How to Stop Unauthorized Checking Account Withdrawals
It seems like a simple way to take care of bills: sign up for automatic withdrawals from your bank account. While this works well while you are a customer of the business, stopping the automatic payments is sometimes problematic. Whether the business was once authorized or you are trying to stop fraudulent deductions from your checking account, the Federal Reserve's Regulation E requires banks to block unauthorized checking deductions once they have been notified.
Other People Are Reading
Instructions
-
-
1
Call the vendor who is making the withdrawals. You should be able to obtain the contact information from you bank statement. State that you are no longer a client or that the charges are not authorized. Get the name and employee number of anyone you speak with as well as the address where correspondence is received.
-
2
Send a letter to the vendor via certified mail stating that you want all automatic withdrawals ceased immediately. Make sure the letter reiterates the phone conversation you had, noting the representative's name and employee number.
-
-
3
Write a letter to the bank requesting that all withdrawals from the vendor be blocked immediately. State your account number, the vendor's name and contact information and the dates when you instructed the vendor to stop all withdrawals.
-
4
Send the letter to the bank with a copy of the letter sent to the vendor. Use certified mail to obtain the signature of the person who received the letter. The bank must block all withdrawals from this vendor immediately and is liable for any loses in your account from the date of receipt.
-
1
Tips & Warnings
If your account has been breached or you are the victim of identity theft, you will need to close the account and open a new one to protect your assets. Speak with a bank representative about your options.
References
Resources
- Photo Credit Medioimages/Photodisc/Photodisc/Getty Images
