SEAN said:
what can happen if you can't payback the overdraft protection,there are
no checks floating around.All the checks have been cleared.What can
happen?
Hi,
In the usual case the amount you have to pay
to the bank is treated like any other revolving
loan, similar to, for example, a personal line
of credit.
I'm not aware that these loans have any special
status just because they are "overdraft protec-
tion."
Probably the bank has the right to take money
out of any other accounts you might have with
them.
So, if you don't pay the bank anything, what
usually happens is that the bank will send
notices in the mail and make phone calls.
Eventually they probably will send the loan
to a collection agency or sell it to a "bottom
feeder." The agency or bottom feeder will
send you notices in the mail and make phone
calls. If you still don't pay, the matter
eventually may get to a lawyer who may
send still more notices and make phone calls.
Eventually, you may or may not get sued,
all depending on the particulars of your
individual situation. Each step in this
process usually takes about three months or
more.
Hope this helps. Best of luck to you.
Kindest regards,
Tom