I thought I’d give your readers a heads-up on how much Bank of America sucks, and why you should make all deposits to a bank teller and never, ever at the ATM.
About 2 months ago, I deposited a nice, fat commission check into my account via the B of A branch ATM. All seemed well, and I noted that the deposit showed up online at my B of A account.
24 hours later, the entire check had been reversed back out of my account, being noted as ‘non-negotiable, deposit correction’.
I
went to the bank branch once I realized what happened, and the bank manager told me there was nothing that she could do, was unable to find out why it was kicked out, and that I’d have to wait for the check originals to be mailed back to me. I asked why I couldn’t just get a scanned copy from the bank and she said they did not have scanned copies.I ended up talking to different (new) employee, and he managed to get through to the right department and find out what the heck happened. It showed that the MiCR line was invalid. He magically was able to get a copy of the scanned check (wait… I thought they did not scan copies?) which I presented to the counter clerk, who verified that it was indeed good. I also verified the check with the issuing bank and got a letter showing that the check and MiCR line was good. I showed this to the manager, and she informed me that she still needed the original before she could do anything, and I’d have it in 3-5 business days.
Well, almost a solid month later, (and now FIFTEEN overdraft fees, and multiple desperate trips to the bank, and calls to customer service asking for help) still no originals in the mail. I asked what we’d do if the copy never showed up at all, and she kept putting me off, and was horrible, rude, and curt. I gave up on her, went to another branch armed with all of my information and check copies, and was able to find a nice gentleman who was willing to help. Of course by that time I’d had my company cut me a replacement check and opened a new account at a different bank. The helpful guy did get me a counter credit for the overdraft fees, but they would not reverse them (so it still looks like it was my fault).
I did get the originals back, and surprise! It looked exactly like the original (as copies are meant to do). Nothing was wrong with the check.I’ve closed the B of A account after 15 years.
Crazily enough, my fiancé (different last name, no linked accounts, no way for the bank to associate us) deposited two smaller checks into the ATM about 2 weeks ago. (I warned him!) And don’t you know, they kicked his out as well. This time, it’s because the checks were made out to “Jim Smith” instead of “James Smith”. Never mind that Jim has had an account with B of A for 10 years and has deposited numerous checks written out to “Jim Smith” with no trouble.And guess what? The bank manager (different branch) told him that they do not scan checks that come through the ATM. (LIES!) He had to wait for the originals. His came faster than mine (but not fast enough to alleviate frustration and time wasted going to the bank several times), and he had the overdraft fees that were incurred as a result reversed- but not without resistance. They wanted to give him a counter credit as well. On top of that, when he insisted the overdrafts be reversed instead of credited, the bank manager went back in his account and noted that, ‘well, I see you had an overdraft fee here in September, as well…’ with the implication that Jim was just trying to get overdraft fees reversed for the hell of it, as opposed to their bank error.
Jim has closed his account as well.
I suppose I could understand their complete lack of assistance if either of us had a history of trying to pass fraudulent checks, or if we were new account holders, but we were both long-term account holders with no previous issues.Way to go, Bank of America!!
Keep up the good fight, Consumerist gang!
Warmly,
Stacy C
Yuck! Thanks for the letter, Stacy. We hope you’re happier at your new bank. Anyone else having problems depositing checks at Bank of America ATMs or are Stacy and her fiancé just unlucky?
(Photo:Bob Reck)
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@Buran:
Pleeeeeease release the caps lock. Gawker Media does not reimburse me for the Excedrin that I need after reading your comment.
@ceejeemcbeegee: $5-10 to cash a check? That sounds more like a scam, not a credit union. Now if you went to that credit union to cash a check written on it, that’s a slightly different story than how that reads.
Also the merchant cashing a check (and the initial credit to your account) is based on faith. If you spend the money and the check bounces (a la the “whoops, I wrote that check for too much please wire me the difference” scam), you’re screwed.
Furthermore, posting debits before deposits is false unless they’re failing to abide by their policies that are printed on every statement. Applying debits before credits would be a crime.
But applying large debits before small ones, that’s merely unethical. (A Wells Fargo representative said that was so that the “most important” items get paid first.)
I’ve never had any problems depositing checks and cash into BoA ATMs. The largest check was $20,000 or so and the most cash was around $500. It’s all showed up by the next business day.
Really, you shouldn’t spend money that will only be covered by the check you just deposited. That’s what credit cards are for.
I think they are a great bank. Sure they don’t pay any interest, but I only use them for checking and most of my money is in online accounts anyway. It’s nice to be able to find an ATM anywhere. Their website/BillPay is also nice.
