Bad Check Service Charge

[nessa2]

A friend of mine accidently wrote a bad check. She was charge a return check fee by the bank for $25

She then noticed that a local merchant electronically represented both the check and a service fee. There wasn't enough money so she got debited for two return check charges by the bank.

A week later this local merchant did this again - but there was enough money to cover the check and the service fee.

She never got a notice from this merchant that this was going to occur and she never authorized this. Can they do this?

Now she's out $75 to the bank for one returned check and $30 to this merchant.

 

[nessa2]

We now understand that the actual company that charged her account wasn't the merchant but a company called CybrCollect.

We also understand that they can not do this without "expressed approval." That all electronic transactions are governed by NACHA(National Automated Clearing House Association).

We also learned that the bank who violated NACHA rules was Wells Fargo.

I'll let you know what else we find out as we go. I knew this was wrong.