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Thomas McJD
Thomas McJD, Attorney
Category: Business Law
Satisfied Customers: 6516
Experience:  Experienced in Corps, LLCs, Partnership, etc.
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I have a daughter I gave an ATM card to and she went over on

Resolved Question:

I have a daughter I gave an ATM card to and she went over on her account. The bank out of the KINDNESS of their heart allows her to get 300 dollars in overdraft. Of course the fee for this is 35.00 per transaction. I was thinking that if you had no money, the card would be declined, is this legal banking practice to charge 35.00 for a 1.10 charge to sonic. I don't find this to be legal. If you don't have the funds, why front them the money.

Rockport, Texas
Submitted: 8 years ago.
Category: Business Law
Expert:  Thomas McJD replied 8 years ago.
This type of practice is typical and perfectly legal so long as it is part of your agreement with the bank. You will have to read to the fine print of all the documents you signed when opening the account and setting up the bank card. There is a very high probability that the bank's right to do this is stated in one of the agreements.
Expert:  Thomas McJD replied 8 years ago.
If my answer was helpful, an accept for my time would be greatly appreciated.
Customer: replied 8 years ago.
Is there no way to have it to here there can be no overdraft on the account, I mean if the funds are not available, then the charge cannot be made?
Expert:  Thomas McJD replied 8 years ago.
They could definitely restrict the account so that no charge could be made if funds were not available but I don't know whether they would tell you that or be willing to do so if you requested it. You should address it with the bank.

If they are unwilling to cooperate, move your money to another institution that will honor your requests.

You could also try a prepaid card for your teen to ensure that only money available is spent.
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