@Consumerist Moderator – ACAMBRAS: It was deliberate poking fun at the comment I was responding to, which was also all caps, which is also now missing. I am quite tired of the people who jump into every bank thread screaming credit union as if that’s a magic wand to fix everything. It doesn’t fix human failings since humans work at credit unions too.
@Buran: THE CAKE IS A LIE
x5
I hate Bank of America. The only reason I still have my account there is because my car payment is automatically drafted out and I don’t trust that credit union to switch the payments to my new account without messing things up (they’ve already charged me twice two different times and I’ve only had this loan for 4 months).
Bank of America sucks.
Credit Unions are better because their fees are lower an tend to not have so many problems “to fix in the first place.” I refuse to let any big bank like BOA handle my money.
I’m sorry, I seem to have missed any mention of good things about Bank of America. What would possess anybody to deal with them in the first place?
@crashman2600:
As much as I hate them, I will say that they stopped holding my checks after the designated time period (I believe it was 60 days after the date of the opening deposit), and they do state that they will do this for the designated period of time in the account T&C.
So, yeah, I was upset about it when I first saw it and complained, a rep explained the policy. It may be boneheaded, but I accept that it was my fault that I didn’t fully read the terms when I opened the account.
@ceejeemcbeegee:
Blame the legislators. Congress allowed the banks to hold your deposits for up to 10 business days, while allowing the processing of ACH debits (scanned checks) immediately.
Keep in mind that the banks operate within federally mandated guidelines. If you don’t like it, write your representative(s). If you don’t like the response, work toward having them voted out. A call to the local news station’s ‘investigation’ team can do wonders, they love a good ‘business screws the consumer’ story.
While I know this deviates from the original post, I just wanted to warn everyone -
DON’T EVER DEPOSIT CASH INTO ATM’S!!
Without going too much into it, you really don’t have any protection when your cash goes missing.
I’ve only had trouble once or twice depositing checks into BOA ATMs, and I’ve been with them for 13 years. Both times all they did was deposit into my checking instead of my savings account, so that wasn’t so bad.
@xVAGUE: You beat me to it. I cringed when I saw someone talking about doing that. It’s just not a good idea. Checks are fine though.
@xVAGUE:
Yes, you do. You have a receipt with the value of your deposit printed on it, as well as the availability date.
I never understand why the average person banks at monster companies like BOFA & Wells. They all seem to have huge minimum balance requirements and load up on the fees every way they can.
I’ve been in a credit union since 1993. I think I’ve been to the actual bank maybe 5 times in that time period. I do all my banking online and/or via mail. If I get a physical check, I mail it in and it is processed in a couple of days. I’ve never had a check lost.
I only need to keep $5 in my checking account and while there isn’t any interest in this checking account, I don’t have to tie up a minimum amount to avoid fees.
As to ATM machines, I never use them. I just use my bank debit card for regular purchases at any grocery or drug store. Hell, even the US Post Office will give you cash back at no charge. Go buy 1 stamp
@iamme99:
“ATM Machines” :’(
If you’re getting cash back from a retailer, you’re just stealing money from them.
I had similary problem waiting for a returned check to be mailed to me. The original never made it. I had to request for a scanned one. It was quite a big check as well. Thank God my customer is a good guy and quickly wrote me another check without me having to wait for the original.
@ConsumptionJunkie:
Agreed. I use ATMs to deposit smaller checks only.
After my wife and I got married, we went to a teller for all of the gift deposits, just to make sure that everything ended up where it was supposed to.
Stay AWAY from BOA! Put your money in a mattress!
I HATE BOA. HATE THEM PASSIONATELY. Not only do their ATMS not accept checks properly, once, I had to cover a $20,000 credit card payment, so I went in person to a teller to make a deposit and they put the money into the wrong account! In spite of the fact, my receipt showed the correct account. How did this happen? I think it was strategy to make money on penalty interest rates, hoping I would be too frustrated to make them fix their mistake. Oh no! It took me nearly a year to make them fix their mistake.
I deposit hundreds of checks at BoA ATMs a year without a problem. They actually send me a big thick letter if I make a math error when adding up the checks, including check scans. Seems like a waste of money to me and does add to my embarrassment on occasion.
@belisle:
I have been told that this is how they do work…
I had been keeping track of my purchases carefully, knowing that I was on the edge of going under on my account. Monday comes around, and there are 5 overdraft charges. From my records, I would have accepted one of them from the way that the transactions went in reality.
