Bank of America has reportedly been working out a settlement deal with the Department of Justice over its mortgage-related misdeeds. Last week, the arrangement was for a rumored $12 billion at least. But the negotiations stalled out, and the two parties haven’t talked in a week or more. Apparently, the bank is blinking first, and trying to get the Attorney General back to the table.
We don’t want to admit it, but most of us have done it before. We’ve misjudged how much money was in our checking accounts, leading to a cascade of overdraft fees. It happened to Bob: he used his Bank of America debit card for each transaction during a night out and was hit with a total of $245 in fees. Sure, he could have taken the fees as an expensive lesson, but he chose to fight back instead. [More]
Next time your bank is being stubborn over closing on a mortgage loan, perhaps consider doing a little song and dance — it worked for one couple battling with Bank of America. Well, that and a really good credit rating of 798.
After Alexis’s employer started making her and other workers taking mandatory furlough days, her income dropped so much that she had trouble making mortgage payments. So, like many others, she sought a loan mod. She followed all of Bank of America’s instructions and thought she was on the path to getting a mod. Then BoA told her they were going to foreclose on her house.
Ah, innovation! Bank of America was just awarded a patent for a process that lets it make sure any teller at any branch will know not to give you a refund on a disputed overdraft fee. According to Techdirt, the idea is to prevent “refund shopping,” where a customer might visit multiple branches hoping to find a sympathetic ear.
It hasn’t even been a month since our last dead Bank of America customer story, but here the bank is at it again, refusing to let a woman’s son close her checking account no matter what he does. Although she lived and banked in Tennessee and he lives in Pennsylvania, the latest nonsense has the bank demanding that he visit Texas in person to get a document notarized.
Dave can’t get Bank of America to accept that his parents are gone, even after sending over the death certificates. He keeps telling the bank to take the house, because nobody in his family wants it and the mortgage is underwater. Bank of America keeps threatening his parents with letters about how behind they are on payments. Oh sure, everything about this story is funny on the surface, but not when Bank of America tries to extract money from a closed account you once shared with your dad, forcing it to re-open and siphon funds from your real accounts.
A former BoA IT worker has agreed to plead guilty to installing malware on the bank’s ATM machines in order to withdraw money whenever he felt like it, reports Wired. According to the plea agreement, his total take from the crime was between $200-400k. The bank won’t disclose how he did it or what the malware was like, but earlier this month Visa announced that new malware has hit the U.S. that could not only capture customers’ PINs and card data, but also give the criminal the ability to empty the machine of any cash that was in it.
It’s bad enough that banks have been negligent at implementing the government’s loan modification program, but now a BoA mortgage loan officer is being sued for making extra money illegally on struggling homeowners. According to the Boston Globe, a new lawsuit claims the employee was demanding as much as $1,500 from each borrower before offering help foreclosure help, and routing the funds through his own company, Foreclosure Alternatives. The lawsuit also alleges that the man falsely represented himself as an attorney for BoA.
Last October, Bank of America screwed up and seized a vacation home that didn’t belong to them. They also changed the locks and shut off the power, leaving 75 pounds of salmon and halibut rotting for a week before it was discovered, writes Laura Elder of the Galveston Daily News.
The owner, Dr. Alan Schroit, and his wife discovered what had happened when they showed up on Halloween to prepare for a party they were going to host the next day.
Here’s a testimonial from a former Bank of America customer assistance employee. She was fired on Monday for offering repayment plans to too many customers, even those who “deserved” the 29.99% APR for making late payments. After hearing her story, you might conclude that this job was never a good fit for her skills. The next time you run up against a dead-sounding CSR, though, remember that people like Jackie don’t make for profitable collections department employees, which is why they don’t stick around for long.
If you participate in an automatic savings program like Bank of America‘s Keep the Change service, where debit card purchases are rounded up and the difference is deposited into your savings account, keep an eye on maintenance fees. James says he was hit with a $5 charge last month because he hadn’t met the minimum monthly deposit requirement of $25: “It turns out that I wasn’t even accruing $5 worth of change per month, so I was losing more money due to the maintenance fee than I was saving via Keep the Change!”
Bank of America got so fee crazy last week that it applied a $10 overdraft fee to Christopher’s account even though it wasn’t overdrafted. I went back and forth with Christopher to try to figure out what BoA could have done to trigger this, but as you can see from the screen cap below, he only had two debits on the day of the event.
Do you hate Bank of America? Well take today’s earnings report and wallow around in it like Ann-Margret in beans, becuse the bank has posted a loss of $1 billion before dividends to preferred shareholders—”When those dividend payments are included, the loss was $2.24 billion,” reports the New York Times.
Dalton Chiscolm has sued Bank of America and its board, and wants “1,784 billion, trillion dollars” in return for being subjected to what the judge describes as “inconsistent information from a ‘Spanish womn’ [sic]” as well as allegedly misrouted checks. In addition, Chiscolm wants another $200,164,000 in damages. We’re not sure why that amount is separate, but who knows how a mind like Chiscolm’s works?
New York Attorney General Andrew Cuomo’s office is gathering information in order to file fraud charges against some BoA executives over what they knew, and what they hid, when they acquired Merrill Lynch & Co. a year ago. Earlier this week, his office subpoenaed 5 board members to find out “what they knew regarding the mounting losses and bonus payments at Merrill before the deal closed on Jan. 1 and what role they played in deciding whether to disclose that information to shareholders,” according to the Associated Press.