What happens when you have a negative bank balance

I would call the bank and ask to set up a payment plan.

They won't have you arrested, but they will report you to chexsystems. This can make it harder to open an account in the future. They will also send you to collections.

If you are reported to chexsystems, and you probably already have been, please PM me your state and I will get you some info on banks that you can still open an account at. There was a list up here, but it is down while I update some info.

I am currently negative in mine too...My bank wanted all the money upfront and would not take payment arragnements from me. so they get what they get each month....

what if you clear up the balance, will they still report you to chexsystem? Just asking

Can you talk to the bank and see if they can put a stop to the ACH debits? In order to get your fiances in order, maybe they can help you put a stop to these charges. If you will post a little more information, we might be able to help you get out of the payday loan trap. If you will let us know what state you are in, who all you have the loans with, how much you borrowed and how much you have paid back to each one, it would be helpful. There are some states that pdls are prohibited and some do not have roll overs and most have caps on the fees these places can charge. It might be helpful to you to either post the information here or check out your state laws. You might be being taken for a ride with these pdl companies.

Thank you for replying! I will do some research on how much I have paid tonight and right again. I have an outstanding loan with Rio Resources, VC Funding, and CashnetUSA. The last amount I got from Cashnet was $500.00 but I have been paying on loans from them for about 2 months with a fee every two weeks. After 4 rollovers I had to pay back and then take a new one. I must have paid at least 6 or 7 fees to Rio and that loan was for $300 same with VC Funding. I live in the state of florida and the loans were all done online. I will come up with exact numbers this evening.
Thank you for your help!

Do the figuring and check out your state laws..........you might be able to mark those PIF :)

After 60 Days B of A will force Close your account and send it to a collection attorney. They used to report it to Chex Systems, but I think I heard somewhere they no longer use Chex Systems or report to them.

Tweety, Chex Systems is a Consumer Reporting agency as defined in the Fair Credit Reporting Act, hence they are subject to that act. Once something is reported, it remains on your file for 7 years (and as with the regular credit bureaus, your are entitled to receive 1 copy of that file annually. You would need to contact them directly to obtain it). Once you pay any outstanding balances, your (former) Bank will also report this fact to Chex Systems.

Most banks, if they see that the outstanding balance has been cleared, will let you open an account. I suppose there may be some that would still deny you an account or services because of this. Heck, First Chicago (later Bank One, Now Chase) denied me a checking and savings account because of my (equifax) credit score, even though I have no negative information on file with with chex systems. My credit score was in the mid 600's at the time

Most banks will still deny you an account if you have a chexsystems report, even if it's paid. Some will offer you a "second chance" checking, and a few will open an account if the item is paid, but they are few and far between . . . . . It makes it much harder to find a bank, but not impossible. If you need help finding a new bank please let me know and I can help you out.

LCW - BofA does still report to chexsystems, pretty aggressively too. They claim they also use it when you open an account, but if you apply online they don't seem to check it. They are the kings of saying one thing and doing another!

One other thing, unlike credit reports, the item will only stay on your report for 5 years. Some banks will use filtering software and only check reports for 3 years or less . . . . .

But, if you do clear the negative balance- then its OK right?

No, it will still show on the report. Some banks will allow you to open an account if it's paid, but most still won't.

I think I'm lost........

What do you want to know?

Were you asking if you cleared up the balance with the bank would it still get reported? If so, it's up to the bank. They can report you for just about anything. Most banks won't report you unless you have quite a few nsf's, or are overdrawn for x amount of time, but technically speaking they could report you for 1 nsf, paid right away.

ok....I was just curious if you do have a negative balance but paid it will they still report you....I get it now...

I'm sorry, I'd thought you meant what happens if you pay after you've been reported! I should learn to read a bit better :D

But what happens if you don't pay off everything you owe to your (ex)bank even after you've been reported to Chex Systems or collectors etc.???

I have a negative balance of 800 and the 17 days are up . It use to be 500.00 but late fee are applying what can i do

can you go to jail for not paying a negative balance