I was told that BOFA does indeed take out the debits from largest to smallest, NOT in chronological order. If they charged chronologically, I would have had one overdraft charge, but since they debit largest to smallest, I raked up FIVE. They would not budge on any of them, and the rep I spoke with on the phone told me that he didnt think that they should refund my overdrafts.
So, I had to pay out $175 in fees for about $25 in purchases (coffees, smokes, etc).
As soon as my direct deposit switches to my wife’s bank, I will be cancelling my 7-year old account with BOFA!
The only problem I’ve had at a BoA ATM was when I tried to cash a foreign US dollar currency check via the ATM. They have some bizzare policy that although the teller can cash the check, the ATM clearing house cannot. I needed the money pretty bad. Luckily I had a BoA credit card that had a 0% balance transfer APR on it for a few months. I called up the BoA Executive Hotline on Consumerist and they were very understanding. They let me transfer the balance (it was on a Capital One card) and refunded me the balance transfer fee.
Personally I’ve never understood why in America checks are so damn popular. Direct deposit is the only way to go! Also, how come I can’t just pop a bill into an ATM and have the bank pay it? That was a nice feature at any bank in Canada.
@belisle: I can tell you that i had racked up 3 or 4 overdrafts instead of just one because of how they make payments. And there are plenty of other people that have had the same issue -
Twenty-five years ago, when I was in college and ATMs were a spiffy new technology, I deposited a paycheck via the ATM. The deposit didn’t appear on my next statement.
I went into the bank and asked where my money was, both the teller and the manager told me they had no record of a check and I had to prove that I’d actually deposited something more than an empty envelope.
Other than direct deposit, I’ve gone inside to deposit everything since then.
I’ve been a B of A customer for 15 years and always deposit my checks (no matter how large) and cash in the ATM. Never had a problem. In fact, I’ve been depositing my checks and cash in ATMs for 20 years without a problem.
My local B of A has a nifty check scanner, so no more envelopes, and my check scan is on my receipt.
Am I the only person in America that’s never had any problems whatsoever with B of A?
@RAREBREED: Someone might have already responded to this…but when I went to close a BofA account in person the teller, who was very good, told me to do it over the phone, because they charge the fee if you do it in person, but it’s free to close over the phone.
@RvLeshrac: But, as some people have discovered, the receipt is essentially meaningless because it only reflects what you typed in as the amount of cash you deposited. You could type in anything you wanted and it would show up on that receipt.
They also need to check that the amount of cash matches up. And if they “lose” some, due to internal theft or whatever, there is no way you can really prove it. With a check, you can check that it cleared the other bank, and/or see the cleared check itself if they credit your deposit incorrectly. I know someone who is a teller and they told me to never deposit cash at an ATM.
Bank of America declined my deposit from Paypal (putting money INTO the BoA account) because my middle initial is in my Paypal account and not present in my bank account. And my name is not common at all!
@tadowguy:
NOT ALWAYS THE ANSWER.
NOT ALWAYS THE ANSWER.
NOT ALWAYS THE ANSWER.
NOT ALWAYS THE ANSWER.
NOT ALWAYS THE ANSWER.
NOT ALWAYS THE ANSWER.
NOT ALWAYS THE ANSWER.
@kalikidtx:
CUs are great if they’re a part of the Credit Union Service Network. Any CU in that network can perform the same functions as your home CU.
@youwantedahero: yeah, that’s the other insanely shitty thing about BOA. Mysteriously, accounts opened in CA, WA and at least one other state can’t communicate with the rest of the system. you can only do simple deposits and withdrawals from other states unless you close your account and re-open it in another state. it seems incredible that one of the biggest banks in the country has this problem and from what i’ve heard has no plans to fix it.
re: why anyone would open a BOA account in the first place, well i didn’t. like most people here i opened a fleet account and boa ate my bank. i stay with them because they offer free, simple remittances to almost any city in Mexico, and i’ve never seen another bank that will do that. it’s an awesome system, and it almost makes up for the rest of the bullshit
@Buran: I think you’re on to something here.
When I lived in Seattle, my relationship with BofA was like a long-running cold; I really had to micromanage the account to correct their mistakes.
Since moving to California and transferring my accounts here, not a single issue (other than a technical problem with online banking that was quickly sorted). It’s like a completely different bank.
Taking the largest debit first is called “double dipping” and has been around the banking industry for years. Almost all banks run debits first then deposits and double dip, scummy yes but not just a BoA phenomenon.
