Are collection agencies supposed to take money out of your account without your knowing?
Due to a layoff, Macy's turned my account over to Van Rue Credit Corp. I spoke with a lady namedMs. Hopkins. I told her that I have a full intention to pay off my Macy's card. I've made 1 payment and she asked for the security of a future payment. I did not want to give my word on securing a payment but she made the threat that if I do not make the 2nd payment by a certain time, a suit would be filed against me where I'd have to pay the full amount. About a week before the 2nd payment was due, I had been admitted to the hospital. I called Ms. Hopkins to notify her that the money for the 2nd payment was not going to be in my account due to med bills. An argument ensued and it ended with her saying that the amount would still be taken out, I'd have to get a stop payment at my bank which i could not afford to pay for. They've been taking money out of my account w/o my permission.
Can they do that legally?
Answers:
You can file a complaint at your bank to have them put the money back in. I did this for my dad when he was ill and moved out of his apartment into a nursing home. His apartment didn't stop the auto payment. So I went and filed to have the money returned. There was an option to choose indicating that the payment was taken out erroneously after I had stopped the withdrawl. You have to explain it though.
As to the legality of doing it, if you signed a form giving them the rights, then they certainly can do this.
Not unless they have a judgment against you.
Personally I would immediately close your bank account and open a new one at a different bank. Tell the creditor to f-off since they are playing games. Admit to nothing.
Im sorry you are in the situation but you should never give them that information! You are pretty much giving them permission to take that money out by giving her the info. Next time pay with Money orders or Certified check.
Collectors are usually entitled to the equivilant of executive privilages of the president. It's legal otherwise they would be afraid of people reporting it. Lots of people do and then realize the collectors are all powerful and credit cards are the source of alot of evil in this world.
Well...at some point, you obviously had to have given them permission since they had the information necessary to access your account. Perhaps you should go back through your records for any indication of this and also write them a letter asking that they quit automatically deducting from your bank accounts...sign it, send it registered, maybe even notarize it.
Once you autorization them to deduct money from your account you must notify them in writing to discontinue. Also you can go to your bank and have them put a block on that company. Have had this happen to my Mom before.
Scare tactics...it's highly unusual for a collections account to end up in court.
Besides they will get some money out of you and then sell off the account to another collections company.
If they have been electronically withdrawing your account without permission then they may be breaking some laws there. Contact your bank and block their activities and file a complaint with the police..they have to secure a court order to just take money.
If you agreed to allow them to take the first payment out, and made arrangements for them to take the second payment out, then a stop payment is your only option.
I always pay collection agencies with money orders - that way they don't get any of my checking account info, and I don't have to give them any credit card or debit card info either.
As long as you are making any attempt to pay a collection agency they can't take legal action against you - they will tell you all sorts of crazy stuff to scare you - ignore them unless they actually take legal action (which would require you to not make any payments at all for at least a couple of months - and even then unless the amount you owe is huge, they will just keep pestering you).
Now, personally, I would drive to wherever the collection agency is, drag the person who took the payment out of my account without my permission into the street and proceed to beat them within an inch of their life.
Of course, before things escalated that far, I would have made arrangements to make a minimal payment ($20-25 or so) - again, I would mail the payment to them in the form of a money order. If I couldn't afford the agreed on payment amount, I would send them at least 5-10 bucks, and tell them the rest is coming later - even that tiny payment will keep them from being able to bring legal action.
as far as i know they are not suppose to take money out of your account without Ur permit ion, rather you wont to or not you need to call customer service and tell them to stop withdrawing your money out of your account, now if you gave them a debit card change your card #, tell the bank you lost your and then they will not have your new account #, in the future never give permit ion, I pay my car payment threw my debit card but i have it set up where they half to call me day day before the withdraw to get my permit ion to withdraw it, unless you singed something stating that they could take payment out of your account every month then no its against the law, and bill collectors will tell you any thing and will bully you, you need to go today and change you debit card #, and after you told her not to take the payment out of your account and she did any ways I would definitely talk some one
Oh heck ya they can. Wipe out your account and your bank has no obligation whatsoever to inform you.
Isn't it interesting how the people WITH the money end up harassing us WITHOUT the money? You can't get blood out of a stone.
Watch the bank accounts... You might end up with NSF charges, despite the fact that the rent is due, or school starts in three days. They are heartless.
change acounts every 5-6 weeks, and banks after 1 year.
Or move out of the country.
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