yours. Look at when the shoe was on the other foot. When the money was withdrawn by no fault of your own you were upset that it was not returned ASAP. Yet when they deposited it into your account by mistake you want them to "work with you".
"I have simply asked that they give me until Monday to come up with the $4,500.00 and apparently, that is too much as they have now withdrawn the total sum of money from my mother's Savings account!"
- If you are on your Mom's Savings Account(or she is on your Checking Account), what they did is totally legal. It is known as the "Right of Offset", where they can use one account to pay for a delinquency in another. If you both have separate accounts then it would be illegal. As a suggestion, if they did use the Right of Offset and what you are saying here is true in that you only need until Monday. Then just deposit the $4500 you would get back into your Mom's savings account, and be done with it.
"Zions bank screwed up and they are making myself and my family pay for it... "
-NO, they are only making you and your family pay back what you spent from the money that was deposited into your account by mistake.