Auto Loans Unauthorized debit from bank account

[shell65]

Presently living in Texas. Purchased Pickup 2 years ago in Kansas. Wells Fargo financed. Lost job in december. Had to move back to Texas, currently staying with friends and am 4 months behind in pickup payments. Have been in communication with Wells Fargo and have attempted to workout payments with them, I was getting $295 a week in unemployment, and explained that I am a single parent, that does not recieve child support, offered $100 to them a week, they refused and said it did not fit their "guidelines", they call everyday, minimum 4 times a day. I got a job 3 weeks ago and have told them numerous times to come get the vehicle. I started a bank account here at a Wells Fargo when I got the new job. On friday I spoke to them on the phone again and told them I was speaking with a lawyer about the vehicle and would get back with them next week after I spoke with the lawyer. Saturday they took $530.13 out of my account without a verbal or written permission from me. Though they could NOT take partial payments from me, that is not the total of my car payment , however it was the exact total that was in my account after my last paycheck was deposited. Can they do that, just go in and empty my bank account, it was not joined in anyway to the auto loan.
Now I have 4 checks that I wrote on friday that will bounce, one is for rent and I am not sure what I will do about a place to stay for me and my daughter. Help ?

 

[CdwJava]

Have you asked your bank why they allowed the transaction or how it was accomplished? I can think of a couple of possibilities as to why it might be permitted, but it would be sheer guesswork. You'll need to start by asking them and disputing the transaction.

- Carl

 

[shell65]

I discovered it last night when I went to WalMart and my debit card wouldnt work, I came back home, and checked my account online it showed they had emptied my account. I will be there first thing tomorrow, I just want some information before I go. A little education ahead of time never hurts.

 

[CdwJava]

Well, rather than doing a shotugn approach of "If this is the case, then try this ..." it would probable be best for us to wait until you have posted what the bank had to say as to how the transaction was accomplished. If you can, ask for any signed documents that granted the bank or the loan the authority.

- Carl

 

[shell65]

I will ask them for any documentation that gave them authorization. And will post what they said tomorrow when I get finished.

Thank you!

 

[kyleent]

I would be guessing... but you did mention that the loan is from Wells Fargo and your account was with Wells Fargo.

Sometimes when you open an account and sign paperwork it says in the fine print that they can deduct money you owe them from your account without specific permission from you. I know as I have a friend who works for a bankruptcy lawyer. She said people are often shocked when they owe the bank money for a loan or credit card and when they get behind the bank empties their account to pay on the credit.

Short answer, never open a checking account at a bank you owe money to.

 

[CdwJava]

Kyleent, that's along the lines of one of the things I was thinking of. That's one reason why I was wanting her to look into it.

- Carl

 

[smithgirlmoe]

I believe that you stated both the auto loan and the deposit account were with Wells Fargo. I work in a bank and most times when you sign a note on a loan there will be a right to offset clause in the note which basicly states that the company has the right to offset a delinquent loan with any deposit accounts held with them. They can do this as quickly as one day past due but usually don't until much later. My advice would be to not have any deposit accounts where you have a loan otherwise if you fall behind on payments the company has the right to take any money you have with them.

 

[Pass877]

I have a similar situation. I used to work for a small business, company "A", as an account/finance manager. The owner has bad credit so he asked me to be the gaurantor for a business loan (equipment loan) with Wells Fargo, which I (foolishly) signed for the loan as the representative agent/guarantor for the business loan. I also bank with Wells Fargo. I no longer work for company "A" over a year ago, and just a few days ago, I notice Wells Fargo had unauthorizedly debited almost $1400 out of my personal bank account without . I called the old boss and asked what's going on, and he said they went out off business about 3 months ago. I figured the total amount is roughly 3 months worth of payment for that loan payment.
I called up Wells and ask them why they have debited my personal account since it was a "business" loan and they should have notify the business and resolve with them first and they should in someone should let me know that i'm obligated to pay back. But there was no sort of notice to the business nor to me personally.
I've sent out 3 checks before that which pretty much drained that amount in my account, so now I know those checks are going to bounce for my car and credit cards payments.
So my question is, is there any recourse for me to get back what they debited out of my own PERSONAL account? Is there anything I can do or it's just a lost cause??? Please help????