I closed an account once because the bank nailed me with an overdraft fee over 80 cents. The bank pulled their checking account fee a week earlier than normal causing a small check to bounce, THEN they ran the $900 deposit I made. Nothing like losing $40 right off the top. I went without a checking account for close to 8 years after that.
In those 8 years I found that every bank charges non account holder to cash a check drawn on their bank. One thing that makes me very suspicious of this slush fee is the fact they can not print a receipt for the transaction, they have to hand write it.
Ok, I’m not saying that Wells Charge-o is God’s Gift to Bank Consumers, but they’ve been ok to me over the years. Most notably, I’ve noticed that they do the reverse, where they put the deposits for the day in 1st, then do all the debits for the day. For example, I’ve noticed (on more than one occasion) that we are overdrawn due to a debit that is “pending” (wife buying something that day). I immediately transfer money over from the savings account to cover it and give us a little extra “cushion” for the anticipated overdrawn fees and whatnot. The next business day, I notice that the deposit credited before the charge, and there are no fees whatsoever. This has happened at least 5 times that I can think of, and I appreciate that they do this. Now, if only I could get them to stop charging me for Bill Pay, I would be even more appreciative.
I love my Credit Union. Been with them for 7 years, paid zero checking account fees. First I don’t spend money I don’t have. And second, on the rare chance that I do, the checking account is tied to a small savings account from which they transfer the amount needed to cover… for free!
Combine this with super low interest rates on loans and high rates on CDs, and I will always pick a credit union over a standard bank, especially one of the gianourmas super merger banks.
WaMu baby…WaMu!
After losing $120 to overdraft fees, I realised it’s better to avoid having a “bank account.” Just use a line of credit, and keep a (close-to)positive balance most of the time. Any overdraft will only cost you interest, which will be a few percent higher than prime rate, and there will be no banking or overdraft fees. No charge for cheques. Deposit your paycheque directly into your line of credit, so that it will pay down the balance. Make all your bill & mortgage payments from the line of credit.
Alternatively, if your line of credit is secured as part of your first mortgage, then you’ll pay no more than prime.
This story really sucks but if you think it couldn’t happen at another bank you are mistaken. Asshol*s can work at any bank.
@TYPE_SLOWLY:
There are a lot of teller fees (and idiocy) that can be avoided if you call a banks main office.
Earlier this year, I had to convince my Dr’s office that I had paid them $500+ more than 2 1/2 years earlier. I knew that I had watched my account online for a little while until I saw that the check had cleared. No problem, I dug out the old check register, I had the check # and exact amount with me, so I just needed printed proof that the clinic had cashed it. The tellers and managers at the local branch of my bank, after a good 20 min. debate (involving everyone in the goddam building) came up with the only solution that their little minds and jobs could handle.
CHARGE HER $60 of course !!!
($2 per statement X 30 months)
and tell her the reprinted bank statements will be mailed from corporate in 2 to 3 weeks ???
I called the main office and complained to them. Before I was done explaining the rep had looked the check up, printed it and was asking me to confirm the address on the envelope that she was taking off her printer.
@johnva:
I rarely ever have to punch in an amount. The scanned copy of the check shows the amount, anyway.
@satoru:
Dunno if you’ve noticed, but the US is about ten years behind the technology in other first-world countries.
We’re right near the top of the third-world countries, though! Not at the top, but working on it!
Never use the ATM or quick drop box for any deposit. I know its nice and easy, but it surely isn’t if you have to put up with this kind of stuff. Why you’d stick a big fat check in there in the first place is beyond my comprehension.
I too learned this lesson the hard way. I had used a drop box to deposit a check from my parents when I was in college, to cover my housing bill. To keep the story short, it took two weeks, countless calls, overdraft fees, late fees from the university, and my father, who is a banking industry lawyer, threatening to drive down (500 miles) to deal with it in person. All because they had misread one digit in my account number and didn’t verify it against the name on the slip. Thankfully, they cleaned it up and covered all my fees, but now I deposit everything, even a $5 birthday check from grandma, in person with a teller. Good thing too, I’ve caught them twice more in the last 5 years putting it into the wrong account.
When I lived with roommates, my roommate accidentally mixed up some utilities checks from another roommate and attempted to deposit one for me into his account. The name on the check was ‘Jim Brown’ and the name on his account was ‘William Smith’, so clearly you’d think BoA’s sophisticated check fraud prevention systems would have caught it, right? Wrong. The BoA ATM processed my check into his account without issue. Makes me laugh every time I see those commercials now about how safe their ATMs are for check processing.
I just googled “Bank of America ATM ate money” and this came up, so I decided to sign up and tell my story.
