Bank "Set-off" - Meaning & Use by Banks.

[dimarco123]

Hello everyone, I am in need of clarification concerning the Bank's apparent Option to "Right of Set-off" to deduct funds from my checking account in regards to a unsecured personal loan that they have "charge-off" according to my Credit Report. All accounts under the same Wells Fargo family, check account in Wells Fargo Bank and Loan under Wells Fargo Loan Servicing Center. How can authority be exercised from one Dept to another to withdrawn funds without authority from alleged debtor...anything to do with undisclosed terms or what? Need input and remedy to get money back if possible. Called Bank...they had no idea what happened and will investigate in 5 bus days. Looking to reply with some supportive cases or Codes to counter this seizure of my account...otherwards, emptied the account.

I believe I read somewhere that one should be prepared by such behavior by closing or keeping balance low...but damage is done...need direction to get me pointed in to counter.
Thanks anyone with some suggestions.

[dimarco123]

Originally Posted by dimarco123

Hello everyone, I am in need of clarification concerning the Bank's apparent Option to "Right of Set-off" to deduct funds from my checking account in regards to a unsecured personal loan that they have "charge-off" according to my Credit Report. All accounts under the same Wells Fargo family, check account in Wells Fargo Bank and Loan under Wells Fargo Loan Servicing Center. How can authority be exercised from one Dept to another to withdrawn funds without authority from alleged debtor...anything to do with undisclosed terms or what? Need input and remedy to get money back if possible. Called Bank...they had no idea what happened and will investigate in 5 bus days. Looking to reply with some supportive cases or Codes to counter this seizure of my account...otherwards, emptied the account.

I believe I read somewhere that one should be prepared by such behavior by closing or keeping balance low...but damage is done...need direction to get me pointed in to counter.
Thanks anyone with some suggestions.

*******
I believe Cal.Fin.Code § 864 concerning setoffs will assist me in filing a claim of exemption for everyone's FYI should they find themselves in similar circumstance.
And exemptions under Chapter 4 (commencing with Section 703.010)
of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure (Calif).
Thanks All

[rushpat]

Demand to see the contractual agreement wherein you agreed to have funds from one account cover the deficiencies of another.