This just happened late last night. I deposited $900 (9 x $100) bills into the newer style BoA ATM where they automatically count the money for you. I’ve done this a few times before and didn’t really have any problems except that it would always not accept a few of my bills. I guess the bill didn’t register with their reader or something. So anyway this time I put in $900, and sure enough the “some of your bills cannot be accepted” message came up. The cash deposit box/slot thing opened up and there was only $100 (1 x $100). I took out the $100 and put in another $100 (5 x $20) that I was planning to deposit. This time all 5 bills registered and it took my deposit. However, when I looked at my receipt, it only gave me credit for $100, and not for the $800 that the ATM took.
This was around 11pm, and I just found out then that apparently BoA doesn’t even have 24 hour customer service any more. After dialing the only number that is available, which was for lost cards or something, and explaining to them what happened and that I was not comfortable just leaving this matter to the morning since there was absolutely no record shown to me that I put in my $800, their lost cards department was very curt with me and simply told me there’s nothing they or I can do until the morning. So basically, I had to file a claim with them in the morning, and they said it will take 10 days to resolve the claim or whatever.
Has anyone ever had one of these new automatic cash counting ATMs eat their money before? I seriously hope there are cameras or whatever that showed that I put in a stack of $100s, or that they don’t just keep the extra $800 when they’re counting the ATM as a early bonus or something.
Well, you guys are in luck. I work very closely to these atm’s, very very closely. Just an fyi, the problems you guys are having is with the new Aptra software that BofA has developed. And Milty, don’t worry, your money will be returned to you.
Unfortunately for everyone is there’s a TON of scams on these atm’s that BofA is trying to watch out for, one in particular is happening with the Bulk Note Acceptor (cash depositor) that I just got off the phone with. So because of these dirt bags it’s making honest people’s life harder.
Also to the OP, the branch does NOT scan your check, the IDM does and forwards it to the network for processing. Something must have happened over there because if your receipt is clear enough then that’s the picture that the network receives. But honestly, the best rule of thumb is if the check or cash is THAT important to where you’ll overdraft or miss payments on bills then just go inside. It’s always better. The new depositors are MUCH safer for the consumer than the old depositors. And this is from someone who is around them almost 24 hours a day.
With new equipment in everything there’s always going to be bugs and people who are scared to use them. Don’t be scared to use them, they’re very very reliable and, unless you reach a bad claims person, they should help you 110%. but branches really don’t touch the machine much so don’t trust them with anything. Take it up with the claims department and you’ll be fine.
They are indeed horrible, and it doesn’t seem to be limited to the mental limitations of an isolated teller. My experience is with the branch at 395 Quarry Road in Palo Alto.
My wife and I have separate accounts, and we like it that way. When a tax refund check comes, we both endorse it and we deposit it into one or the other account. Until this year, when I put it into the ATM. I verified online that the money was in, and sent payments for my mortgage and other bills. Then I got a call from the mortgage company telling me that my check had bounced, and that I had to pay a penalty. I was shocked to see that BofA had reversed the deposit, and then charged me for overdraft! At the bank they told me that they could do nothing until the check would come back in the mail, and that the problem must have arisen because it was wrtten to two people not on the same account and there was nothing they could do until I brought them the check. When the check arrived a week later and I brought it to the bank, I went to a different teller. The previous a****e teller saw me and whispered to the new teller that he should have the branch manager review it. The manager reviewed it and the exactly same check was deposited without problem.
Today, 6 weeks later, another teller invited me to open a savings account because she could see that I had an overdraft flag. She said that the bank only reversed those $35 overdraft charges when it was the bank’s fault. Talk about digging the knife into a wound!
I went to the branch manager who was cheerfully greeting customers at the door and I asked him what I had done wrong the time I had the deposit reversed. He told me that actually there was nothing wrong, it must have been a mistake because it is against the law to accept deposits for two parties if both parties do not have a joint account. That was, to me, a red flag, because my attorney had checked with the IRS and they had no restriction on cashing checks as long as it was endorsed by both parties. I told him that it must be an internal law of BofA, because I knew it is not illegal for the IRS. Then he said, well it may be an internal law but it is our regulation noetheless and we have to follow it. Then I asked him, if it is an internal regulation, what do I need to do to keep it working the same way, because I know that he had approved it previously. He squirmed around saying that he did not remember it, that he obviously handles hundreds of transactions, etc. and that in the end, it was no use, they will not deposit those checks.
I think I have to make him right. After 30 years with BofA I am looking for another bank. Any suggestions would be welcome!